Ireland’s Plastic Bag Environmental Levy

What is the plastic bags levy?

The primary purpose of the plastic bag levy is to reduce the consumption of disposable plastic bags by influencing consumer behaviour.  Since its introduction on the 4 March 2002 the levy has been an outstanding success. The fall in the consumption of plastic bags has been considerable with the reduction being estimated at over 90%, while receipts collected by the Revenue Commissioners up to the end of September 2004 have  realised almost €30 million. It is an environmental levy on plastic shopping bags. The levy is charged at 15 cents per bag. It is imposed at point of sale on the supply by retailers of plastic shopping bags to customers.

Is the levy being charged on all types of plastic bags?

No. Certain types of plastic bags are excluded from the levy, as set out in the  Regulations. Broadly the exclusions  cover re-usable shopping bags which are sold for 70 cents or more, bags used to contain fresh meat, fish or poultry (whether packaged or otherwise), bags used to contain loose fruit and vegetables and other foods that are not otherwise packaged and bags used to contain ice.  Plastic bags used to contain goods or products sold on board an aircraft or ship, and in an area of a port or airport to which intending passengers are denied access unless in possession of a valid ticket or boarding card, are also excluded from the levy.   

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Tuesday, 20 August, 2002, 14:36 GMT 15:36 UK
Irish bag tax hailed success

Stores including Tesco have welcomed the tax
A tax on plastic shopping bags in the Republic of Ireland has cut their use by more than 90% and raised millions of euros in revenue, the government says.
The tax of 15 cents per bag was introduced five months ago in an attempt to curb litter, and the improvement had been immediate and "plain to see", said Environment Minister Martin Cullen.

He said that the 3.5 million euros in extra revenue raised so far would be spent on environmental projects.
The "plastax" is being closely watched by other countries, particularly neighbouring Britain.
Bangladesh has banned polythene bags altogether while Taiwan and Singapore are taking steps to discourage their use.
"The levy has been an outstanding success in achieving what it set out to do," said Mr Cullen.
"Over one billion plastic bags will be removed from circulation while raising funding for future environmentally friendly initiatives."
He added: "It is clear that the levy has not only changed consumer behaviour in relation to disposable plastic bags, it has also raised national consciousness about the role each one of us can, and must play if we are to tackle collectively the problems of litter and waste management."
Windblown litter
The environment ministry estimated that about 1.2 billion free plastic bags were being handed out every year in the republic, leaving windblown bags littering Irish streets and the countryside.
In the three months after the tax was introduced, shops handed out just over 23 million plastic bags - about 277 million fewer than normal, the government said.

Shoppers are being encouraged to use tougher, reusable bags.
The ministry said that if the current trend continued, the tax would bring in 10 million euros in a full year.
Other countries around the world are also taking action to curb plastic bag litter.
In March, Bangladesh banned polythene bags after it was found that they were blocking drainage systems and had been a major culprit during the 1988 and 1998 floods that submerged two-thirds of the country.
Taiwan and Singapore are also moving to ban free plastic bags and in South Africa they have been dubbed the "national flower" because so many can be seen flapping from fences and caught in bushes.