Overview of the use of landfill taxes in Europe

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1 Overview of the use of landfill taxes in Europe Christian Fischer Chief consultant European Topic Centre on Sustainable Consumption and Production (ETC/SCP) Economic instruments and waste management performance

2 Contents 1. Background for the survey 2. Questions investigated 3. Level of waste taxes 4. The revenues and their 5. Conclusions European Topic Centre on Sustainable Consumption and Production (ETC/SCP) 2

3 Background for the survey Environmental tax reform and its potential contribution in dealing with the Irish Budgetary Crisis Arranged by the European Environment Agency & the Irish Comhar Sustainable Development Council Workshop October 2010 The Irish ministries of finance and the environment participated in the workshop The ETC/SCP made a presentation of the use in Europe of landfill taxes, aggregate taxes and packaging taxes The ETC/SCP has systematized the information on landfill taxes The survey is being reviewed at the moment European Topic Centre on Sustainable Consumption and Production (ETC/SCP) 3

4 The questions for which information has been collected 1. Who pays and how much? 2. Who monitors and collects? 3. Leakage issues 4. Revenues generated, and what happens to them 5. Environmental impacts 6. Economic impacts 7. Social impacts 8. Main opponents 9. Lessons learned European Topic Centre on Sustainable Consumption and Production (ETC/SCP) 4

5 The environmental benefits - an example Development of landfilling of total waste and landfill tax in Denmark European Topic Centre on Sustainable Consumption and Production (ETC/SCP) 5

6 Types of waste included in landfill tax Taxed Not taxed Banned to landfill Partly banned to landfill Austria Flanders (Belgium) Wallonia (Belgium) Czech Republic Denmark Estonia Finland France Ireland Italy Latvia Portugal Slovenia Netherlands Norway Spain (Catalonia) Sweden Soil, sand Construction/ inert Residues from pretreatment (recycling, incineration Hazardous waste Combustible/ biodegradable European Topic Centre on Sustainable Consumption and Production (ETC/SCP) 6 Switzerland United Kingdom

7 Comparison of landfill tax in EUR per tonne Inert waste Inert waste residues Mixed municipal and other mixed waste All non-hazardous waste All other waste Biologically treated waste Hazardous waste Abestos European Topic Centre Landfills onwith Sustainable high standards Consumption and Production (ETC/SCP) Landfills with low standards 7

8 Who collects the landfill tax? Austria Flanders (Belgium) Wallonia (Belgium) Czech Republic Denmark Estonia Finland France Ireland Italy Latvia Portugal Slovenia Netherlands Norway Spain (Catalonia) Federal Institution Regional Institution Municipality Name of Institution Regional customs offices (belong to federal authorities) OVAM (public Flamish Waste Agency) Office wallon des déchets, Direction des Instruments Economique State Environmental Fund, Municipalities Danish tax office Until 2011: Environmental Board; then: customs office (via e-platform) Customs office Customs office 'Nice-Port' Local authorities on behalf of Depart. of the Env.,Heritage and Local Government The regional authorities The State Revenue Service The federal environmental agency The state administration Tax administration the Norwegian customs offices Fons de Gestió de Residus (only Catalonia has introduced a landfill tax) European Sweden Topic Centre on Sustainable Consumption and Production (ETC/SCP) Swedish tax office 8 Switzerland United Kingdom HM Revenue and Customs Federal Office for the Environment

9 Revenue from landfill tax per year Austria Appro. mill. 50 (2009) Decrease from 100 mill. a few years ago Flanders (Belgium) 16 mill. (2009) Wallonia (Belgium) 23.8 mill. (2009) Czech Republic 78.6 milll (2009) Decrease from 84.5 mill. in 1999 Denmark 18 mill. (2009), Decrease from 41 mill. in 2000 and 69 mill. in 1993 Estonia 13 mill. (2009) Decrease from 20 mill. a few years ago Finland 45 mill. (2009) Decrease from 33.3 mill. in 2000 France 480 mill. (2007) Ireland 48 mill.(2010) Increase from 17.8 mill. in 2002 Italy 204 mill.(2009) Decrease down from 322 mill. in 2000 Latvia 4 mill (2009) Slovenia 8 mill. (2010) Down from 14 mill. in 2004 Netherlands Appro. 60 mill. (2009) Decrease from 180 mill. in 2007 Norway Appro. mill. 35 (2009) Portgugal 16 mill (2010) Increase from 3 mill. in 2007 Spain (Catalonia) Appro. 30 mill (2008) Increase from mill in 2004 Sweden 15.5 mill. (2009) Decrease from 76 mill. in 2003 Switzerland Appro mill. (2009) Almost unchanged since 2002 United Kingdom (2010) Increase from mill. 520 in 1998 European Topic Centre on Sustainable Appro. Consumption 1200 mill. and Production (ETC/SCP) 9

10 Use of landfill tax revenues Austria Belgium (Flanders) Belgium (Wallonia) Czech Republic Denmark Estonia Finland France Ireland Italy Latvia Portugal Slovenia Netherlands Norway Spain (Catalonia) Sweden Switzerland State Budget Regional Budget Waste Management Clean up of contaminated sites Environmental measures Other European United Topic Centre on Sustainable Consumption and Production (ETC/SCP) 10 Kingdom

11 Conclusions on landfill tax The tax is used by the majority of the EU Member States and by Norway and Switzerland, The administration of the tax does not seem complicated, The tax appears to be a strong driver in diverting waste from landfills, Denmark and the Netherlands were the first to implement the landfill tax and subsequently have some very low rates of landfilling for all waste types, The tax seems especially useful for homogenous waste types, e.g. construction and demolition waste European Topic Centre on Sustainable Consumption and Production (ETC/SCP) 11

12 Conclusions on landfill tax Provides a reasonable source of revenue, particularly during its early implementation, The 18 countries in Europe, which have a landfill tax, had total revenue of around 2.4 billion in 2009/2010, The revenue contributes both to the general state budgets or regional budgets as well as to environmental initiatives including the clean up of contaminated sites and waste management initiatives, The revenue appears to decrease over time because the tax has created incentives to divert waste to better waste management types than landfilling. European Topic Centre on Sustainable Consumption and Production (ETC/SCP) 12

13 Thank you for your attention For more information please visit our website: European Topic Centre on Sustainable Consumption and Production (ETC/SCP) 13

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