Waste management scheme to replace eco-tax payments

A not-for-profit company is being set up to manage a national waste management scheme on behalf of businesses, allowing companies to participate in a cost-effective programme of collection and recycling, instead of paying eco-tax on their products.

The Malta Chamber for Small and Medium Enterprises (GRTU) announced its licence to operate a packaging waste recovery scheme, offering an alternative to GreenPak, another company that provides a similar service.

These schemes allow businesses to be directly involved with waste management rather than leaving it all up to the government, GRTU director-general Vince Farrugia said.

He said the schemes are based on the polluter-pays principle which means that companies that produce goods are responsible for them even after they are disposed of.

Mr Farrugia said the GRTU believes that this should not be limited to producers of goods and is encouraging importers or service providers to participate.

The company, Green mt, will collect money from businesses to take care of their environmental responsibilities, including collection and recycling. The premiums paid will depend on market share and the product's environmental impact, and any profits made will result in a reduction of the next year’s payments.

Mr Farrugia stressed that Green mt will guarantee cost effectiveness by bringing together the best local and foreign waste handling companies to reclaim the maximum amount of waste generated by its members. It will be advised by a supervisory committee comprised of members from relevant business sectors as well as the local councils.