Tourists Now Pay a Green Fee to Protect Hawai'i's Ecosystems

The constant stream of tourists puts severe pressure on the island’s fragile ecosystems, infrastructure, and communities. Now, Hawaiʻi is taking a bold step to protect what makes it so magical. Governor Josh Green has officially signed a first-of-its-kind law in the U.S. that adds a “Green Fee” to visitor accommodations to raise $100 million yearly for climate resilience and environmental restoration.

Starting January 1, 2026, visitors staying in hotels, vacation rentals, or cruise ships will see a slight bump in the state’s transient accommodations tax (TAT)—a 0.75% increase, bringing the state portion to 11%. Combined with existing county and general excise taxes, the entire tax adds up to nearly 19%.

For most tourists, that translates to a few dollars extra per night — for example, a $400 stay will cost about $3 more. But collectively, that small amount is expected to generate nearly $100 million annually to support Hawaiʻi’s climate and conservation efforts.

Governor Green called it “a historic investment,” adding, “The fee will restore and remediate our beaches and shorelines and harden infrastructure critical to the health and safety of all who call Hawaiʻi home, whether for a few days or a lifetime.”

Tourism is a double-edged sword for Hawaiʻi. It keeps the economy afloat but also strains the land and water, fuels overdevelopment, and contributes to pollution and habitat loss. Take the 2023 Maui wildfires, for example. 

According to the Environmental and Energy Study Institute (EESI), they were the deadliest wildfires in the U.S. in over a century. In the aftermath, nonessential travel was discouraged, and the island lost more than $13 million per day in visitor spending. The destruction exposed how deeply climate impacts ripple through ecosystems and local economies.

That’s part of why the Green Fee is being seen not just as a tax but as a tool designed to help Hawaiʻi manage the environmental strain of its nearly 10 million annual visitors.

The revenue from the fee will go into dedicated funds for climate mitigation and economic revitalization. Projects include replenishing eroding beaches, clearing wildfire-prone grasses, strengthening shoreline infrastructure, and expanding programs like the Green Jobs Youth Corps.

There’s also talk of using the money to support reef restoration and more climate-smart land use planning, such as keeping new buildings away from vulnerable coastlines and rebuilding with resilient materials.

And yes, cruise ships are finally part of the equation. For the first time, they’ll pay a prorated TAT for the days they’re docked in Hawaiʻi ports.

Critics, especially in the hospitality industry, worry that piling more fees onto already pricey trips could make tourists think twice. Jerry Gibson, president of the Hawaiʻi Hotel Alliance, said, “I am extremely worried about getting too expensive for the people that come here to Hawaii.”

There’s also concern about how the money will be managed. While it’s earmarked for climate and environmental projects, the funds are routed through the state’s general budget, and some wonder whether all of it will be used as promised.

Still, the long-term vision seems to be about balance. How can Hawaiʻi welcome travelers while ensuring they give back, not just take? Climate advisor Chris Benjamin states, “Using the TAT to fund resiliency projects ensures that the financial burden of safeguarding our ʻāina and people doesn’t fall upon residents alone.”

The Green Fee isn’t about punishing visitors but asking them to be part of the solution. Collections begin in 2026, and projects will roll out as revenue comes in and priorities are set. However, the hope is that this model can shift the tourism conversation from exploitation to sustainability and short-term revenue to long-term resilience.

At its heart, this is about protecting what makes Hawaiʻi so beloved in the first place. Because paradise doesn’t defend itself, but with the right choices, it can be preserved for future generations.