Greece’s New Tourist Tax: Paying to Save the Climate?

According to foreign press, such as the Greek Reporter, Greece announced on the 3rd (local time) that it would replace the existing accommodation tax with a “climate resilience levy.”

Starting in March this year, Greece will impose a new climate resilience levy on tourists using accommodation facilities. This decision appears to have been made in an attempt to recover from the numerous forest fires and floods caused by excessive tourism over the past few years, and the funds collected from the climate resilience levy are planned to be used in natural disaster reconstruction.

Guests will have to pay the climate resilience levy instantly at check-in, and the amount will vary depending on the rating of the accommodation. Guests at 1 and 2-star hotels must pay 1.5 euros (about $1.70) per night, guests at 3-star hotels must pay 3 euros (about $3.40), and those staying at 4-star hotels must pay 7 euros (about $7.90). Tourists staying at 5-star luxury hotels must pay the highest amount of 10 euros (about $11.30).

Unlike the preexisting accommodation tax, Greece will also apply the climate resilience levy to people using ‘short-term accommodation facilities via online platforms.’ In the case of apartments, they must pay 1.5 euros (about $1.70), and those staying in independent houses or more luxurious accommodation facilities must pay an additional 10 euros (about $11.30).

However, the Greek government announced that it would maintain the climate resilience levy from 0.5 euros (about $0.57) to 4 euros (about $4.52) between November and February, the off-season for tourism.

The Greek government is anticipating the funds to be raised to 300 million euros (about $339 million) through the climate resilience levy this year. However, the Greek Hotelier Association is concerned that it will hurt the number of tourists visiting Greece.