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Home Business & Economy

Govt cracks down on plastic bag overpricing

by editor
February 9, 2024
in Business & Economy
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The Ministry of Environment, Forestry and Tourism (MEFT) is investigating possible overpricing of plastic bags by retailers, following concerns that some shops are charging well above the government-mandated price.

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The Government Gazette on Environmental and Plastic Levy/Tax set the price at N$0.50.

The Minister of Environment, Forestry and Tourism Pohamba Shifeta concurred with a preliminary investigation by The Brief that has established that retail stores and other businesses now charge between N$1 and N$5 per plastic carry bag.

“This is something we have also uncovered, and we have launched an investigation, and it is very concerning. We do not know who told them to charge above what is legally required, and how they are getting to those fees,” Shifeta told The Brief.

“They are only doing it for one reason, maximising profits. We are only receiving or collecting 50 cents which is legally permitted by law, but then, who is racking in the excess amounts? We shall get to the bottom of this, and those found wanting shall face consequences.”

Among the measures to be implemented, Shifeta said would either fine or recoup what the State has lost.

“We are yet to decide on what action to be taken upon finalisation of the investigation and determining facts around this matter. But certainly, someone should be held accountable, because the aim was not for profit gain, but to deter the public from using plastic bags, until such a time we shall determine to completely ban the use thereof,” he said.

The Brief established that some shops have increased their plastic prices, although cashiers seek consent, giving a customer an option to either purchase or not.

In August 2019, a plastic levy was introduced in Namibia as per a Cabinet directive to develop regulations under the Customs and Excise Act 20 of 1998, the EIF Act 13 of 2001, and the Environmental Management Act 7 of 2007.

The levy was devised as a way that is meant to discourage people from using plastic bags to also control plastic pollution.

It is further aimed at reducing the quantity of residual material by encouraging the recovery and reclamation of discarded electronic appliances, used lubricants, and batteries.

Other environmental levies include electrical/electronic appliances, lubricant oil, and car batteries.

The Namibia Revenue Agency is responsible for the collection of the levies on behalf of the State, which is then passed on to Environmental Investment Fund (EIF) which has been mandated to use the funds to improve waste management as well as fund climate sustainable projects.

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