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James Debono
An increase in eco-contribution taxes is not being ruled out if waste recovery and recycling schemes are not in place by January 2008, when non-alcoholic beverages in plastic and metal packages are expected to flood the market.
This newspaper is informed the increase in eco-contribution would be contemplated to finance the sorting of more packaging waste by Wasteserv, the company responsible for the island’s waste management.
New measures are now expected to come into force this week that government hopes will encourage importers and producers to recover and recycle more packaging waste as Malta is falling short of European targets.
The government wants to ensure that waste recovery mechanisms are in place before January 2008, when Malta will have to open its market to carbonated drinks in metal and plastic containers.
Previously, the bottling of soft drinks was based on a regime of glass packaging which could be deposited back at local stores for recycling purposes.
Now an anticipated arrival of 140 million new units of packaging waste every year is putting importers and producers at risk of incurring further costs in eco-contribution taxes on PET bottles, metal and plastic bottles.
If traders managed to form a recovery scheme, they can benefit from a refund on their eco taxes, and meet EU recycling targets which Malta has to abide to: “The sector has to convince the government by presenting acceptable criteria for the different possible schemes,” a source within the Ministry for the Rural Affairs and Environment said.
But despite this waste time-bomb Malta faces, the Malta Chamber of SMEs (GRTU) is objecting strongly to extending the existing return-bottle system on glass bottles to other one-way packages such as plastic.
The introduction of a scheme that depends on the mandatory or voluntary involvement of the retailer, despite aiming at excellent waste recovery targets, has been criticised. The GRTU described government’s scheme as one through which the householder would have to carry “his garbage to the retail shops.”
Malta has failed dismally in the past two years at respecting its targets according to the Packaging Waste Directive, which lays down that at least 34 per cent of packaging waste has to be recovered by the end of 2006.
In 2004 only 5 per cent was recovered from a 27 per cent target. Another 5 per cent only was recycled from a 21 per cent target.
Figures for 2005 and 2006 are not yet available since data still needs to be
forwarded to MEPA from various sources, including Wasteserv, the company responsible for the island’s waste management.
But government sources informed MaltaToday it was unlikely that Malta reaches targets for 2006.
MEPA is duty bound to report on these targets to the European Commission which monitors the waste recovery situation in each country, and the Commission can proceed against any country in breach of this directive.
The Maltese government’s policy is that of putting the responsibility for recovering and recycling waste directly on those who put the product on the market. Legally MEPA can already oblige every single producer or importer to abide with the recycling and recovery targets imposed by the EU. But MEPA is giving producers and importers some breathing space until they set up waste recovery and recycling mechanisms.
Producers and importers can recover or recycle the packaging waste they put on the market on an individual basis. But paying to join a scheme which collects waste on behalf of different businesses is considered to be more advantageous due to the economies of scale involved, a move strongly supported by government.
It is only through the introduction of such schemes the true purpose of eco-contribution will be met.
jdebono@mediatoday.com.mt
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