Tourists visiting Hawaii to face a climate tax starting from 2026
Hawaii to Introduce Tourist Climate Tax in 2026
From January 1, 2026, tourists visiting Hawaii will bear the brunt of a new climate-oriented tax, aimed at funding environmental and climate resilience projects. The announcement was made by Hawaii Governor Josh Green on Wednesday, local time.
The new levy, dubbed the "Green Fee," will be a 0.75% increase on the Transient Accommodations Tax (TAT), pushing the overall rate to 11%. This applies to hotel stays, short-term rentals, and for the first time, passengers on cruise ships docked in Hawaiian ports.
The additional revenue generated is estimated to reach almost $100 million annually, equivalent to around €88 million. The funds will be channeled into the Hawaii Climate Impact Special Fund, to support projects such as coral reef protection, beach restoration, wildlife conservation, climate resiliency infrastructure, wildfire prevention, and measures against sea level rise, coastal erosion, and changes in rainfall patterns.
Industry leaders in the state's hotel sector have expressed concerns about the new tax, which makes Hawaii the first U.S. state to implement a dedicated climate impact fee on tourists. However, supporters argue that the tax is a necessary step to address the islands' susceptibility to climate change and to fund sustainable environmental stewardship.
The Hawaii Tourism Authority expects the increased cost to be relatively moderate and points out that the state receives approximately 10 million visitors annually, tapping into the tourism sector's capacity to support climate action without imposing an excessive burden on individual travelers.
In essence, Hawaii's proposed tourist climate tax beginning in 2026 represents a significant shift towards sustainable tourism financing, with generally positive feedback emphasizing its necessity. The tax aims to balance tourism's environmental footprint by encouraging visitors to contribute financially towards preserving the natural attractions they visit. However, it remains to be seen whether future increases or additional fees will follow as climate challenges escalate.
Sources: ntv.de, dpa
- The Hawaii Climate Impact Special Fund, to be filled from the additional revenue generated by the Green Fee, will support various environmental and climate resilience projects, including coral reef protection and wildlife conservation, demonstrating the integration of environmental-science principles into the policy.
- To address the susceptibility of Hawaii's ecosystems to climate-change effects, a proposed approach involves the use of scientific data to construct climate-resiliency infrastructure and implement measures against sea level rise, coastal erosion, and changes in rainfall patterns.
- The implementation of the Green Fee, coinciding with Governor Green's climate-change-related initiatives, indicates that the state's finance sector recognizes the importance of aligning with the principles of sustainable energy development for the protection of the environment and the well-being of the community.
