The price of accommodation in Longreach, which in some venues is among the dearest in the state, is concerning civic leaders and local people needing to use the town as a service centre.
During the Easter school holiday period, prices ranged from $289 a night for a standard queen room at four motels ranging from 3 to 3.5 stars, to $249 and $345 for heritage-themed boutique accommodation, and $450 for a glamping option with breakfast included.
Cabins in caravan parks were quoted at $165 a night or sold out.
In comparison, similar motel rooms at Winton over the same period were charging from $145 to $170 a night.
At Roma, where the Easter in the Country festival was taking place, most accommodation was sold out, but a 4 star motel in town was advertising a king room for $250 while a queen room across the road was available for $179.
Outside of holiday periods, accommodation in Roma is advertised on Booking.com for $98 for a cabin to to $190 at a 4 star motel.
While the prices for some Longreach motels was $30 to $40 cheaper the week after the holidays concluded, prices for some of the standard accommodation remains close to $300 a night.
It's understood that one business owns 70 per cent of the available accommodation in the outback town.
People from other towns needing to stay overnight to see medical specialists have contacted the Queensland Country Life about the costs involved, and people organising field days locally have been caught out with budget blowouts for the same reason.
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Longreach Regional Council mayor Tony Rayner said out of town people had told him they were choosing to stay in Winton or Barcaldine because of the price.
"Council is concerned that it could create reputational damage to Longreach, but if market forces are at work and owners are getting 80 to 90 per cent occupancy, it's a hard argument to prosecute," he said.
He added that a meeting with some owners had highlighted that many of the motels in Longreach date back to the 1980s and require major refurbishments including replacing bathrooms and floor coverings as well as painting.
"For some motels it is the first upgrade they have had since construction, and building and supply costs are more expensive than the south east," he said.
"All of these aspects contribute to higher tariffs, which is a perspective I hadn't considered, and do understand.
"It's about trying to reach that happy medium of what people are prepared to pay without being detrimental to our reputation.
"The owners we spoke with have varying views of what's a reasonable price to pay.
"At the end of the day, the high cost of accommodation is of concern but there is little council can do about it, when the market dictates the price."
Local tourism operator Alan Smith said he believed the tariffs showed that Longreach was in need of more accommodation.
"The demand is definitely up but I believe we're overpricing ourselves because of that," he said.
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