Tuesday, 12 November 2019

Sri Mulyani: Plastic Excise Implementation Awaits DPR's Decision

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Markus Wisnu Murti

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  • Finance Minister Sri Mulyani. TEMPO

    Finance Minister Sri Mulyani. TEMPO

    TEMPO.CO, JakartaFinance Minister Sri Mulyani Indrawati said that the government’s plan to impose tax on plastics could not be applied yet since its discussions were still afoot in the House of Representatives (DPR). Sri said her ministry had met all of the requirements asked by the House related to the plan for the broader excisable goods (BKC).

    “The House requests a comparative study, and we have conducted it. We have also had a more detailed review. They will invite various stakeholders including associations,” said Minister Sri on Tanjung Pasir Beach, Tangerang, Banten, Friday, Oct. 11.

    She assured that the legislative body positively welcomed the plan. “They show a positive response to discussing it, but we have to set a schedule for the decision,” Sri added.

    The former managing director of the World Bank stressed that she would abide by the DPR's instructions and consult with the DPR's Commission XI as naming plastic as an excisable item requires a legislation.

    According to her, the ministry will await further discussions about the excise on the use of plastic bags that will be passed by the House members of the 2019-2024 period.

    Previously, Sri Mulyani suggested a plastic excise rate of Rp200 per piece or Rp30,000 per kilogram. The implementation of fiscal instruments in the form of excise on plastic bags is part of the government’s efforts to overcome plastic waste issues in Indonesia. 

    ANTARA