Article Search

 Plastic bag levy: money for nothing?
    Melanie Gosling
    November 08 2006 at 04:38AM
Get IOL on your
mobile at m.iol.co.za

Consumers have forked out more than R100-million to the government from the compulsory plastic bag tax - imposed three years ago to fund a national recycling programme - but to date not a single bag has been recycled from this lucrative fund.

The bulk of the money has gone straight into government coffers.

The government's 3c tax on every plastic carrier bag manufactured or imported into the country is built into the price - from 15c to 21c - that shoppers pay for a bag at the till. The tax was imposed on the manufacturing industry with the intention that the money collected would be used to set up a national recycling programme, which would both clean up the environment and create thousands of jobs.
Continues Below ↓





While the price of plastic bags has meant consumers have not tossed them away as readily as they did in the past, resulting in a noticeable reduction of plastic bag litter, none of the money has been used to recycle plastic bags, nor have any recycling jobs been created.

'That is not a lot in their lives'
And although consumers have been paying for carrier bags since May 2003, the South African Revenue Service started collecting the 3c tax only in mid-2004. At the end of the 2004/05 financial year, Sars had collected R41 214 000 from the plastic bag tax and in 2005/06 it collected R61 385 000. Sars collected no plastic bag tax for the 2003/04 financial year. It is not clear where the money from the tax went to in the initial year.

Although former environment minister Valli Moosa introduced the plastic bag tax with the purpose of cleaning up the environment, the Treasury does not allow taxes to be "ring-fenced" - kept in a separate kitty to be used for one purpose. The tax has therefore gone into government coffers, and the department of environment affairs and tourism has to apply to the Treasury to get any of that money back for recycling.
'I reckon they're creaming it'


Continues...


Email StoryPrint Story
BOOKMARK THIS STORY
Social bookmarking allows users to save and categorise a personal collection of bookmarks and share them with others. This is different to using your own browser bookmarks which are available using the menus within your web browser.

Use the links below to share this article on the social bookmarking site of your choice.

Read more about social bookmarking at Wikipedia - Social Bookmarking

muti



Subscribe now to The Star
     Related Articles
More South Africa stories

Watch IOLs latest videos on YouTube Join IOLs Facebook page Follow IOL on Twitter





     Online Services

Date Your Destiny
 
I'm a 28 year old woman looking to meet men between the ages of 30 and 38.
 

     More Services

     More South Africa Stories