Sunday

04-27-2025 Vol 1943

Hawaiʻi Advances Landmark ‘Green Fee’ Legislation for Climate Change Mitigation

In a pivotal move for environmental protection, Hawaiʻi is on the verge of passing a ‘green fee’ aimed at safeguarding its natural resources and enhancing resilience against climate change.

After years of deliberation, the bill received approval from both the House and Senate, culminating on the last day of their crucial conference hearings.

This legislation would primarily impose a slight increase in the transient-accommodations tax—by 0.75%—on visitors staying in hotels or short-term rentals, and it would extend to travelers arriving on cruise ships.

Governor Josh Green, a strong proponent of the fee, is expected to receive a final vote from the legislature next week to formalize the measure.

“It’s a historic piece of legislation,” Green remarked, emphasizing that no other state has taken such a significant step to directly address climate change through an impact fee.

The initiative is projected to generate around $100 million annually, which would fund a variety of environmental projects across Hawaiʻi, bolstering infrastructure, improving disaster readiness, and adapting homes to withstand changing climate conditions.

Jack Kittinger from the Care for ʻĀina Now Coalition, a long-time advocate for the green fee, reflected on its difficult journey: “When we started this, it was a wild moonshot of an idea. No one ever thought this was possible.”

The last seven years have been transformative for Hawaiʻi, marked by a tourism boom, the COVID-19 pandemic, and the recent devastating wildfire in Lahaina.

Kittinger pointed out that these events prompted community engagement to ensure the tourism sector both flourishes and preserves the environment.

He stated, “Through all that, we built a coalition that made this something that, instead of a nice-to-have, became something about our survival.”

Despite the pressing need for funds, there is notable opposition from Hawaiʻi’s tourism industry, which has argued that the tax increase could deter visitors to less expensive destinations.

Proponents of the fee contend that it is essential for maintaining Hawaiʻi’s natural beauty—valued by tourists—which includes its reefs, beaches, and hiking trails.

Governor Green has also indicated that the bill would establish a dedicated fund for addressing future climate-related disasters, a measure that comes in response to the Lahaina wildfire that claimed over 100 lives and resulted in significant economic damage estimated at $12 billion.

This bill represents a critical achievement for Green, who made this initiative a key part of his campaign platform.

When previous attempts to enact such a fee repeatedly fell short, he initiated a ‘Climate Advisory Team’ (CAT) to advocate for the measure.

The team conducted interviews with over 60 stakeholders from state and county agencies, nonprofits, and businesses to better understand Hawaiʻi’s climate vulnerabilities.

They also surveyed 600 local residents to gauge support for increased funding to tackle climate challenges, and the results demonstrated a strong consensus for more proactive measures.

Kawika Riley, vice president of external affairs at KUPU and a member of the CAT, views the lawmakers’ decision as a crucial first step toward ensuring community safety and environmental beauty in the face of global warming.

Over the years, multiple concepts were considered for the green fee, including airport arrival fees and park-usage charges, but those faced concerns regarding enforceability and legality.

Ultimately, the decision to raise the transient-accommodations tax emerged as the most straightforward approach to connect tourism with funding for climate initiatives.

The new fee is expected to not only help address the estimated annual conservation funding gap of $560 million in Hawaiʻi—potentially rising to $1.69 billion—but also to mitigate the impacts of climate change on the islands’ fragile ecosystems.

In summary, as Hawaiʻi edges closer to enacting this unprecedented green fee, advocates and lawmakers alike hope it will pave the way for a more sustainable future while keeping the islands beautiful for generations to come.

image source from:https://www.civilbeat.org/2025/04/hawai%CA%BBi-legislature-takes-historic-step-to-approve-a-visitor-green-fee/

Charlotte Hayes