Introduction of Waste Tax - December 2002

Introduction of Waste Tax - December 2002

Aomori, Akita, and Iwate prefectures jointly introduced the "Industrial Waste Tax" as a countermeasure against the illegal dumping of industrial waste. This tax imposes a levy of 1000 yen per ton of industrial waste brought to final disposal sites, impacting the waste management market, which is estimated to be around 300 billion yen annually. The tax aims to promote proper waste disposal and curb illegal dumping by imposing a financial burden on waste producers and intermediaries.

In Aomori Prefecture's Rokkasho Village, about 500,000 tons of industrial waste are brought to final disposal sites annually, with roughly 10% coming from outside the prefecture. For waste brought in from outside the prefecture, a "Conservation Cooperation Fee" of 3000 yen per ton is added, generating approximately 600 million yen in revenue annually for Aomori Prefecture. This revenue is expected to reduce the inflow of external waste and promote recycling efforts among local businesses.

The types of waste handled include 150,000 tons of construction debris, 30,000 tons of plastic waste, and 15,000 tons of metal scrap annually. In particular, hazardous substances like PCB (polychlorinated biphenyls) are also included, requiring strict management under the Waste Management Act due to their significant environmental impact.

The tax revenue is being used to enhance recycling facilities and improve waste processing technologies. In Aomori, "Clean Energy Aomori Co., Ltd." has invested 500 million yen annually to build state-of-the-art processing facilities. Similarly, "Akita Environmental Services" in Akita Prefecture has invested 200 million yen to increase processing capacity. These efforts have led to a 20% improvement in overall waste processing capacity across the three prefectures, contributing to environmental conservation in the region.