() Hawaii’s new “green” tourism tax, believed to be the first of its kind in the nation, is necessary for the islands to offset the effects of climate change and millions of yearly visitors, Gov. Josh Green says.
Under a measure he signed into law this week, the state’s tax on hotels and short-term rentals will be increased 0.75% for a total of 11%. The new levy is expected to generate $100 million annually. Green said the money will be used for environmental expenses such as erosion control, beach maintenance and building firebreaks.
“In order to protect and maintain Hawaii and paradise, we have to have dedicated resources,” Green told “ Now” Friday, noting that tourists would pay an additional $3 on a $400-a-night hotel room.
Green said the deadly Lahaina wildfire of 2023 cost the state $13 billion and 102 lives. He said the so-called green tax is a cost of living with climate change.
“The rest of the world is going to awaken to this reality, whether they like taxes or not, whether they acknowledge climate change or not,” he said. “There are these storms, there are these threats. We’re seeing them all over the place.”
Green said he doesn’t think the new tax, effective Jan. 1, will discourage visitors because tourists are used to paying a premium in Hawaii.
