Hawaiʻi’s controversial new “Green Fee” is under fire — and not just from the cruise industry. The U.S. Department of Justice recently filed a motion to intervene in a legal challenge against the law, calling the surcharge an unconstitutional “scheme to extort American citizens and businesses.”

Under Act 96, Hawaiʻi imposed a new fee on cruise passengers: an 11% surcharge on the portion of their cruise fare spent in Hawaiian ports, with counties allowed to tack on up to 3% more — for a total of about 14%. The state projected this could raise $100 million a year to fund climate resilience and environmental programs.

But the DOJ argues the fee violates long-standing maritime laws. Specifically:

• The Constitution’s Tonnage Clause, which bars states from charging vessels simply for docking in their ports.

• The Rivers and Harbors Appropriation Act of 1884, which prohibits states from imposing taxes or fees on vessels that are not tied to actual port services.

In its filing, the DOJ is blunt: “This scheme to extort American citizens and businesses solely to benefit Hawaiʻi … flies in the face of federal law.”

What’s Next?

• The court will decide whether to allow the United States to intervene, which would make the DOJ’s complaint part of the ongoing case.

• If accepted, the court could pause enforcement of the cruise‑ship portion of the Green Fee — potentially blocking it before its scheduled start on January 1, 2026.

• Until then, Hawaiʻi’s Attorney General, Anne Lopez, says the state will “vigorously defend” Act 96, arguing the fee addresses climate change and supports environmental programs.

Why It Matters to Travelers

For cruise passengers, this isn’t just a policy debate — it could affect ticket prices, port schedules, and whether it’s even worth cruising through Hawaiʻi. Because the fee is based on how many days a ship stays in port, it could materially change the cost structure for Hawaii itineraries.

Plus, if the fee is blocked, it sets a precedent. As the DOJ pointed out, allowing states to impose these kinds of charges could lead to a patchwork of variable port fees, scattering Puerto Rico-style hikes all over U.S. waters.

Hawaiʻi’s “Green Fee” was pitched as a bold climate‑action measure, but with the federal government calling it an “extortion scheme,” its future now hinges on a high-stakes court battle. If you're a cruise traveler, it’s a development to watch closely — the outcome could reshape how your next Hawaiian cruise is priced.

Source: Beat of Hawaii