Government needs to rethink coffee cup levy: Retail Excellence

Government needs to rethink coffee cup levy: Retail Excellence

A proposed 20 cent levy on single-use coffee cups “sends the wrong message on sustainability” and the Government needs to rethink its strategy, according to Retail Excellence.

The measure was announced earlier this year by the Government as part of the Circular Economy Bill, which is aimed at reducing waste and influencing behaviour.

Minister of State Ossian Smyth has said the levy is designed to wean people off single use containers and switch to reusable keep cups.
When announcing the measures contained in the bill in late March, Mr Smyth said the use of reusable cups for takeaway coffee had dwindled during the Covid pandemic, but stressed that public health advice said they were safe and there should be no concerns about spreading Covid-19.

However, Managing Director of Retail Excellence Duncan Graham now says the proposed levy has sent out a mixed message to retailers, does not make sense and could have unintended consequences for businesses.

“The reality behind this, and where the Greens are taking us with this one, is the elimination of paper cups and the replacement of them with plastic reusable cups,” he said.

“Paper cups are recyclable and are often compostable and we’re replacing that with a plastic cup that potentially ends up in landfill, and that’s a major cause of concern for us.”

Mr Graham said the Government should look at providing workplaces with recyclable containers so that people can dispose of their takeaway coffee cups separately.

He cited a UK study that claimed only 6% of people said they would move permanently towards a keep cup, while 8% would choose to forego a takeaway coffee if a levy was imposed.

Mr Graham said retailers do want to make sustainable changes, but the focus at the moment seems to be on reuse.

“We’re just saying that alongside reuse, we also need to look at recycle, and the Government has its part to play in terms of providing those recycling points and not adding a significant cost to an industry at this moment in time,” he said.

Mr Graham also said that 80% of businesses recently surveyed by Retail Excellence wanted to become more sustainable, while 77% said they need to change some practices and adopt more sustainable products.

He said many “simply didn’t know where to start” and needed advice and further direction.

Retail Excellence is launching a Sustainable Irish Retail Action initiative in conjunction with Champion Green to support businesses to take practical steps in becoming more sustainable.