Representatives of the waste management industry have urged the government to back plans for a £200-a-tonne tax on plastic packaging containing less than 30% recycled content.
Today (20 August) marks the deadline for responses to the consultation on the proposed tax, to apply from April 2022 (see letsrecycle.com story).
Chancellor Rishi Sunak laid out plans for the tax in his first budget in March
Tim Duret, technology and organics director at Veolia UK and Ireland, said: “The plastics packaging tax is the key that the country needs to unlock the next step towards meeting our targets and becoming truly sustainable.
“First we need to deliver on the inclusion of recycled content in new packaging. What is fundamental to this is implementing a strong financial driver on reuse and recycled content, and to ensure that the system is changed to allow real eco-design to commence. If done right, this is exactly what the plastics packaging tax will offer.
“We are continually making significant developments in plastics recycling, elevating the technology we use to optimise processes and working closely with customers to help make more sustainable designs.”
Tax
Initially due to close in May, the consultation was extended due to the impact of the coronavirus (see letsrecycle.com story).
Chancellor Rishi Sunak set out plans for the plastics tax in his March budget. The budget document explained that the tax is set to be introduced in April 2022 and set at £200 a tonne, subject to consultation (see letsrecycle.com story).
It will apply for plastic packaging containing less than 30% recycled plastic manufactured in or imported to the UK.
Ambition and implementation
Mr Duret’s sentiments were echoed by Jacob Hayler, executive director of the Environmental Services Association (ESA).
Jacob Hayler is the executive director of the ESA
He said: “Our sector is ready to push the button on significant further investment in domestic plastic recycling and reprocessing infrastructure, which will create new circular-economy jobs, but to unlock this investment it is imperative that government gets both the plastics tax and the Resources & Waste Strategy right.
“It is important that those responsible for the final design of the plastics tax heed the warnings from multiple sectors, including ours, to avoid loopholes or unintended consequences that may drive packaging towards hard-to-recycle materials or packaging formats – diminishing or reversing the net environmental benefit of the tax.
“Although the economic outlook for the country is uncertain as a result of the Covid-19 crisis, we would urge HMRC to stay the course in both the ambition and implementation of the plastics tax. To water down the detail, or to delay implementation, would be costly to the UK’s long-term sustainability goals and the achievement of our national recycling targets, and will be contradictory to the pursuit of a ‘green recovery’ from the crisis.”
Comprehensive
The ESA says it supports a comprehensive plastic packaging tax as a complementary counterpart to Defra’s Resources & Waste Strategy.
The trade organisation says it believe the rate of £200 per tonne renders the tax “effective and ambitious”, but suggested it would like to see an ‘escalator’ approach for the tax price and recycled content percentage, such as is the case with the Landfill Tax, to drive future innovation.
The ESA says HMRC was right to include bio-based, compostable and biodegradable plastics within the scope of the tax. However, it says it believes HMRC must be clear on the definition of ‘cellulose-based polymers’, which are excluded from the tax, to make sure manufacturers and consumers understand how these are distinct from other forms of plastic and how they interact with the recycling and waste management system.
Circular economy
Waste management company Biffa also expressed support for the tax.
Simon Rutledge, group external affairs & sustainability manager at Biffa, said: “Biffa has always supported the plastics tax and favours the effect it will have in driving high quality plastic recycling.
“The levy complements our wider strategy to invest in UK plastic recycling facilities and create a more circular economy.”
The post Industry backs plastics tax as consultation closes appeared first on letsrecycle.com.