THE House Committee on Ways and Means on Tuesday endorsed for plenary approval the measure imposing an excise tax on single-use plastic, which could generate additional revenues of P4.8 billion for the government.
Albay Rep. Joey Sarte Salceda, the panel chairman, said the substitute bill will impose a levy of P20 per kilo on single-use plastic bags used in supermarkets, malls, shops, stores, sales outlets and similar establishments. “The proposal also seeks to impose a P0.07 per piece of sando plastic bag with minimal impact or P4.8 billion [revenues for the government] on the first year of implementation,” Salceda.
Under the bill, 100 percent of the revenue will be earmarked for solid waste management and the implementation of Republic Act 9003, or the Ecological Solid Waste Management Act.
House Committee on Ways and Means Vice Chairman Estrellita Suansing of Nueva Ecija, principal author of the bill, said the measure seeks to encourage the exploration and utilization of environment-friendly alternatives to single-use plastic bags.
Also, Suansing said the revenue from this proposal could be used to finance programs and projects to counter the harmful effects of plastic pollution in the country.
“It is a known fact that
plastic bags contaminate soil and
waterways. Based on available data, 4 to 5 trillion plastic bags are utilized
worldwide each year, and billions of these end up as litter,” she said.
“These are, likewise, toxic to both humans and animals, especially, when accidentally ingested. Plastic marine debris have been documented to harm at least 267 species, among which are sea turtles and dolphins,” Suansing added.
In a separate interview, Environment Undersecretary for Solid Waste Management Benny Antiporda called on Congress to impose taxes first on plastic residuals and sachets as these constitute majority of garbage in the country’s landfills.
Next step
Salceda said the committee will also study the feasibility of imposing excise tax on sachet packaging.
“It’s [tax on single-use plastic] just the first step. The next step is a tax on primary plastic packaging, especially sachets, since it accounts for two-thirds of solid waste and garbage,” he said.
“We deferred that due to possible food inflation and prices of basic commodities like shampoo and toothpaste. However, if poverty goes [down to a] single digit, we will include it possibly in three to four years,” Salceda added.
Killing the industry
Earlier, Philippine Plastics Industry Association Inc. (PPIA) President Willy Go said the proposal will hurt and eventually kill the industry.
Go also appealed to the House to consider the economic impact of the bill imposing excise tax on single-use plastic bags produced in the Philippines.
He said members of the industry are currently hurting from local ordinances that banned the use of plastic bag in their areas. Several local government units have already issued ordinances against the single-use plastic bags.
Philippine Amalgamated Supermakets Association President Steven Cua said the proposal might affect the economy.
Cua said big supermarkets can comply with the proposal but it will be difficult for small stores, which use thin single-use plastic bags.
Image credits: Jimbo Albano