The levy applies to all bags made wholly or partly of plastic with specific exemptions set out in the legislation.

Since its introduction on March 4, 2002, the plastic bag levy has been an outstanding success. This initiative won the widespread support of the public and caught the imagination of people in many countries around the world.

Effect of the levy

Prior to the introduction of the levy it is estimated that over 1.2 billion plastic bags were dispensed free of charge at retail outlets annually, equating to roughly 328 bags per inhabitant per year.

The fall in the consumption of plastic bags since March, 2002 has been considerable with the reduction being estimated at over 90%, while receipts collected by the Revenue Commissioners have realised just over ?79.7 million to date.

But more importantly, as an awareness raising initiative and in influencing behavioural change by consumers, it has been invaluable.

litter problems

In line with economic growth, plastic bag consumption increased alarmingly in Ireland in the 1990s. Retail outlets placed no limits on the amount of bags consumers could use when doing their shopping. One of the most significant side effects of this trend was the careless disposal of plastic bags by consumers after use – a significant proportion of which ended up as highly visible components of litter.

Furthermore, because of their composition, nearly all plastic bags do not degrade. Thus, in addition to being highly visible because of the volumes being carelessly disposed, they also became highly persistent pollutants in urban, rural and coastal settings. This trend was also undermining Ireland’s clean, green image on which the Irish tourism industry depends.

Alternatives

Alternatives to disposable plastic shopping bags, such as reusable boxes, paper and reusable bags are now available in many shops, and the consumer has, by and large, changed to using thee alternatives.

In the grocery sector disposable plastic bags have largely been replaced by reusable ‘long life’ shopping bags. In the clothing and other sectors higher quality plastic bags have in general been replaced by high quality paper bags.

environmental fund

All plastic Bag Levy receipts together with Landfill Levy receipts are paid into a ring fenced ‘Environmental Fund’. In general, the Fund may be used to support waste management, recycling and other environmental projects, including waste reduction programmes, operation of waste recovery activities, promotion of environmentally friendly products, waste prevention initiatives, to assist implementation of aspects of local authority waste management plans, litter prevention, initiatives in relation to the protection of the environment and/or sustainable development, partnership environmental projects, environmental education and awareness initiatives.

increase in the levy

Prior to the levy, average per capita consumption of plastic bags was estimated at 328 bags. There was an immediate decrease to a figure of 21 bags per capita when the level was introduced. Based on data from plastic bag levies remitted and estimates provided by the Central Statistics Office as to population density, it is estimated that usage increased to 30 bags per capita during 2006.