2017-01-16 GC - Attachment 1 to Item 8 - Plastic Bag Discussion Paper

                       International action
                       More than 30 countries and 18 states in the USA have some form of voluntary or regulatory approach to restricting
                       the use of single-use plastic bags. The most common regulatory approach is a direct point-of-sale charge on plastic
                       bags. However no one intervention has been used exclusively—voluntary measures, bans and charges have been
                       introduced at various points with a mix of actions often implemented.
                       There have been various drivers for this action. In Bangladesh there was a need to prevent plastic litter entering drains
                       which had been found to contribute to the severity of flooding. In South Africa, plastic bags became known as ‘the
                       flower of South Africa’ due to their prevalence in the environment and there was a need to reduce the aesthetic impact
                       of plastic bags.
                       In many countries, new industries in reusable bags have been established, creating jobs in some of the poorer areas
                       of the country.


                       National action on plastic bags
                       In 2003, Australia’s Environment Protection and Heritage Council committed to phase out lightweight, single-use
                       plastic bags by 1 January 2009. It reaffirmed this commitment in June 2007.
                       Consultation on a Regulatory Impact Statement in 2007 indicated that while retailers expressed concern over any
                       regulation, they did state that any option needed to allow them to continue to provide their customers with a choice.
                       In light of all the considerations, the most appropriate option at the time was considered to be the introduction of a
                       mandatory charge on the supply of a plastic bag by a retailer.
                       Following the release of a Decision Regulatory Impact Statement in 2008, no national agreement was reached as
                       some states supported a ban while others preferred a Commonwealth charge.


                       Business and voluntary responses

                          Voluntary retailer Code of Practice
                          Between 2003 and 2005, major supermarkets reduced the use of lightweight plastic shopping bags by around
                          44% under a Voluntary Code of Practice for the Management of Plastic Bags.
                          During this time, numbers fell from close to six billion in 2002 to around 3.4 billion in 2006.
                          However, by 2007 numbers had started to increase once again.


                       In 2008, the Australian National Retailers’ Association conducted a trial levy of 10 cent per plastic bag at Coles and
                       Woolworths Supermarkets and IGA retailers in Narre Warren, Wangaratta and Warrnambool in Victoria. The trial was
                       approved by the Australian Competition and Consumer Commission. During the four weeks of the trial there was a
                       79% reduction in plastic bag use at these supermarkets and the funds raised were channelled into environmental
                       projects.
                       Several towns across Australia have introduced voluntary bans on the use of plastic bags. In 2003, Coles Bay in
                       Tasmania became the first Australian town to introduce a voluntary plastic bag ban. In November 2012, Woorabinda
                       Shire Council in Central Queensland became the first local government area to introduce a plastic bag ban to reduce
                       the amount of litter in the community.
                       A number of retailers, including Bunnings, IKEA, Aldi and Super Retail’s BCF and Supercheap Auto stores, has also
                       voluntarily stopped using single-use plastic bags. Target phased out ‘free’ plastic bags in 2009, instead charging for
                       heavier bags based on size. However, they reintroduced the lightweight bag in 2013.




       Retailer case study: Bunnings
       In September 2003, Bunnings became the first major retailer to impose a charge on plastic bags in their stores. In a joint initiative
       with Keep Australia Beautiful (KAB), Bunnings added a 10 cent levy to disposable plastic bags distributed in its stores throughout
       the country.
       This action achieved an 80% reduction rate by the end of 2003 and raised around $180,000 for KAB.
       In 2008 single-use plastic bags were removed altogether from Bunnings stores as plastic bag use had reduced by 99% over the
       five years since the introduction of the charge.




12 |