Sunshine Coast Council will this week consider changes to the way prices are set across its six holiday parks, including the introduction of dynamic pricing as part of a broader pricing review.
Councillors will consider the proposal at the June 18 ordinary meeting as part of a recommendation to adopt a Full Cost Pricing approach for the holiday parks, which have been identified as a Significant Business Activity under the Local Government Regulation due to their level of operating expenditure.
According to the report detailed in the meeting agenda, Full Cost Pricing means the holiday parks would recover the full cost of providing the service, including operating, capital and overhead costs, ensuring they do not receive a competitive advantage over private operators.
The report states financial modelling indicates the holiday parks are already operating at or above full cost, with the recommendation formalising the pricing framework for the business.
As part of that approach, council is planning to implement dynamic pricing, allowing accommodation rates to be adjusted in response to demand as part of the management of the holiday parks.
The report says the dynamic pricing model would be capped at 20 per cent of the base fee, with prices able to move within that limit depending on demand. It notes that dynamic pricing is a common practice within the accommodation industry and that the proposed cap is below the level of pricing flexibility used by some major branded operators.
The recommendation forms part of a broader management framework for the council-owned holiday parks network, which includes parks at Cotton Tree, Mooloolaba, Mudjimba, Coolum, Noosa North Shore and Kenilworth.
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The report also recommends the holiday parks continue to operate within council rather than through a separate commercial entity, while strengthening governance arrangements through clearer operational delegations, structured capital planning and formal performance monitoring.
According to the report, the six parks comprise 1373 sites and provide approximately 490,000 available visitor nights each year, making them a significant component of the Sunshine Coast’s tourism accommodation offering.
Earlier this year, the council’s management of its holiday parks came under scrutiny after changes to Christmas booking arrangements for the 2026-27 festive period sparked a petition from long-term holidaymakers.
The petition opposed a move to fixed Monday arrival and departure days and set booking blocks, while the council said the changes aligned with industry standards and were intended to improve the visitor experience and streamline operations during the busiest time of year.
Councillors are expected to debate the new pricing recommendations at Thursday’s meeting before deciding whether to adopt the new pricing and management framework.
