Alex White (Dublin South, Labour)
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Question 342: To ask the Minister for the Environment, Community and Local Government, in view of the irreparable damage caused to the long-term sustainability of a number of small businesses which have experienced a 93% market reduction since the plastic bag levy was introduced in 2002, if he is willing to consider negotiating a modest compensation scheme for those businesses who have lost a core revenue resource as a result; and if he will make a statement on the matter. [29739/11]

Phil Hogan (Carlow-Kilkenny, Fine Gael)
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Prior to the introduction of the plastic bag levy, a two-month consultation period was provided to give interested parties an opportunity to make comments or observations in relation to the draft regulations. The Department examined the submissions that were made, to see if the draft regulations needed to be adjusted before they were finalised. On foot of the examination of the submissions received, several changes were made, such as the deferral of the introduction of the levy until 4 March 2002. Final regulations were introduced on 19 December 2001.

Having considered the implications of the levy for the suppliers of plastic bags, it was decided not to offer any form of compensation to those adversely affected by the levy. There has been no change in this position and therefore there is no compensation scheme available for those businesses affected by the levy.

The plastic bag levy was introduced primarily as an anti litter measure and has been an outstanding success since its introduction on 4 March 2002.

Plastic bag consumption had increased substantially in Ireland in the 1990s. One of the most significant side effects of this trend was the careless disposal of plastic bags by consumers after use – a significant proportion of which ended up as highly visible components of litter and also became highly persistent pollutants in urban, rural and coastal settings. This trend was also undermining Ireland's clean, green image on which the Irish tourism industry depends.

The fall in the consumption of plastic bags from 328 bags per capita prior to the introduction of the levy, to an estimated 18 bags per capita in 2010, demonstrates how successful the levy has been. The most recent survey data available for 2010 from the National Litter Pollution Monitoring System show that plastic bags now constitute approximately 0.25% of litter pollution nationally compared to approximately 5% of litter arising prior to the introduction of the levy.