Hawaii becomes first US state to charge 'Green Fee' on tourists Portrait of Kathleen WongKathleen Wong
In a landmark move signaling a new era of climate accountability in tourism, Hawaii has become the first U.S. state to introduce a dedicated climate impact fee targeting visitors. Officially signed into law as Act 96, the legislation establishes what is being called the country’s first “Green Fee” — a new levy on tourists aimed at funding crucial climate change resiliency projects and environmental preservation efforts across the islands. Starting January 1, 2026, Hawaii will increase its Transient Accommodations Tax (TAT) by 0.75%, bringing the total lodging tax to 11%. This fee will be applied not only to traditional lodging options such as hotels and short-term vacation rentals but, for the first time, also to cruise ship accommodations — a move intended to ensure that all forms of tourism contribute equitably to the state’s environmental needs.
Hawaii's decision to implement this fee comes against the backdrop of escalating climate threats, most notably the 2023 Maui wildfires, which stand as the deadliest wildfires in U.S. history in over a century. The fires devastated Lahaina, a culturally and economically significant town, killing more than 100 people and destroying homes, businesses, and historical landmarks. In response, Governor Josh Green convened the Climate Advisory Team (CAT) to develop a strategy for enhancing the islands’ resilience to future climate disasters. One of the key recommendations from this team was the establishment of a stable, long-term funding source to support climate mitigation and disaster recovery efforts — leading directly to the passage of the Green Fee.
Governor Green has emphasized the urgency of proactive climate measures, noting that as a geographically isolated island chain, Hawaii cannot afford to wait for the next catastrophe. “We must build resiliency now,” he stated, adding that the Green Fee would provide essential financial support to ensure the state is better prepared for future environmental challenges. The estimated $100 million in annual revenue from the fee will be allocated to programs focusing on environmental stewardship, climate hazard mitigation, and sustainable tourism development. The specific projects to receive funding will be determined during the next legislative session.
The inclusion of cruise ship passengers, who had previously been exempt from the TAT, reflects the bill's goal of promoting fairness and shared responsibility among all types of travelers. According to Chris Benjamin, head of the CAT, this approach helps ensure that the costs of protecting Hawaii’s environment and communities do not fall solely on residents. By making visitors a part of the solution, Hawaii is hoping to strike a balance between maintaining a thriving tourism industry and preserving its natural and cultural heritage for generations to come.
This move also places Hawaii at the forefront of a growing global trend, as more destinations — including Greece, Bali, and the Galápagos Islands — introduce or raise tourist fees in response to the pressures of overtourism and climate change. While the long-term effectiveness of such fees remains under evaluation, Hawaii's initiative is being hailed as a historic step toward climate resilience and sustainable tourism policy in the United States.
Source: Hawaii passes nation's first climate change tourist tax
Disclaimer:
1.The articles compiled and published by this association on the Taiwan Net Zero Emissions Association's official website and in the Member Biweekly Report are for the purpose of introducing international environmental trends and for educational use only, not for profit.
2.Any legal responsibilities or losses resulting from the use or adaptation of articles translated by the association shall be borne solely by the user or adapter.
For more insights on net-zero emissions, feel free to subscribe to our biweekly newsletter:
https://www.tnzea.org.tw/eforms.php?lang=tw&tb=1
