Sustinabilability is the new word that we have been hearing all around. Whether the word is being used to raise awareness about the greater good of making more eco-friendly decisions, or if it’s just a marketing tactic being used by big companies and Governments alike, sustainability and green choices have been all the hype, especially since the global pandemic.
In the Maldives, the move towards sustainability really started following 2020, as the country finally started addressing some of the increasing problems such as the excessive usage of plastic in the small nation. As a country that is constantly facing the threats of climate change, the Maldives finally saw the need to make some bigger changes, leading to the Government of the Maldives taking some positive measures against single-use plastic. With this, one of the biggest measures that the Government of the Maldives took was banning single-use plastic in the Maldives starting June 2022. And though it might sound like the Maldives immediately put a halt to all single-use plastic being imported into the country, this plan started taking place in stages, which are still coming together to this day.
In addition to the move towards banning single-use plastic, in April 2023 the Maldivian Government also implemented a Government tax on plastic bags in order to discourage the heavy usage of plastic bags in Maldivian households and day-to-day life. With this decision, MVR 2 was placed as a charge on every single plastic bag that was either being sold or even given as packaging in stores in the Maldives. While this move was seen as a necessary one by some, many soon came to face the harsh realities of how expensive life became in the Maldives, as the lack of education and awareness around alternatives was severe, yet people were still faced with the charges.
Following the Government imposing this fee, heavy criticism was met, as people highlighted the difficulties it brought to low-income households. Even with the criticism, it appears people have now gotten used to this way of life, and many are now seen opting for paper or cloth bags in place of plastic bags.
And now, one month after the Government started imposing these fees on plastic bags, statistics revealed by the state tax authority MIRA shows that MVR 1.7 million has been collected in plastic bag fees over the past month.
MIRA further revealed that the authority was able to collect a total of MVR 1.7 billion in taxes, which is an increase from the same time period last year. This increase might have been expected as 2023 also saw the increase in the GST and TGST of the country as well as new taxes being implemented such as the plastic bag tax.
While the plastic bag tax has increased the revenue for the Government through tax in just one month, one of the most pressing questions is whether such taxes are being used towards the improvement of the environment in the Maldives.
Though the idea of implementing a tax in order to encourage people to use alternatives to plastic bags, making people take more sustainable choices, with the tax raising so much money in just a month it also raises the question on whether the Government will be putting this money towards actual efforts in the Maldives to protect the environment.