PLASTIC pollution is a global problem. Plastic is non-biodegradable and thus stays in the environment for a very long time. Millions of animals are killed by plastics every year, from birds to fish to other marine organisms. They get entangled with discarded fishing gears or starved to death when they eat plastic which they mistake for food.
According to a World Bank report, the Philippines is the third largest contributor of marine plastic with an estimated 0.75 million metric tons of mismanaged plastic entering the ocean every year. President Bong Bong Marcos, in his inaugural speech, acknowledged this problem and made a commitment to address it.
Recycling is not enough to address plastic pollution. Some countries resort to drastic measures by banning single-use plastics. We don’t have a plastic ban law. Some LGU’s however have ordinances which ban or regulate the use of single-use plastic, particularly plastic bags.
Another approach to curb plastic pollution is to impose tax on single use plastics. In December last year, House Bill 9171 which seeks to impose a PHP20 per kilo levy on single-use plastic bags used in supermarkets, malls, shops, stores, sales outlets, and other establishments was approved on third and final reading. There was no approved Senate version so it did not become a law.
Recently however, Finance Secretary Benjamin Diokno announced during a press conference with other members of the economic team of PBBM that they will impose a tax on single-use plastic. However, the primary purpose of the move is to boost revenues. The environmental aspect seems to be secondary.
There are no details yet on what specific products will be taxed. Single-use plastic may include mineral water and soda bottles, forks, spoons, coffee cups and drink containers, sachets, food containers and fast food packaging and of course, plastic bags. I believe imposing a tax on most of these items will only add burden to the consumers and will not significantly reduce plastic waste. People will continue to patronize mineral water, soda and products in sachets.
The excise tax will have a big impact on plastic bags. According to a 2018 study in the American Economic Journal: Economic Policy, a five-cent tax (P 2.80) on disposable bags reduced disposable bag usage by 40 percentage points.
Ireland introduced a EUR 0.15 (approx P 8.00) plastic bag levy in 2002. The tax, levied on consumers, applies to bags made wholly or partly of plastic, sold at any sales outlet. This led to an immediate 90% reduction in the use of plastic bags.
In Denmark, a plastic bag tax was introduced as early as 1994 to reduce the use of plastic carrier bags and to prevent waste production. The introduction of the tax halved the consumption from around 800 million bags to 400 million bags, which amounts to around 80 bags per person annually.
Let’s see if this proposed tax on single-use plastic will achieve its purpose.