Crowds of shop owners as well as hotel and ferry operators in Fenghuang, an ancient town in Central China's Hunan Province, staged a protest on Thursday, one day after local authorities introduced an entry fee of 148 yuan to the scenic town. Four people were reportedly taken away by police amid the protest.

Though most shops reopened over the weekend, the drop in the number of tourists was apparent. Businessmen lambasted officials for killing the goose that laid the golden eggs, whereas the local government believes the current business drop is a temporary pain caused by the new policy and the new fee will benefit Fenghuang's long-term development.

The incident once again exposed the plight faced by local authorities when tackling diverse interests and reform. Statistics show that among the number of tourist complaints of the whole Hunan Province, Fenghuang occupies 67 percent. Travel agencies have long enjoyed having the leeway to collect kickbacks by abusing the free entry, by taking customers to low-quality tourist sites. The ancient town, often offered as a free site in travel package plans, has caused environmental damage via the large number of tourists.

However, the legitimacy of the new policy has been damaged by the secrecy surrounding its adoption. Since local authorities announced the plan to collect fees last month, public criticism has run high. Cai Long, the vice head of Fenghuang county, has insisted that there is no need for a public discussion, as it is a newly imposed entry fee, rather than a price hike.

Local officials have been accused of wanting to extort cash then take the lion's share. Given the way they introduced the new fees, there appears no way to quell the public skepticism over their motives, even if they had positive intentions.

Following the protest, local heads vowed to adjust the way they implement policies, while maintaining this measure. It is inappropriate to impose any single successful economic tourism model on Fenghuang, but some basic principles must be taken into consideration.

Local authorities said they would take 22 percent of the charge as tax, for the town's daily maintenance, cultural repair, sewage infrastructure, night scenery enhancement, as well as compensation for some local residences. These measures, which seem reasonable, must be issued in detail and submitted for public scrutiny in later implementation.

The interests of groups that have biggest conflicts with the new policy must be incorporated into the plan. According to local officials, the government will promote joint projects with small hotels, provide training for illegal tourist guides, and vigorously build up the night sightseeing strip to support the private boating businesses. Fenghuang has rare scenic value. Local officials must exploit that value with care.