‘Latte levy’ on single-use cups would be counterproductive, retailers say

Majority believe trying to be as sustainable as possible will cost their business money, survey finds

The Government has proposed a 20 cent levy on single-use coffee cups, a move criticised by most outlets as uneconomical. Photograph: Dara Mac Donaill

Six out of 10 retailers believe trying to be as sustainable as possible will cost their business money, while the proposed “latte levy” on single-use coffee cups will be counterproductive, according to Retail Excellence Ireland.

The group, which is the largest representative body for the retail industry in Ireland, warned that the proposed 20 cent levy “does not make sense”.

“It is good to see the Government place a real emphasis on sustainable measures, but the coffee-cup levy does not make sense,” said managing director Duncan Graham.

“It wants consumers to use reusable coffee cups, but these are generally made from plastic which is clearly harmful to the environment. Single-use cups, meanwhile, are compostable and will degrade naturally.

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“The cost of living is soaring and retailers and consumers cannot afford a further levy on goods. A transition to using multiple-use items such as cups and bowls will require restaurants and shops to install new washing and drying systems.

“Danish consultancy group Ramboll have concluded that switching to hard plastic ‘keep cups’ would result in the use of 3.6 times more water and 2.8 times more carbon compared to usage for compostable paper cups.”

Practical steps

A new retail sustainability initiative, Sustainable Irish Retail Action (SIRA), is to be launched in Dublin on Wednesday in conjunction with Retail Excellence and Champion Green. It will seek to support Irish businesses to take practical steps in becoming more sustainable.

A survey conducted by SIRA in February and March among 232 retailers around Ireland suggests the worsening effects of climate change pose a “giant risk” to businesses.

Three-quarters of retailers are concerned about the effects of climate change on their business, while 80 per cent believe it is important for their business to be seen as sustainable.

Three-quarters believe they will need to offer more sustainable products and services in the future, while 57 per cent believe it’s primarily the Government’s responsibility to tackle climate change and promote sustainability.

“Climate change is no longer a passing concern – it is a clear and present danger for every single person on the planet,” said Mr Graham. “Retailers in Ireland are understandably concerned about worsening climate change and the giant risk it poses to their business.

“The retail industry has just emerged from the worst two years of trading on record, and now business owners – and SMEs in particular – have to contend with rapidly rising inflation, supply chain problems and a nationwide staffing crisis.

“On top of all that, consumers are increasingly demanding the sustainable option, but that costs money which retailers simply cannot afford.

“It goes without saying that climate change is a huge risk, but retailers, suppliers and consumers alike want to do something meaningful about it.”

Colin Gleeson

Colin Gleeson

Colin Gleeson is an Irish Times reporter