Jackie Cahill (Tipperary, Fianna Fail)
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317. To ask the Minister for Environment, Community and Local Government to reverse the decision to impose a recycling levy on tyres which is a cost burden to the consumer that amounts to a stealth tax; and if he will make a statement on the matter. [20837/16]

Simon Coveney (Cork South Central, Fine Gael)
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There is a serious problem with waste tyres in Ireland. In discussions prior to the adoption of the 2007 Tyre Regulations, it was made clear that this was the last opportunity for the tyre industry to embrace environmental compliance and take responsibility for the waste it produces. If the required improvement did not happen, it was made clear to the tyre industry that the system would be reviewed and replaced with a full Producer Responsibility Initiative (PRI) model. As part of a wider review of producer responsibility arrangements completed in 2014, the structural and environmental effectiveness of all aspects of the current system for managing waste tyres was assessed. The results of this examination were stark. The report, published for consultation in November 2013 and in final form in April 2014, found:

- a non-compliance rate with the Tyre Regulations of 46%,

- a lack of consistent and accurate data,

- that the current system was not tracking data flows well, and

- between 25% and 50% of waste tyres were not accounted for, with widespread illegal dumping.

Following extensive discussions with the tyre industry through the establishment of a Tyres Working Group, the then Minister announced the decision to establish a full PRI scheme for Tyres and Waste Tyres in Ireland on 3 0 January 2015. Since then, significant progress has been made in discussions with the tyre industry.

There will be no new tyre tax or levy under the new system being introduced; consumers already pay a disposal fee to their tyre retailer whenever they buy a new tyre. The model that is being introduced will formalise a charge that tyre retailers already apply, but which does not currently go towards the cost of managing the waste in all cases, as it is supposed to. It is absolutely right and fair to provide a system that ensures that the existing levy is properly directed in the future, so that the consumer does not pay twice - once at the point of purchase and again, when the taxpayer has to meet costs incurred by local authorities for the clean-up of illegally dumped tyres.

My Department is in the process of drafting the regulations to underpin the new PRI scheme. The intention is to introduce the visible Environmental Management Charge from 1 January 2017.