Rs. 15 Million daily tax revenue proposal to save the Environment

January 9, 2025 at 9:39 AM

The Center for Environmental Justice (CEJ) has urged the government to implement the tax on single-use plastics as stated in the Supreme Court case (No. SCFR 220/21). 

According to a statement from the CEA, its Chairman Hemantha Withanage has sent a letter to President Anura Kumara Dissanayake in this regard.

The CEJ states another environmental problem facing Sri Lanka is the excessive generation of plastic waste, and it is estimated that about 20 million plastic bags are thrown away every day, in addition to other plastics. This amount of waste poses a significant threat to the environment and public health.

Although legislation was introduced in 2008 to impose a conservation levy on plastic bags, its implementation was prevented by the decision of the SCFR 368/2008 case filed against it. Against this, on 20 July 2021, the Centre for Environmental Justice and its Chairman Hemantha Withanage filed a Fundamental Rights Petition No. SCFR 220/21 in the Supreme Court. The petition calls for manufacturers to develop practical procedures to reduce the production of polyethylene, and for consumers to implement practical procedures to reduce the use of single-use plastics. In this case, SCFR 368/2008, the petitioner, the Government, the Consumer Affairs Authority of Sri Lanka, the Central Environmental Authority (CEA), and other parties, as parties, reached a settlement on 28th March 2024, agreeing to impose a tax on single-use shopping bags as a step to resolve the dispute over plastic pollution.

However, due to the laxity seen in this regard during the previous government, the Ministry of Finance and the Treasury did not take steps to establish such a fund, and therefore, this decision was not implemented. Although the Consumer Affairs Authority lifted the ban on charging a price for bags imposed in 2008 without imposing a surcharge, shopkeepers should do both at the same time, as they are earning a profit from the sale.

“We believe that if we impose a price on plastic bags, it will reduce the number of discarded bags to some extent, and the proposed tax could generate a revenue of approximately Rs. 15 million per day, which could be effectively used for environmental conservation and waste management initiatives. 

“However, nine months after the settlement, the agreed course of action has yet to be implemented. This delay undermines efforts to reduce the environmental impacts of plastic pollution.

“We would also like to draw your attention to the global trend of implementing laws and policies aimed at minimizing, discouraging, or prohibiting the use of certain drugs. Ireland, most European countries, as well as several African and Asian countries, including Kenya and Rwanda, have successfully introduced taxes and other regulatory measures to reduce the use of single-use plastics. These initiatives have proven effective in significantly reducing plastic waste and promoting sustainable uses,” it said.

According to the CEJ, currently, discussions are underway under the auspices of the United Nations on a global agreement to limit the use of plastic, which also includes plans to ban these single-use plastics.

Therefore, considering the urgency of this matter, the Center for Environmental Justice has requested the urgent attention of the President to ensure that the court settlement of SCFR 220/21 is implemented accordingly.

“We would like to inform you that by implementing this surcharge, Sri Lanka will be able to take a significant step towards reducing plastic waste while also freeing up much-needed funds for environmental conservation and sustainable development,” the CEJ added. (Newswire)