Greece Targets Overtourism with New Cruise Ship Levies

Greece Targets Overtourism with New Cruise Ship Levies

Tourism, a vital lifeline for Greece, is under the spotlight once again. The Greek government has decided to charge cruise passengers €20 when they visit Santorini and Mykonos.

This is to tackle overtourism, while also addressing long-term sustainability issues.

Cruise ship arrivals threaten popular islands

Santorini and Mykonos are famous for their beautiful beaches and white houses, drawing in millions of tourists each year. However, this popularity has its downsides.

In 2023, Santorini alone received 1.3 million cruise ship passengers, overwhelming its infrastructure. Mykonos also saw a 23% increase in cruise visits.

The high number of tourists has led to traffic, long waits, and damage to the environment, especially during busy seasons.

To help manage the crowds, Greece plans to charge cruise passengers a €20 fee in the summer. The idea is to encourage more responsible travel.

Greek Prime Minister Kyriakos Mitsotakis mentioned that while the whole country is not overwhelmed by tourists, places like Santorini and Mykonos are definitely feeling the impact.

A step toward sustainable tourism

Tourism brought in €20 billion to Greece's economy in 2023, so balancing the protection of popular spots and boosting the economy is tricky.

The money from the new cruise tax will go back into local communities, mainly to improve infrastructure. This way, locals benefit from tourism while reducing its negative impact.

The government is also limiting the number of cruise ships that can dock at the same time to spread out visitor numbers throughout the year.

These steps are part of a bigger plan to handle the environmental issues caused by tourism.

Water shortages on the islands are a big problem, so Greece is introducing environmental rules to keep the islands livable and appealing for both residents and tourists.

A coastal town with colorful buildings overlooks a calm, bright blue sea under a vibrant, partly cloudy sky.

(Image courtesy of tghurd via Pixabay)

Increasing taxes on short-term rentals

The new policies are not just aimed at cruise passengers; short-term rentals like those on Airbnb are also being targeted.

The government is planning to raise taxes on short-term rentals, especially in Athens, and will stop issuing new rental licenses in three central areas of the city.

This is meant to help make housing more affordable for permanent residents, who have been priced out due to the high demand for short-term rentals.

The rental tax will vary depending on the size and quality of the property. For example, the Climate Resilience Fee for five-star hotels will go up from €10 to €15 per night, with smaller increases for four- and three-star places.

Short-term rentals will also be taxed, with a maximum of €8 per night.

Tourists face higher costs

In the short term, these new policies could make visiting Greece more expensive for tourists.

For long-term visitors or those thinking about moving to the European Union (EU), the impact might be more complex. Higher taxes on short-term rentals could make it harder to find affordable places to stay for extended periods.

However, in the long run, the government’s focus on sustainability could make popular spots like Santorini and Mykonos more enjoyable by protecting their beauty and accessibility.

Greece’s efforts to manage overtourism also align with the broader EU policies, such as the upcoming European Travel Information and Authorization System (ETIAS), which will make travel easier for non-EU citizens.

By improving infrastructure and controlling tourist numbers, Greece could become a more appealing option for ETIAS applicants, allowing them to travel more freely within the EU without needing a full visa.

An older couple stands on stone steps overlooking a calm blue sea, with whitewashed walls in the foreground.

(Image courtesy of jimmy teoh via Pexels)

Setting a new standard for sustainable tourism

Greece’s new policies could also impact immigration across the EU.

As more EU countries try to balance tourism and sustainability, nations like Spain and Italy, which face similar challenges, might adopt similar strategies to protect their popular tourist spots.

The EU’s focus on climate change and sustainable development is reflected in Greece’s tax increases, especially those aimed at protecting the environment.

These measures align with broader EU goals to reduce carbon footprints and address environmental issues.

Greece’s approach might serve as a model for other EU countries looking to safeguard their tourist destinations from environmental harm.

Finding balance between tourism and preservation

Greece’s new taxes and regulations represent a significant change in how the country handles tourism.

While some visitors might be put off by the higher costs, the goal is to create a more sustainable tourism model that supports local communities and protects the natural beauty of its famous islands.

In the long run, this approach could change how tourists experience some of the EU’s most popular destinations.