Jakarta (ANTARA) - Finance Minister Sri Mulyani Indrawati proposed Rp30-thousand excise per kilogram of plastic bag, or Rp200 per piece, at a working meeting with the House of Representatives’ (DPR’s) Commission XI at the parliament building, Jakarta, Wednesday.

With the imposition of plastic excise, per piece of plastic bag will cost Rp450 to Rp500.

"We propose an excise of Rp30 thousand on every kilogram, or equal to Rp200 per piece. Hence, a plastic bag along with excise will be priced at Rp450 to Rp500 per piece, almost equal to that imposed at various shops or shopping centers," she stated.

The price of a paid plastic bag currently stands at Rp200 per piece in accordance with the environment and forestry minister's circular of 2016 and Rp200 up to Rp500 per piece for the Association of Indonesian Retailers (Aprindo).

However, no legal certainty exists over the imposition of plastic excise and differs across regions. Moreover, ambiguity still exists over the responsibility to receive and impose plastic excise, she pointed out.

"As the association of retailers, Aprindo will be subjected to Rp200 to Rp500 per piece. According to our calculation, it will raise inflation by 0.045 percent," she stated.

The imposition of plastic excise will offer legal certainty in terms of harmonious tariffs, clear responsibility, control mechanism, and law enforcement and encourage the production of environment-friendly plastic.

Indrawati noted that the use of plastic bags across Indonesia currently reaches over 107 million kilograms annually in accordance with data from the environment and forestry ministry.

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Translator: Astrid Faidlatul Habibah/Suhar
Editor: Yuni Arisandy Sinaga
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