Saturday, December 1, 2012

Plastic Shopping Bags - Taxes & Bans

Recently, several cities have implemented a bag tax on single-use plastic shopping bags. In an effort to save the environment, this tax is imposed to encourage customers to bring their own reusable bag.  Washington D.C., for example, has a 5 cents tax on plastic shopping bags. Other cities have forgone the tax and banned plastic shopping bags all together. Most notably, San Francisco and Los Angeles, have taken measures to ban the use of plastic bags at grocery stores and other retail shops. It seems that this is becoming the trend for many cities.

So the big question is, does taxing the use of plastic shopping bags or banning it all together an effective solution for saving the environment? Washington DC’s 5 cent tax has proven to be extremely effective. The number of plastic bags handed out at supermarkets dropped from an average 22.5 million a month to 3 million. In addition, the revenue generated by the tax was used to clean up the Anacostia River.

As for the San Francisco and Los Angeles, the cities have been challenged by shopping bag manufacturers for the implementation of a ban on plastic shopping bags.  However, judges have upheld the cities’ policy in the matter. In fact, San Francisco recently approved a measure to expand the ban into additional stores.  The city is also charging a 10 cents tax on paper bags. There is no doubt that taxes on disposable bags is going to be challenged in the courts for years to come, but so far, it seems that environmentalist have an upper hand in the matter.

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