COMMUNITY PROSPERITY
FIXING FIRES AND FLOODS WITH TAXES
GREECE
Photo: Eean Chen
As the impact of the climate crisis continues to build, destinations everywhere are confronted with the question of how to pay for the costs of climate change. Greece is experimenting with a visitor fee that contributes to rebuilding after climate-related events.
What's
changing
Destinations are increasingly grappling with the effects of the climate crisis, fueled in part by greenhouse gas emissions related to tourism. Many places are seeking ways to mitigate the financial burden that climate change causes in their communities.
What's already
possible
Greece has introduced a climate crisis resilience fee to fund reconstruction following recent climate-amplified forest fires and floods.
Seizing
the opportunity
The climate crisis resilience fee replaces the previous hotel tax and is charged at accommodations upon arrival. The amount of the fee varies by hotel category. The fee is collected only during the busy tourist months between March and October.
Standout
tactic
By applying the tax seasonally, Greece aims to manage tourism flow more effectively. This approach modulates tourism during peak seasons while incentivizing off-season visitation.
How
it helps
The tax covers part of the costs incurred by climate-related events that had been paid by reserve funds. This tax is expected to increase the reserves from 300 million to 600 million Euros.
Diving
deeper
Will this fund be sufficient to cover the costs of the climate crisis that are trending upward?
Increasing
impact
The amount charged for a tax like this could be tied to the size of a visitor’s greenhouse gas footprint or a proxy indicator, such as air travel distance. This would align the fee with the actual impact and incentivize lower emission travel.
Traveling
better
Travel is inherently carbon intensive. Whether you are taking a mini-break or an annual vacation, consider ways to minimize your impact by staying longer in one place, reconsidering how you travel to the destination, and supporting businesses that are working to make their community and the world a better place.
