Eco tax on plastic bags from March 1
The tax on plastic bags announced in the last budget will start being charged from March 1, as the new eco-contribution regime kicks in.
The tax is an attempt to reduce the 40 million plastic bags which the Maltese use yearly.
Unlike a similar eco-contribution measure introduced in 2005 - which had failed miserably - this regime does not differentiate between the conventional bags and those produced with environmentally-responsible degradable and biodegradable material. The same eco-contribution will have to be paid on any of the materials.
The move was met with criticism on the basis that it would be defeating the objective of the scheme (to promote greener alternatives to the traditional plastic bag). But Chris Ciantar, the permanent secretary within the Resources and Rural Affairs Ministry, yesterday defended this blanket contribution saying that there is no international standard on degradable and biodegradable materials.
He stressed that this was not a revenue generator but a measure to discourage people from using these plastic bags and opt for reusable bags instead.
Asked whether the government had a target it wanted to achieve, Dr Ciantar said there are no targets but added that similar schemes in other countries have reduced the use of plastic bags by 95 per cent.
The scheme will be enforced by the 40 enforcement officers of the VAT Department. The tax will apply as from March 1 to give producers enough time to get rid of their stocks.
Whoever produces or imports plastic carrier bags will have to print on each side of bag the name and address of the person registered under the Eco-Contribution Act, the registration number and the batch number of the consignment.
Shopkeepers will have to punch in the plastic bags, one by one, on the fiscal receipt.
Dr Ciantar said consumers will not be held liable for any shortcoming but anyone else found in breach of the eco-contribution rules will be prosecuted.
They would face a fine of not less than €1,000 for the first offence, €1,500 for the second, €2,000 for third and €2,500 for the fourth within a 24-month period.
On the fourth offence, the court may also order that an establishment be closed for between a week and a month.
People may also pay what is being described as a "compromise fine" to avoid prosecution. This fine amounts to €500, €750 and €1,000 respectively for the first, second and third offence.
Dr Ciantar said the government was aware that shopkeepers were already charging consumers for shopping bags, adding that this was "perfectly legal". When asked, he said €0.15 was the minimum charge which covered just the eco-contribution. Retail outlets are free to charge any price for the plastic bags.
The Chamber of Small and Medium Enterprises (GRTU) was one of the major critics of this new system. Contacted yesterday, however, GRTU director general Vince Farrugia said the chamber was foursquare behind the government after their concerns were addressed. He said the March 1 date gives retailers enough time to get rid of their stock.
He said that with such a measure, "plastic bags will die out". Now, he said, the GRTU was holding discussions with the government to distribute the grey recycle Tuesdays bags for free to encourage recycling. Sales of grey bags had reached a plateau, indicating that interest was dying out.
Mr Farrugia said retailers did not want to distribute plastic bags for free because when a big chain of supermarkets came to the island, it started charging for bags, making them feel disadvantaged.
13 Comments
Post comment
Please sign in or create your Account to post comments.
David Reiling
Jan 30th 2009, 08:24
One must remember that most people have had free poor quality plastic carrier bags as an "extra bonus" freebie as a result of shopping and these get re-used for their daily household waste. Thus, saving the expense of buying the much larger and more expensive bin liners-highly inappropriate for the thousands of small flat dwellers...paper bags are also not good as these split easily, get wet, easier and more edible for the rodents, cats and dogs....this is plain crazy, i can foresee many health and environmental issues here. It would have been much easier and less beaurocracy if they had installed a credit system for the re-use of plastic carrier bags.
It also seems unfair to those shop owners who have bought in bulk in order to keep their costs down-will the government be refunding them - i think not......
where does one get the recycling bags? i have seen people using them but never seen them on sale?
Joseph Schembri
Jan 29th 2009, 18:21
I never thought I'd be saying this but I agree completely with lgalea - in Malta we had in place a perfect system that discouraged plastic bottle use and made returning glass bottles practical. The EU has destroyed all this.
Philip Camilleri
Jan 29th 2009, 17:13
The date March 1st to get rid of the plastic bags in stock is a joke. Do The ministry for rural affairs and Mr vince Farrugia For Grtu know that a serious shop keeper always stock an amount of bags to cover at least 8 months. The Ministry should give more time so that ,those shops that had ordered the bags before November 08 , and so, they did not know what was going to happen,will have enough time to get rid of the stock. If the ministry dont want to see any more plastic bags around he is free to do it ,but please dont do it on our expense.
D Vella
Jan 29th 2009, 14:13
WHAT A BUNCH OF WHINERS!! I've been using cotton bags for the last 4 years . . . they're stronger than plastic bags, can be washed when necessary and fold to a size that can be carried in one's pocket!! I wouldn't like to think that most of the Maltese population is too lazy and stupid to adopt a similar practice but I am starting to become seriously concerned!! What is wrong with using bin liners to dispose of your rubbish in Mister Oatmon??? Some of us have been doing it for years! Oh, and do you separate your waste?? If you did, it may have occurred to you that only a small portion of it needs to be put in an impermeable container. A bin-liner is usually large enough for a whole week's worth!
With regard to plastic bottles, maybe it is time to impose a hefty eco-tax on those too . . . maybe people will get the message and start drinking less soft drinks . . . they are not exactly the healthiest of beverages and judging by the prodigous amounts consumed locally, making them more expensive will be a health bonus to the maltese people!!
F J Brincat
Jan 29th 2009, 13:54
Mr Camilleri,
I assure you that manufacturers want nothing more than to sell the high quality plastic bags as they make more profit on them. The thing is, these cost more to the retailer (who has nothing to do with the eco tax of €0.15 – this goes to the government). So, in some cases, retailers might have to also include the cost-price of the bag apart from the ECO tax.
If I am correct, the charge imposed by Lidl is not an environment contribution tax but a nominal cost of the bag. That means that Lidl might have to add the €0.15 on top of what they are already charging. Of course, I stand to be corrected.
Mr Dimech:
The ECO TAX targets plastic CARRIER bags – plastic bags with handles not the normal plastic bags such as the ones you mention( used to package sliced bread). However, such bags might fall under the EU packaging directive at a later date.
As always, I stand corrected.
A Cardona
Jan 29th 2009, 13:49
I believe that it will only be a matter of a few months until this decision is reversed ...once Malta is covered in rubbish.
Paul Barrett
Jan 29th 2009, 12:43
@ J Oatmon
Absolutely right.
There will be little or no money collected from this tax but it will cost more in health care as a result of a less hygienic environment.
All the effort to clean up Malta will now be lost due to loose rubbish blowing about instead of being kept together in re-used plastic bags.
F J Brincat
Jan 29th 2009, 12:29
Mr Oatmon, in that respect, then people will have to start using the black plastic bags (the bin liners). Don’t forget that this measure targets plastic CARRIER bags.
victor dimech
Jan 29th 2009, 11:46
What about bread packed in plastic bags will it go up by 0.15as well from 1st march/?
A Camilleri
Jan 29th 2009, 11:43
I hope that now that we are going to be charged dearly for plastic bags, manufacturers shift back to producing the large and sturdier type, similar to the ones used by Lidl. In this manner the consumer will only require 1 bag for every 3 flimsy ones, and they can be reused.
C. Farrugia
Jan 29th 2009, 11:05
Quote: "The tax is an attempt to reduce the 40 million plastic bags which the Maltese use yearly."
And what about the millions of soft-drink and water plastic bottles?? Oh dear me,...that must have ONLY been a small *oversight*!
J Oatmon
Jan 29th 2009, 09:33
"He said that with such a measure, "plastic bags will die out".
This may be OK for shopping, but soon after this takes effect household rubbish will be left outside in paper bags for collection - and when wet these will fall apart dumping rubbish all over the place.
Paper bags will be easier for cockroaches rats and mice and other vermin to break open and leave a mess on the pavements.
'No plastic bags' may be fine for the environment, but it will help spread disease and be bad for our health!
lgalea
Jan 29th 2009, 09:03
How about imposing an ecotax on all imported plastic bottles?
Or do you not have the guts to challenge the eu honorable minister?
This is another negative effect of eu membership whose petty dictators imposed upon the Maltese government to repeal the law that we had which prohibited plastic bottles in Malta because otherwise producers from other eu countries could not export their products to Malta.
We are now being lumped with some 50 to 60 MILLION plastic bottles every year to pollute our environment.
And the eu petty dictators have the gall to say that they want to protect the environment! As if.