1cc Blog

24

Jul 2020

Several European Countries to set taxes on plastic packaging made of virgin plastics

On 24 , Jul 2020 | In | By Gisa Scheschonka

Plastics are important material in the economy. However, they are a huge challenge for waste management, resource efficiency and the environment.
Therefore, European policy makers strive to incentivise sustainable plastic design.

Taxes and fees are, amongst others, some of the measures that may be introduced to call upon producers to increase the sustainability of plastics and to boost the market for recycled content.
Against that background, several European countries will introduce a so-called “Plastic Tax”.

Italy approved end of last year a tax of € 0,45 per kilogram on single use plastic products. Examples of products affected by the tax include inter alia expanded polystyrene packaging and plastic carrier bags. Adopted by the budget law for this year and originally expected to become effective as of 1. July 2020, the implementation was postponed due to the Corona situation to 1. January 2021.

Great Britain is discussing the introduction of a tax on plastic packaging containing less than 30% recycled material. The tax shall apply on plastic packaging imported into or manufactured in the UK and shall take effect from April 2022. The definition of plastics according to the UK regulations varies from the EU definition. Plastic packaging used for wrapping goods as well as unfilled packaging will be in scope of the regulation.
The tax is set at a flat rate of £200 per tonne.

Spain presented for public consultation a preliminary draft for plastic tax, introducing an indirect levy on the manufacture, import or acquisition of non-reusable plastic packaging for use on the Spanish market. The tax rate shall be EUR 0,45 per kilogram of packaging. Spanish officials expect the new tax levy would bring in around 724 million euros.

1cc is monitoring the legislative developments in this matter worldwide. Please refer to our website for the most up-to-date news. 

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