Prohibition or Levy

Plastic pollution, already a major threat to the marine environment (McNicholas and Cotton, 2019), is predicted to worsen by 2025 as a result of rapid population growth and insufficient waste management, and the oceans will have more plastic than fish by 2050 if current conditions continue (World Economy Forum, 2016).

The plastic bag, the most discussed plastic material at all levels of public policy for more than a decade, is one of the most popular and essential plastic products in modern culture as it is flexible, light, strong, water resistant, and cheap. However, it also raises serious concerns due to its long duration of decomposition, low recycle rate, and negative environmental and human health impacts (Nielsen, Holmberg, and Striple, 2019). Levies are one of several policy tools aimed at limiting its use (UNEP, 2018). A levy is an obligation to pay a certain amount to the government or other authorities (Oyedele, 2014).

The plastic bag levy, usually about US$0.05 per bag, raises consumer awareness of this issue (Rivers et al, 2016), and applies to the suppliers (domestic producers or importers) of plastic bags, retailers purchasing plastic bags, and consumers, charged at point of sale with a standard price set by law (UNEP, 2018).

The Malaysian government applied a plastic bag levy on consumers through the No Plastic Bag Campaign Day, which once a week levies RM0.2 (US$0.049) per plastic bag in supermarkets and grocery stores. The policy aims to promote sustainable consumption. However, research shows no significant behavioural change as a result of the campaign. Although plastic bag consumption decreased in the first six months of the policy’s enactment, this was a result of people shifting their shopping habits to avoid the campaign day. Some shoppers even bought more plastic bags as their own bags were not big enough (Zen, Ahamad, and Omar, 2013).

Indonesia's House of Representatives postponed enactment of a plastic bag levy proposed by the Minister of Finance. A pilot project had been conducted to implement a plastic bag levy on consumers at selected retailers in 23 cities, resulting in a 40% average reduction in the number of plastic bags used (UNEP, 2018). The finance minister took a step further and advocated a levy of Rp200 (US$0.015) per plastic bag (Suroyo, 2019), with the revenue to be used for a waste management trial project (Pratama, 2019). The idea, however, met with opposition from plastic producers, who argued that other materials such as rubber also have negative impacts on the environment. The levy on plastic was not fair, they argued, because it could collapse the plastic industry. Plastic producers urged the government to further promote recycling industries instead of imposing a levy on plastic (Suroyo, 2019).

Singapore's senior minister of state for the environment and water resources believes plastic bags are required largely by people who live in a tropical climate for hygienic purposes. She argued a levy on plastic bags, which could lead to substitution of more environmentally friendly products such as disposable and paper bags, does not necessarily reduce environmental degradation as disposable and paper bags degrade the environment in a different way (Boh and Tan, 2018). This argument is based on findings from the Ministry of the Environment and Water Resources and National Environment Agency, showing the production of disposable and paper bags requires excessive amounts of water and resources and generates carbon emissions. The latter implies greener plastic bags will still create massive carbon emissions if they are incinerated. In fact, instead of going to landfills, most waste in Singapore is incinerated. Thus, despite the proposal by members of Parliament to impose a plastic bag levy, the government has not endorsed any ban or charge on plastic bags or single-use plastic products (Boh and Tan, 2018; Royte, 2019).

Japan’s Ministry of Economy, Trade and Industry and Ministry of the Environment revised the ministerial orders related to the Act on the Promotion of Sorted Collection and Recycling of Containers and Packaging, requiring businesses to introduce fee-incurring plastic checkout bags and prohibiting them from distributing such bags free to consumers. These orders came into force nationwide on 1 July 2020 to curb the excessive use of plastic checkout bags and encourage consumers to change their habits (METI, 2019).

Levies to reduce plastic pollution are also imposed in other parts of the world, not only on plastic bags but also on other plastic products. Ireland, for instance, has its latte levy, which was nationally imposed in 2021, and charges up to US$0.27 for a single-use plastic cup. The plastic levy is still mostly imposed only on plastic bags in ASEAN and the Pacific countries. Although the range of products subject to the plastic levy is still limited, several countries in the region have enacted regulations to prohibit single-use plastics.

Another policy tool from regulatory instruments referred to by UNEP (2018) is prohibition. In Indonesia, Bali Province enacted Regulation of the Governor of Bali No. 97/2018 on the Restrictions on the Generation of Disposable Plastic Waste Collection. Under this regulation, production, distribution, supply, provision, and consumption of disposable plastics, consisting of plastic bags, Styrofoam, and plastic straws, is no longer allowed. New products must replace disposable plastics. Bogor Municipality also issued Regulation of Mayor of Bogor No. 61/2018 on the Reduction of the Use of Plastic Bags, which restricts the provision of plastic bags to consumers in all shopping centres and modern stores.

Thailand’s Roadmap on Plastic Waste Management 2018–2030 planned to ban lightweight plastic bags (less than 36 microns) in 2022. However, due to the deaths of marine animals after swallowing plastic, the ban was moved up to 2020, when consumers started bringing their own shopping bags (Vassanadumrongdee and Marks, 2020).

Malaysia has issued Malaysia’s Roadmap Towards Zero Single-Use Plastics 2018–2030, regulates the use of plastic items, including plastic straws, single-use plastic bags, food packaging, cutlery, food containers, medical equipment, and many more. In its first phase, starting 2019, the  provision of plastic straws, unless requested by consumers, was no longer allowed in fixed premises such as hypermarkets, supermarkets, department stores, convenience stores, fast-food restaurants, petrol station convenience stores, chain stores, and pharmacies. In the second phase, starting 2022, the plastic straw ban expanded to include non-fixed premises. Biodegradable and compostable items will be developed to replace conventional plastic products.

The Province of Jilin, China has issued the Regulation on the Prohibition of Production, Sales, and Provision of Disposable Non-Degradable Plastic Shopping Bags and Plastic Tableware. Under this regulation, production, selling, and provision of plastic bags and plastic tableware is restricted to commodity sales and commercial service activities. Shopping malls, shops, and market organisers are required to monitor the implementation of the plastic ban.

China implements a nationwide combination of regulatory and economic instruments by simultaneously banning and levying plastic bags. In 2008, the national government imposed a ban on plastic bags thinner than 25 microns and a levy on thicker ones. Chinese consumers were then introduced to durable cloth bags and shopping baskets to replace plastic bags. There was significant progress within a year, with the reduced use (up to 70% on average) of plastic bags in supermarkets. Seven years since the enactment of the ban and levy, China has successfully reduced two-thirds of plastic bags used in supermarkets and shopping malls. Such success, however, has not been experienced in rural areas, where plastic bag use persists (UNEP, 2018).

In Jakarta, Indonesia, Governor Regulation No. 142/2019 on The Obligation to Use Environmentally Friendly Shopping Bags in Shopping Centers, Supermarkets, and Traditional Markets came into effect on 1 July 2020, obliging retail businesses to stop providing plastic bags to customers and provide reusable shopping bags instead. Businesses are required to communicate the advantages of the use of environmentally friendly shopping bags to consumers, as well as the negative effects of single-use plastic bags.