90,000 existing retail stores produce over 9.85 billion plastic wastes per year. (Image credit: Tempo)

Finance Minister: Government will charge a tax on plastic bags

Faradita Prayusti
Politics & Economic
Regulation
Jul 03, 2019
1980
Indonesia starts its commitment to against plastic waste as Sri Mulyani Indrawati, the Finance Minister of Indonesia revealed the government would charge a fee on plastic bags at Rp200 per piece.

In kilogram quantity with an estimation of 150 pieces for each kilogram, the tax would be IDR 30,000, added the minister. The tariff would be applied for petroleum-based or unrecyclable plastics.

Meanwhile, for recyclable plastics, the tax would be lower, said Sri Mulyani.

Due to the tax, the price of one plastic shopping bag is expected to be around 450 IDR to 500 IDR.

Indonesia is the second country after China that has a high contribution to plastic wastes in the ocean. It is reported that 90,000 existing retail stores produce over 9.85 billion plastic wastes per year.

Through Presidential Regulation No. 97/2017 on the management of household waste, the Indonesia government committed to reducing 30 percent of plastic wastes.

In 2025, Indonesia plans to cut down 70 percent of its plastic marine debris.

The plan to impose a tax on plastic bags has been discussed by the government since last year. The purpose of the tax charge is to control the public behavior in using plastic bags, according to the minister.

The ministry also hopes the new regulation would increase the nation’s tax collection, with target revenue reaching US$35.49 million or IDR 500 billion as stated in the 2019 state budget.

Source: https://en.tempo.co/read/1220522/sri-mulyani-says-govt-set-to-impose-tax-on-plastic-bag

Plastic , Waste , Pollution , Tax , Government