Published on
January 1, 2026
Beginning from January 1, 2026, tourists visiting Hawaii will have to pay an additional “Green Fee.” This tax is designed for environmental projects and enhancing the overall tourism infrastructure in Hawaii. This significant step for adopting environment-friendly practices for tourists was brought about by Act 96, signed by Governor Josh Green in May 2025, targeting the significant increase in the demand for environment-friendly tourist destinations across the world today and following a mix of controlling growth and conserving the environment.
The Green Fee is anticipated to ensure the flow of essential funds for environmental and climate-related projects, which aim to maintain the natural beauty of the state and the quality of the visitor experience offered in the Hawaiian state. Visits by tourists, in terms of foreign and cruise ship visitors, will be more directly tied to the maintenance and sustainability of the state.
Tax Increases for Hotels, Vacation Rentals, and Cruise Ships: What Visitors Need to Know
Under the new measures, the tax rate on hotel stays and vacation rentals will rise from 9.25% to 10%, and cruise passengers will be taxed for the first time at an 11% rate on their cabin fares. While these increases may add to travel costs, the revenue generated will be reinvested into the island’s environmental preservation and infrastructure resilience, ensuring that tourism continues to contribute to Hawaii’s long-term sustainability.
The increase in taxes is also part of a larger strategy to make Hawaii’s tourism industry more resilient and responsible. Funds from the Green Fee will be directed toward protecting natural resources, such as water conservation, ecosystem restoration, and climate-change mitigation projects. These efforts are essential for preserving the islands’ delicate ecosystems, which have been increasingly affected by tourism and climate change.
Future Sustainable Tourism Growth in Hawaii: A Holistic Approach
The introduction of the Green Fee represents a commitment to sustainable tourism growth in Hawaii. By aligning the tourism sector with the state’s climate goals, the new policy encourages responsible travel behaviors while promoting a balanced relationship between tourists and local communities. The tax is designed to provide both short-term benefits, such as funding urgent environmental projects, and long-term impacts, by ensuring that Hawaii remains a top destination for sustainable tourism.
In the future, this Green Fee may serve as a model for other popular tourism destinations that are facing similar challenges in managing tourism growth alongside environmental protection. Hawaii’s efforts to fund climate resilience projects with tourist dollars demonstrate how sustainable tourism can contribute to local development, preservation, and environmental conservation.
Expanding the Role of Cruise Tourism in Sustainable Growth
Cruise tourism, which has become an essential part of Hawaii’s tourism industry, will also be significantly impacted by the Green Fee. The new tax on cruise passengers will ensure that this growing segment of the tourism market helps contribute to the environmental preservation of the islands. While cruise ships bring thousands of tourists to Hawaii every year, the environmental footprint of these vessels has raised concerns about their impact on the natural environment. By implementing the Green Fee on cruises, Hawaii ensures that the cruise industry pays its share in maintaining the islands’ ecological health.
Cultural Tourism: Supporting Authentic Visitor Experiences
In addition to supporting environmental preservation, the Green Fee also aims to enhance the visitor experience by funding cultural preservation initiatives. With Hawaii’s rich cultural heritage, including native Hawaiian traditions, historic landmarks, and sacred sites, this fee will help ensure that tourism supports the preservation of local culture and promotes more authentic, meaningful experiences for visitors.
The revenue from the Green Fee will allow the state to invest in education programs, public outreach, and initiatives that highlight Hawaiian culture and encourage cultural tourism. Visitors will be able to engage with authentic cultural experiences, such as Hawaiian arts, traditional ceremonies, and local culinary practices, all while contributing to the sustainability of the islands’ heritage.
Long-Term Economic and Environmental Impact
Looking ahead, the Green Fee is expected to have a lasting impact on both Hawaii’s economy and its environmental health. The revenue generated will support climate-change adaptation measures, including beach restoration, flood prevention strategies, and other infrastructure projects designed to mitigate the impact of rising sea levels and extreme weather events.
Moreover, as tourism continues to evolve, the sustainable tourism model introduced by the Green Fee could serve as a template for other tourism-dependent regions. The move toward eco-conscious travel is rapidly gaining momentum, with more and more travelers seeking destinations that are committed to environmental responsibility and sustainability.
Hawaii is positioned to lead the way in creating a tourism economy that is both financially vibrant and environmentally conscious, benefiting both local communities and the global tourism market. As the island invests in sustainable tourism practices, it can expect to see increased demand from tourists who prioritize responsible travel and eco-friendly experiences.
Hawaii’s Commitment to Sustainable Tourism for Future Generations
The Green Fee initiated by the Hawaii government marks a significant milestone in the journey to sustainable tourism for the state. With the investment in the protection of the environment, cultural preservation, and tourism facilities, the government can ensure that tourism brings equal benefits to the residents and the environment to cater to the needs of modern eco-travelers.
As tourism grows and expands, it will prove helpful in designing a resilient and future-ready tourism economy through the model being set by the Hawaiian government to finance sustainability projects through tourism levies. This model will ensure that the beauty and heritage resources of this beautiful place remain intact for the next generations, both locals and visitors.
