The Malta Independent 27 August 2026, Thursday
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Eco-Tax Bill discussion at technicalities stage

Malta Independent Tuesday, 27 July 2004, 00:00 Last update: about 23 years ago

MLP deputy leader Charles Mangion repeated the Opposition’s argument that the bill did not give consumers any incentive to purchase eco-friendly products. He mentioned a number of examples such as “recycled” re-tread tyres that, he said, will be taxed on a par with regular tyres.

The same applies to batteries, he said, with both regular and rechargeable batteries being taxed 10 cents per item. Oils were also taxed indiscriminately, he said, insisting that the bill completely ignores the “polluter pays principle”, as was confirmed by NGOs such as Friends of the Earth. “This is a revenue-generating exercise that does not address consumption behaviour patterns.”

Minister George Pullicino rebutted Dr Mangion’s comments, saying that this bill was the first of its kind and will serve as a stepping stone for a more articulate eco-contribution system.

He said that Denmark, which was used as a model, had different eco-contribution schemes for different areas such as air pollution and waste collection.

Mr Pullicino confirmed that both a plastic bottle and a glass bottle will both incur a one cent eco-contribution. However, since the plastic bottle can only be used once, it will incur the full one cent per item, while the glass bottle – which can be re-used up to 10 times – will spread the contribution over these, effectively meaning that there is a one mil contribution.

The same applies to batteries, Mr Pullicino said. While both types of batteries will be taxed the same, the fact that rechargeable batteries can be re-used means that the contribution will be diluted over a larger life span. Regular batteries would be used and thrown away after a single life cycle while rechargeable batteries would serve more than one life span.

As for tyres, the minister said that although at importation stage the tax would not discriminate between different tyres, if a company re-treads tyres that were on the local market, then they will be exempt. This is precisely because the re-treading would fall under the collection scheme exemptions: the bill specified that entrepreneurs who implement a collection scheme to remove a discarded product from the local waste stream will be given tax exemptions or refunds on their eco-contribution.

The minister also spoke about plastic bottles. He said that the bill did not discriminate between large and small containers because in this way it is expected that consumers will be encouraged to purchase large containers rather than more small containers, and in this way reduce the waste generated.

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