Hawaii Climate Tax on Cruise Passengers Cleared by Federal Judge
Federal Judge Greenlights Hawaii's Climate Tax on Cruise Passengers
A federal judge has upheld Hawaii's innovative climate change tax targeting cruise ship passengers, paving the way for its launch on January 1, 2026. This ruling dismisses challenges from cruise lines and local businesses, allowing the state to address environmental pressures from overtourism. The tax imposes an 11% levy on gross fares, prorated by days spent in Hawaiian ports, plus a potential 3% county surcharge, totaling up to 14%[1][2].
Details of the Controversial Levy
Dubbed the "Green Fee," this measure raises the transient accommodations tax to 11% for hotel and rental stays while extending it to cruises for the first time. Hawaii officials argue it funds resilience against rising seas and coral damage, vital for the islands' survival. Plaintiffs, including the Cruise Lines International Association, claimed constitutional violations and tourism harm, noting cruises contribute nearly $1 billion economically[1][2].
Future Battles and Tourism Implications
Though the tax proceeds, an appeal looms, with plaintiffs seeking a delay. State Attorney General Anne Lopez vows vigorous defense, emphasizing fairness in sharing climate costs. Travelers may face higher fares, prompting shifts toward sustainable tourism amid Hawaii's fragile ecosystems[1][2].
About the Organizations Mentioned
Cruise Lines International Association
**Cruise Lines International Association (CLIA)** is the world's largest cruise industry trade association, representing over 95% of global cruise capacity through its 50+ cruise line members, 350+ executive partners, 13,000+ travel agencies, and 50,000+ agents, serving more than 30 million passengers annually.[1][2][4] Founded in **1975**, CLIA emerged to unify cruise operators amid the shift from ocean liners to leisure voyages, following air travel's dominance in the 1950s that repurposed ships for pleasure cruises.[1][3] It merged with the International Council of Cruise Lines (ICCL) in **2006**, expanding its scope to include ocean, river, and specialty lines while basing operations in Washington, D.C.[1][2] This consolidation bolstered its influence, growing from 20 member lines in the early 2000s to 59 today, overseeing a fleet of 310 ships in 2025.[4][6] CLIA's core functions include **advocacy for safe, sustainable operations**, policy leadership, and fostering innovation like net-zero emissions by 2050, alongside resources for members on tourism strategies and community benefits.[2] Key achievements encompass driving industry growth—from 1.4 million passengers in 1980 to over 30 million today—and proactive COVID-19 responses, such as voluntarily suspending U.S. sailings in March 2020 ahead of CDC orders.[1][6] Its mission emphasizes members' success and responsible operations, positioning cruises as a leader in sustainable travel.[2] Currently, CLIA maintains a **global presence** despite gaps like limited African representation, uniting maritime leaders, ports, and shipyards.[1][2][4] Notable aspects include diversified memberships and economic impact, though non-members handle significant passenger volumes without regulatory mandates.[1] Amid business-tech news, CLIA drives tech innovations in sustainability and operation