Tuesday, 6 May 2025

Tourist Tax: Climate Relief?

 


Hawaii legislators have approved a 'first of its kind green fee' to help pay for environmental protection as well as strengthening defences against climate crisis-related natural disasters. This money will be largely obtained by adding 0.75% to existing levies on hotel rooms; timeshares; vacation rentals and other short-term accommodation. Cruise ship bills will also receive an 11% tax for days spent in Hawaiian ports (https://www.theguardian.com/us-news/2025/may/05/hawaii-bill-tax-hotel-tourist-green-fee). Tourist taxes have been used elsewhere in the world to pay for local environmental benefits. This, however, seems to be the first time a state-wide tax has been overtly linked to the climate change crisis. It will be interesting to see the US government response to this development. The location of the Hawaiian islands certainly makes them very vulnerable to violent storms. The frequency and power of hurricanes is increased by global heating. Natural fires and potable water shortages are also likely to become more problematic, as temperatures rise. Bleaching of coral reefs is an increasing concern. Losses could impact on tourism and the production of seafood. It seems not inappropriate to get relatively wealthy visitors to increase their contributions. They mostly arrive, of course, on 'greenhouse gas' emitting flights.

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