- Indonesia’s Minister of Finance, Sri Mulyani Indrawati, recently proposed the imposition of a plastic excise of IDR 30,000/kg or IDR 200/bag in a bid to tackle environmental pollution resulting from plastic waste. However, this proposal is being interpreted by various parties as a way for the government to increase state excise revenues.
- Commenting on this issue, Operational Chairman of the Indonesian Consumers Association (“YLKI”), Tulus Abadi, has suggested that the imposition of any plastic excise should prioritize waste management rather than the boosting of state revenues. Abadi thus believes that at least 10% of any generated plastic excise should be allocated towards efforts at socialization and the reduction of plastic consumption.
- In addition, Abadi has also suggested that the government should implement the following measures in order for the plastic excise policy to succeed: 1) Introduction of mandatory national standards for plastic products; 2) Integration of the various regulatory frameworks which address the control of plastic consumption; and 3) Introduction of recycling services capable of transforming plastic waste into other useful products.
- For more on this story, see: “Cukai Plastik: Untuk Genjot Penerimaan Negara atau Kendalikan Pencemaran Lingkungan”
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