Producers and importers forming part of a scheme which ensures the waste they put on the market is collected for recycling are still waiting to be exempted from eco-tax despite having been so promised.
The members in this scheme number about 400.
The last time they were pledged this exemption was in January, when Environment Minister George Pullicino told a Bank of Valletta seminar that the government was binding itself that by (last) July 1, each importer or producer participating in the scheme would be exempted from the eco-contribution on packaging material.
July 1 has come and gone without any outcome. On Tuesday the Chamber of Commerce announced that its members who were joining GreenPak, the only scheme on the ground so far, are still waiting for their exemption.
Chris Ciantar, Permanent Secretary at the Environment Ministry said the government's commitment to exempt scheme members from the payment of eco-tax was still applicable, but this was not possible as long as the government kept financing the recyclable waste collection scheme.
"During discussions the government had been having with the constituted bodies to help in the establishment of suitable schemes, they (the constituted bodies) had said that they would be financing the recyclable waste collection scheme after 10 weeks of it being in place.
"Ten weeks have come and gone and the scheme is still being financed by the government. Each collector trip is costing the government €186 and as long as the government keeps forking out this money, it cannot be expected to also exempt industry from the payment of eco-tax," Dr Ciantar said.
Those importers and producers who have been paying to be part of a scheme ensuring that the waste they place on the market is collected for recycling will eventually be refunded for the eco-tax they have paid since 2005 - if they have all the necessary paperwork in order, he said.
When the government introduced eco-tax in September 2004, it immediately promised the industry that if it assumed the responsibility for the waste it placed on the market, it would be exempted from paying the contribution.
It had also said that the taxation did not divest importers and producers from their responsibility for the waste they put on the market, which they were responsible for, according to EU directives.
Soon after the introduction of the eco-tax, the industrial sector formed a collection scheme - GreenPak, and this remains the only scheme on the market so far.
However, another scheme is currently being finalised by the Chamber of Small and Medium Enterprises - GRTU.
Dr Ciantar said that, out of 10,000 or so registered producers and importers, only between 300 to 350 had initially joined GreenPak with the Chamber of Commerce, the Federation of Industry, the Chamber of Small and Medium Enterprises - GRTU and the Malta Hotels and Restaurants Association refusing to be part of the scheme, arguing they did not want to join a monopoly and would be setting up their own scheme.
Since no second scheme was launched, the government published a White Paper saying it would be drawing up its own scheme.
However, the constituted bodies said they would draw up their own scheme with help from the government. Weekly discussions were held and in the interest of efficiency, the government tried to encourage the industry to join the already existing scheme.
When talks with GreenPak failed, the constituted bodies started drawing up their own scheme with the government's assistance.
From the very beginning, the government made it a point to include collectors who were involved in waste collection contracts with local councils. Moreover, the government believed that no scheme would work without their (the collectors') participation.
Local councils had to be involved because they contracted the collectors so discussions were also held with the Association for Local Councils, which was instrumental in introducing a recycling culture among the public.
The constituted bodies failed to reach an agreement among themselves and while the Chamber of Commerce announced on Tuesday it had endorsed GreenPak, the GRTU is forging ahead with the establishment of its own scheme.
The government still hopes that eventually the two schemes would be combined for greater efficiency.
The country's 10,000 declared producers and importers said they were putting on the market 90,000 tonnes of waste annually, according to Dr Ciantar.
The plan was that the government would eventually stop financing the recyclable waste collection scheme and negotiate with the scheme promoters who would finance the collection of waste, Dr Ciantar said.
The members in this scheme number about 400.
The last time they were pledged this exemption was in January, when Environment Minister George Pullicino told a Bank of Valletta seminar that the government was binding itself that by (last) July 1, each importer or producer participating in the scheme would be exempted from the eco-contribution on packaging material.
July 1 has come and gone without any outcome. On Tuesday the Chamber of Commerce announced that its members who were joining GreenPak, the only scheme on the ground so far, are still waiting for their exemption.
Chris Ciantar, Permanent Secretary at the Environment Ministry said the government's commitment to exempt scheme members from the payment of eco-tax was still applicable, but this was not possible as long as the government kept financing the recyclable waste collection scheme.
"During discussions the government had been having with the constituted bodies to help in the establishment of suitable schemes, they (the constituted bodies) had said that they would be financing the recyclable waste collection scheme after 10 weeks of it being in place.
"Ten weeks have come and gone and the scheme is still being financed by the government. Each collector trip is costing the government €186 and as long as the government keeps forking out this money, it cannot be expected to also exempt industry from the payment of eco-tax," Dr Ciantar said.
Those importers and producers who have been paying to be part of a scheme ensuring that the waste they place on the market is collected for recycling will eventually be refunded for the eco-tax they have paid since 2005 - if they have all the necessary paperwork in order, he said.
When the government introduced eco-tax in September 2004, it immediately promised the industry that if it assumed the responsibility for the waste it placed on the market, it would be exempted from paying the contribution.
It had also said that the taxation did not divest importers and producers from their responsibility for the waste they put on the market, which they were responsible for, according to EU directives.
Soon after the introduction of the eco-tax, the industrial sector formed a collection scheme - GreenPak, and this remains the only scheme on the market so far.
However, another scheme is currently being finalised by the Chamber of Small and Medium Enterprises - GRTU.
Dr Ciantar said that, out of 10,000 or so registered producers and importers, only between 300 to 350 had initially joined GreenPak with the Chamber of Commerce, the Federation of Industry, the Chamber of Small and Medium Enterprises - GRTU and the Malta Hotels and Restaurants Association refusing to be part of the scheme, arguing they did not want to join a monopoly and would be setting up their own scheme.
Since no second scheme was launched, the government published a White Paper saying it would be drawing up its own scheme.
However, the constituted bodies said they would draw up their own scheme with help from the government. Weekly discussions were held and in the interest of efficiency, the government tried to encourage the industry to join the already existing scheme.
When talks with GreenPak failed, the constituted bodies started drawing up their own scheme with the government's assistance.
From the very beginning, the government made it a point to include collectors who were involved in waste collection contracts with local councils. Moreover, the government believed that no scheme would work without their (the collectors') participation.
Local councils had to be involved because they contracted the collectors so discussions were also held with the Association for Local Councils, which was instrumental in introducing a recycling culture among the public.
The constituted bodies failed to reach an agreement among themselves and while the Chamber of Commerce announced on Tuesday it had endorsed GreenPak, the GRTU is forging ahead with the establishment of its own scheme.
The government still hopes that eventually the two schemes would be combined for greater efficiency.
The country's 10,000 declared producers and importers said they were putting on the market 90,000 tonnes of waste annually, according to Dr Ciantar.
The plan was that the government would eventually stop financing the recyclable waste collection scheme and negotiate with the scheme promoters who would finance the collection of waste, Dr Ciantar said.