THE House Committee on Ways and Means on Monday endorsed for plenary approval the substitute bill imposing excise tax on single-use plastic.
Albay Rep. Joey Sarte Salceda, the panel chairman, said the proposal will provide the government an additional P4.8 billion annual revenue.
According to Salceda, the revenue from this proposal would help fund the government’s solid waste management programs under the Ecological Solid Waste Management Act of 2000.
“This is to recommend an excise tax on single-use plastic bags in the interest of environmental and health protection and to outline potential methods by which the excise tax can be administered,” Salceda said.
The bill will add a new section designated as Section 150-C of the National Internal Revenue Code of 1997. Under the new section, an excise tax in the amount of P20 shall be imposed for every kilogram of plastic bag removed from the place of production or released from the custody of the Bureau of Customs.
The bill defines the plastic bag as secondary-level plastic made of synthetic or semi-synthetic organic polymer, commonly known as “labo” or “sando” bags, with or without handle, used as packaging for goods or products.
The principal author of the bill, House Committee on Ways and Means Vice Chairman Estrellita B. Suansing of Nueva Ecija, said the proposal seeks to encourage “the exploration and utilization of environment-friendly alternatives to single-use plastic bags.”
Suansing said revenues 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 trillion 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.
Earlier, Philippine Plastics Industry Association Inc. (PPIA) President Willy Go told lawmakers the proposal “will hurt and eventually ‘kill’ the industry.”
Go said members of the industry are currently facing the negative impact of local ordinances banning the use of plastic bag in their areas. Several local government units have already issued ordinances against the single-use plastic bags.