AUSTRALIA – A recent research conducted by the Australia Institute reveals that implementing a tax on plastic packaging, akin to the European Union model, could potentially generate close to A$1.5 billion (US$1 billion) annually.
The analysis suggests that the federal government has the capacity to raise A$1,300 per tonne of ‘virgin’ or un-recycled plastic by imposing a levy on businesses engaged in the import or manufacture of plastic packaging.
Nina Gbor, the Circular Economy & Waste Program Director at the Australia Institute, emphasizes the pressing issue of Australia grappling with a burgeoning surge of plastic waste, anticipating a shortfall in achieving established recycling targets.
The country currently recovers less than one-fifth of the annually utilized plastic waste, with consumption predicted to escalate to nearly 10 billion tonnes by 2050.
Gbor contends that relying solely on recycling is insufficient to address the plastic waste crisis, as it inadvertently encourages the generation and consumption of additional waste, exacerbating the burden on landfills and oceans.
She underscores the necessity of either substantially reducing or gradually phasing out plastics in favor of compostable materials to effectively combat the escalating plastic waste predicament.
Drawing inspiration from the European Union’s initiative, which levies €800 (US$877.24) per tonne of unrecycled plastic packaging waste, the Australia Institute proposes a similar levy, translating to A$1,300 per tonne.
Given Australia’s annual consumption of 1.179 million tonnes of ‘virgin’ plastic packaging waste, the federal government could potentially amass A$1.46 billion through the imposition of a user-pays levy.
Public sentiment, as gauged by a poll conducted by the Australia Institute, indicates strong support for more robust measures to combat plastic waste.
Out of the 1,002 respondents surveyed, an overwhelming 85% express backing for legislated waste reduction targets applicable to producers, suppliers, and retailers.
An equivalent proportion supports legislation requiring plastic products to incorporate recycled materials, while 78% endorse a ban on plastics unsuitable for recycling in the curbside bin.
Gbor underscores the popular backing for stringent measures to curb plastic waste and points out that taxes and schemes compelling producers to fund the collection and recycling of the plastic they generate have proven effective in other regions.
In light of Australia’s increasing plastic consumption, she advocates for immediate governmental action, citing the European Union’s model as a commendable starting point.
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