House panel OKs bill imposing P20 excise tax on single-use plastics

The House Committee on Ways and Means on Tuesday approved the measure seeking to impose excise tax on single-use plastics.

During its meeting, the panel approved House Bill 178, introduced by Sultan Kudarat Representative Horacio Suansing and his wife, Nueva Ecija Representative Estrellita Suansing, which essentially aims to reduce usage of single-use plastics which are harmful to the environment.

Under the measure, a P20 excise tax will be imposed on every kilogram of single-use plastic.

The measure also has a minimal impact of P0.07 per plastic sando bag.

According to Albay Representative Joey Salceda, the specific excise taxes imposed in the measure will only be collected upon their removal from the factories.

Salceda is expecting that the government will generate P4.8 billion in revenues from the measure during the first year of its implementation—100% of which will be earmarked for the solid waste management fund and for the implementation of the Ecological Solid Waste Management Act of 2000.

Estrellita, who sponsored the bill in the committee, said the mass consumption of single-use plastics has negatively affected the environment, with billions of plastic bags ending up as waste both on land and in the oceans.

Over 400,000 marine mammals also die annually due to plastic pollution in the oceans after getting entangled or ingesting single-use plastics, she added.

"Given these growing concerns, it is therefore necessary that this Congress addresses the problem relating to the proliferation of plastic bag waste. By imposing this levy, this bill endeavors to encourage the exploration and utilization of environment-friendly alternatives to single-use plastic bags," Estrellita said.

"Furthermore, this proposed measure aims to generate additional revenues for the government which could be used to finance programs and projects to counter the harmful effects of plastic pollution in the Philippines," she added.

Salceda said they are also planning to impose excise taxes on other plastic products aside from single-use ones.

"The next step is a tax on primary plastic packaging especially sachet since it accounts for two-thirds of solid waste and garbage," he said.

"We deferred that due to possible food inflation and prices of basic commodities like shampoo [and] toothpaste. However if poverty goes single digit, we will include it possibly in three to four years," he added. — BM, GMA News