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Government to End Double Charging of MVR 2 Plastic Bag Levy

The government is planning to amend the law governing the plastic bag levy to prevent businesses from being charged the MVR 2 environmental fee twice before the bags reach consumers.

The proposed change was announced by the Ministry of Environment, Climate Change and Energy during a press conference held at the President’s Office on Sunday.

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Speaking at the briefing, Ahmed Murthadha, Director of the ministry’s Waste Department, said the ministry identified an unintended consequence following the introduction of the plastic bag levy, with the fee currently being imposed at both the wholesale and retail stages.

According to Murthadha, wholesalers importing or selling bundles of plastic bags currently add the MVR 2 levy to every individual bag within a bundle. Retailers then charge customers another MVR 2 when those same bags are used to package purchases, resulting in the levy effectively being applied twice.

To address the issue, the ministry plans to submit amendments that would clearly define what constitutes a “bundle of bags” under the law and exempt wholesale transactions from the levy.

Murthadha said that once the amendment is approved, wholesale suppliers will no longer be permitted to charge the MVR 2 fee on bundles of plastic bags, ensuring the levy is applied only when bags are provided to consumers at the point of sale.

He expressed confidence that the proposed change would eliminate the current pricing issue and provide relief to both businesses and the public.

The planned amendments also include changes to existing waste management regulations.

Murthadha said the ministry is seeking to revise provisions that currently prohibit waste collected from other islands from being transported to inhabited islands. He explained that the restriction has created practical challenges for waste management operations, particularly in cases where transporting waste is necessary for treatment, recycling or disposal.

Under the proposed amendments, the law will specify the circumstances in which waste can be transported between islands and establish procedures governing how such movements should take place.

The government introduced the plastic bag levy as part of its broader efforts to reduce the use of single-use plastics and encourage consumers and businesses to adopt more environmentally friendly alternatives. The measure forms part of the Maldives’ wider environmental strategy, which includes reducing plastic pollution, improving waste management and strengthening sustainability initiatives across the country.

If approved, the latest amendments are expected to clarify how the levy is applied while addressing operational challenges that have emerged since the policy came into effect.

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