Retail NZ throws weight behind plastic bag levy

Thursday, 13 July 2017

Greg Harford of Retail NZ says that, of the association's 4200 members, the majority are in favour of a levy.

A retail organisation representing 4200 businesses have joined the call for Government to impose a plastic bag levy.

Retail NZ spokesman Greg Harford said the only feasible method of reducing plastic bag use and limiting the environmental impact of plastic bags was through legislation.

The association joins 90 per cent of New Zealand's city and district mayors, who have signed an open letter calling on the Government to impose a bag levy, or step aside and allow local government to do so.

'No retailer, particularly if you're talking about the supermarkets, is going to want to be the first mover on it, because there's likely to be a significant customer backlash,' Harford said.

**READ MORE:

Associate Environment Minister Scott Simpson, left, who was earlier interested in a levy, says he is now opposed the idea after Prime Minister Bill English rejected it.

* Students press Government for plastic bag ban

* Nearly half the country's mayors join call for compulsory charge on plastic bags

* Plastic bags biggest culprit in turtle deaths on New Zealand beaches**

'If something is going to happen, it has to happen across the board, at the same time.'

Retailers could not impose a levy themselves, because it would constitute price fixing, which was illegal under the Commerce Act.

He said that, of Retail NZ's 4200 members, the majority were in favour of a levy.

'We've had more feedback on this issue than we've had on almost anything else, to be honest with you, so there's significant member interest.

'There were no particular sectors saying it's a bad idea … We don't know why the Government isn't prepared to act on this.'

Despite showing signs of softening to a levy, Associate Minister Scott Simpson has back-pedalled after Prime Minister Bill English rejected a levy.

Speaking at the National Party conference in late June, Simpson said he liked the British levy model, which succeeded in cutting bag use by 85 per cent in six months and raised over $40m in revenue – the lion's share of which went to charity.

While environmental groups took this for a glimmer of hope, Simpson is now parroting English, saying he would not endorse any 'heavy-handed legislation'.

'We in the National Party take the view that people can be, and should be, responsible for their own actions and inactions,' Simpson said.

This will be the second time the Government has rejected a levy in favour of an industry-led solution.

The previous attempt saw the creation of the Soft Plastics Recycling Scheme, which now covers the Auckland, Hamilton, Wellington, and Canterbury regions and parts of Dunedin, but currently diverts only about 2 per cent of the 1.8 billion plastic bags used in New Zealand annually.