Revenue services and environmental taxes: a comparative study of the Irish and South African approaches to a levy on plastic bags

This paper examines at a levy on plastic bags introduced in Ireland in 2002, and a comparable measure phased in by South Africa from 2003. It looks at the approach taken by the Revenue in each case, and isolates key influences on the policy formation process. It assesses the effectiveness of each measure as an environmental tax, in terms of the potential to achieve a double dividend for the economy. It describes difficulties encountered in the introduction and implementation of the levies, and suggests refinements to improve the effectiveness of such levies if introduced in other jurisdictions.