Court Thwarts Papua New Guinea Bid to Ban Plastic Bags

Excerpt from report by Papua New Guinea newspaper The National website on 9 September

The national government has been barred from implementing its ban on plastic bags. Two companies who are challenging the government’s policy to ban the manufacture of plastic bags locally have also warned that the government faces lawsuits worth millions of kina if it goes ahead with the ban and puts them out of business.

Deputy Chief Justice Sir Salamo Injia yesterday restrained the State and the Department of Environment and Conservation from implementing the policy to ban the manufacture of biodegradable plastic shopping bags, which was to come into effect on 1 September 2005.

Sir Salamo issued the restraining order on an application by plastic shopping bag manufacturers Colorpak Ltd and W. H. Industries Ltd, companies who produce the plastic bags in the country.

In papers filed in court by their lawyers, the companies claim they would suffer a total loss of more than 71m kina if the ban was implemented, and warned that they would claim compensation from the government because the policy contravened investment laws and the constitution. [passage omitted]

In his statement filed in court, Colorpak director Sangeet Shah said if his company, which has a turnover of 11m kina, was forced to shut down, 90 national staff would lose their jobs, and his total loss would be more than 29m kina.

Mr Shah described the targeting of plastic shopping bags as a “simplistic” approach, and that the real problem were those who litter. He said the ban discriminates against manufacturers, but favours the importation of the same product from overseas. [passage omitted]