Minister preparing to put tax on plastic bags

The government, in an attempt to reduce pollution, is preparing to impose a tax on the 1

The government, in an attempt to reduce pollution, is preparing to impose a tax on the 1.2 billion plastic bags handed out free each year in shops and supermarkets.

A consultancy study published yesterday by the Minister for the Environment, Mr Dempsey, recommends that a charge of more than 3p per unit be imposed either on individual users of plastic bags or on manufacturers. Mr Dempsey yesterday gave the plastics industry, retailers and the public two months to give their views on the study. He has not decided whether to impose the tax on producers and wholesalers or on shoppers at point-of-sale but said the Government is determined to take action. "The day of the plastic bag is coming towards an end," he said.

However, Superquinn's chief executive, Senator Feargal Quinn, warned yesterday that Mr Dempsey's proposal "will just be a tax on foodstuffs" unless the public is persuaded to reduce its use of the bags, though he welcomed the Government decision to take action.

A Tesco spokeswoman said the company broadly supported initiatives to reduce the use of plastic bags and would be studying the Minister's initiative.

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Mr Dempsey said the Government was determined to tax plastic bags. "Over 1.2 billion plastic bags are handed out free of charge every year to customers in about 19,000 shops and other retail outlets throughout this country. Most end up in landfill.

"Too many end up in the environment as litter. In addition, plastic bag pollution is a threat to our ecosystems, natural habitats and wildlife. We simply cannot allow this to continue." . A spokesman for the Plastics Industries Association said the planned tax was "a draconian proposal which is completely disproportionate to the environmental nuisance caused by windblown carrier bags".

Although Mr Dempsey has not decided upon whom the tax should be levied, the consultancy study recommends that the 3p per unit tax be paid by the manufacturers and wholesalers rather than by the consumer at point of sale. It says that while the point of sale approach would ensure that the "polluter pays" principle is observed, it would be difficult to administer.

Tesco and Superquinn and the Musgrave SuperValu-Centra group have already introduced schemes to encourage shoppers to reduce the number of plastic bags they use, while Dunnes Stores said yesterday it planned to introduce a scheme in a month's time.