Hawaii is to implement green fee for cruise passengers from 2026

After a series of legal challenges, Hawaii is set to implement a new green fee for cruise passengers starting January 1, 2026. The measure is a tourist tax aimed at funding climate change mitigation efforts across the islands.

Following a request from CLIA (Cruise Lines International Association) to block the fee, U.S. District Judge Jill A. Otake denied the motion, allowing the law to take effect as planned.

The new tax is expected to generate around $100 million annually, contributing to projects addressing climate change, wildfire prevention, and coastal erosion, complementing existing environmental fees implemented in May 2025.

The green fee imposes an 11% charge on cruise passenger fares, calculated based on the time vessels spend in Hawaiian ports. Opponents had argued that it would harm the cruise industry, but the court ruled that halting implementation would only advantage hotels and vacation rentals already subject to the tax.

CLIA warned that the fee poses a potential threat to the industry, particularly in key Hawaiian ports, and that some tourist-dependent businesses in Kauai and the Big Island could be disproportionately affected.

Governor Josh Green emphasized the importance of the fee, stating: “We must protect and preserve Hawaii’s natural resources and safeguard the health of our residents”, referred to local communities health. He also added that visitors who benefit from these resources also share the responsibility to help preserve them.