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Plastic Bag Bans Backfired in California and New Jersey, Increasing Waste

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From HeartlandDailyNews.com

By Linnea Lueken

” the FCR report states that polypropylene bag production has caused a 500 percent increase in greenhouse gas emissions, and that it is unlikely the emissions will be offset significantly by bag reuse, since most consumers throw them away far earlier than expected. “

Recent research has revealed that plastic bag bans in California and New Jersey have resulted in an increase in plastic waste, rather than the decrease intended.

A new report from the California Public Interest Research Group (CALPIRG) shows that California’s 2014 plastic bag ban, SB 270, has led to more plastic waste, not less, over the 10-year period since the law was enacted.

Likewise, a report from Freedonia Custom Research (FCR) found that more plastic containers and bags were used in New Jersey after that state’s plastic bag ban. The FCR report also found the increased use of polypropylene bags as a result of the ban contributed to a significant increase in greenhouse gas emissions.

Californians Use More Plastic after Ban

CALPIRG is a consumer advocacy group that supported the initial plastic bag ban and now supports a stricter plastic bag bans in California that removes the “loophole” they claim the existing California law created. The law permits retailers to sell thicker plastic bags for a fee, which CALPIRG said in a January 2024 report led to an increase in plastic waste because customers still treat them as single-use bags.

“While theoretically “reusable,” it appears that many shoppers are disposing of those bags in the same ways as single use bags, potentially undermining the effectiveness of plastic bag bans at reducing plastic waste overall,” CALPIRG reports.

In Alameda County, California, for example, the thicker reusable bags resulted in more plastic waste by weight despite decreasing the number of bags consumed, says the CALPIRG report.

“Since these “reusable” plastic bags are at least four times thicker than typical single-use plastic bags, the estimated 13 million of them sold in Alameda County in 2021 likely surpassed the 37 million single-use plastic bags sold annually pre-ban on a plastic weight basis,” CALPIRG said.

The weight of plastic bags discarded per 1,000 people increased from 4.13 tons in 2004 to 5.89 tons in 2021.

New Jersey Plastic Consumption Spikes

In New Jersey, the results of a 2022 plastic bag ban were similar, according to another, recent report from FCR, a division of MarketResearch.com.

FCR reports that following the thin-film plastic bag ban, the shift to alternatives resulted in a massive increase in plastic consumption.

“[F]ollowing New Jersey’s ban of single-use bags, the shift from plastic film to alternative bags resulted in a nearly 3x increase in plastic consumption for bags,” FCR’s report states. “At the same time, 6x more woven and non-woven polypropylene plastic was consumed to produce the reusable bags sold to consumers as an alternative.”

Despite being advertised as environmentally friendly, the FCR report states that polypropylene bag production has caused a 500 percent increase in greenhouse gas emissions, and that it is unlikely the emissions will be offset significantly by bag reuse, since most consumers throw them away far earlier than expected.

“FCR’s analysis of New Jersey bag demand and trade data for alternative bags finds that, on average, an alternative bag is reused only two to three times before being discarded, falling short of the recommended reuse rates necessary to mitigate the greenhouse gas emissions generated during production and [to] address climate change,” said FCR.

‘More Expensive, Worse for the Environment’

There is a reason why thin-film plastic bags are commonly used in the first place, says H. Sterling Burnett, Ph.D., director of The Heartland Institute’s Arthur B. Robinson Center on Climate and Environmental Policy, and it is not shocking that people began using other types of plastic bags.

“It is not surprising that the plastic bag bans in New Jersey and California backfired, I predicted as much 10 years ago when I was writing on the then relatively new phenomena of plastic bag bans,” Burnett said. “Plastic bags have many virtues, the primary among them being convenience and ease of reuse.”

As in the case with polypropylene bags detailed in the FCR report, attempting to get rid of plastic bags carries costs, Burnett says, and if cities and states were so concerned about the impact of volumes of plastic waste, they should have looked into other solutions.

“Alternatives to plastic bags are more expensive, worse for the environment, and sometimes bad for public health,” Burnett said. “Recycling plastic bags should have been the response to cities concerned about plastic waste, not banning them.”

Not only are the thicker and reusable bags more costly, but the bans drive stores toward returning to paper bags, Burnett says, and support countries like China which stand to gain economically from spikes in reusable bag manufacturing.

“The cities cost themselves, their residents, and the United States economy money, destroying trees and boosting China, which dominates the reusable bag market, in the process,” Burnett said.

Linnea Lueken ([email protected]) is a research fellow with the Arthur B. Robinson Center on Climate and Environmental Policy at The Heartland Institute.

For more on plastic bag bans, click here and here.

Linnea Lueken
Linnea Luekenhttps://www.heartland.org/about-us/who-we-are/linnea-lueken
Linnea Lueken is a Research Fellow with the Arthur B. Robinson Center on Climate and Environmental Policy. While she was an intern with The Heartland Institute in 2018, she co-authored a policy brief ‘Debunking Four Persistent Myths About Hydraulic Fracturing’.

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Federal government’s accounting change reduces transparency and accountability

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From the Fraser Institute

By Jake Fuss and Grady Munro

Carney’s deficit-spending plan over the next four years dwarfs the plan from Justin Trudeau, the biggest spender (per-person, inflation-adjusted) in Canadian history, and will add many more billions to Canada’s mountain of federal debt. Yet Prime Minister Carney has tried to sell his plan as more responsible than his predecessor’s.

All Canadians should care about government transparency. In Ottawa, the federal government must provide timely and comprehensible reporting on federal finances so Canadians know whether the government is staying true to its promises. And yet, the Carney government’s new spending framework—which increases complexity and ambiguity in the federal budget—will actually reduce transparency and make it harder for Canadians to hold the government accountable.

The government plans to separate federal spending into two budgets: the operating budget and the capital budget. Spending on government salaries, cash transfers to the provinces (for health care, for example) and to people (e.g. Old Age Security) will fall within the operating budget, while spending on “anything that builds an asset” will fall within the capital budget. Prime Minister Carney plans to balance the operating budget by 2028/29 while increasing spending within the capital budget (which will be funded by more borrowing).

According to the Liberal Party platform, this accounting change will “create a more transparent categorization of the expenditure that contributes to capital formation in Canada.” But in reality, it will muddy the waters and make it harder to evaluate the state of federal finances.

First off, the change will make it more difficult to recognize the actual size of the deficit. While the Carney government plans to balance the operating budget by 2028/29, this does not mean it plans to stop borrowing money. In fact, it will continue to borrow to finance increased capital spending, and as a result, after accounting for both operating and capital spending, will increase planned deficits over the next four years by a projected $93.4 billion compared to the Trudeau government’s last spending plan. You read that right—Carney’s deficit-spending plan over the next four years dwarfs the plan from Justin Trudeau, the biggest spender (per-person, inflation-adjusted) in Canadian history, and will add many more billions to Canada’s mountain of federal debt. Yet Prime Minister Carney has tried to sell his plan as more responsible than his predecessor’s.

In addition to obscuring the amount of borrowing, splitting the budget allows the government to get creative with its accounting. Certain types of spending clearly fall into one category or another. For example, salaries for bureaucrats clearly represent day-to-day operations while funding for long-term infrastructure projects are clearly capital investments. But Carney’s definition of “capital spending” remains vague. Instead of limiting this spending category to direct investments in long-term assets such as roads, ports or military equipment, the government will also include in the capital budget new “incentives” that “support the formation of private sector capital (e.g. patents, plants, and technology) or which meaningfully raise private sector productivity.” In other words, corporate welfare.

Indeed, based on the government’s definition of capital spending, government subsidies to corporations—as long as they somehow relate to creating an asset—could potentially land in the same spending category as new infrastructure spending. Not only would this be inaccurate, but this broad definition means the government could potentially balance the operating budget simply by shifting spending over to the capital budget, as opposed to reducing spending. This would add to the debt but allow the government to maneuver under the guise of “responsible” budgeting.

Finally, rather than split federal spending into two budgets, to increase transparency the Carney government could give Canadians a better idea of how their tax dollars are spent by providing additional breakdowns of line items about operating and capital spending within the existing budget framework.

Clearly, Carney’s new spending framework, as laid out in the Liberal election platform, will only further complicate government finances and make it harder for Canadians to hold their government accountable.

Jake Fuss

Director, Fiscal Studies, Fraser Institute

Grady Munro

Policy Analyst, Fraser Institute
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Carney poised to dethrone Trudeau as biggest spender in Canadian history

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From the Fraser Institute

By Jake Fuss

The Liberals won the federal election partly due to the perception that Prime Minister Mark Carney will move his government back to the political centre and be more responsible with taxpayer dollars. But in fact, according to Carney’s fiscal plan, he doesn’t think Justin Trudeau was spending and borrowing enough.

To recap, the Trudeau government recorded 10 consecutive budget deficits, racked up $1.1 trillion in debt, recorded the six highest spending years (per person, adjusted for inflation) in Canadian history from 2018 to 2023, and last fall projected large deficits (and $400 billion in additional debt) over the next four years including a $42.2 billion deficit this fiscal year.

By contrast, under Carney’s plan, this year’s deficit will increase to a projected $62.4 billion while the combined deficits over the subsequent three years will be $67.7 billion higher than under Trudeau’s plan.

Consequently, the federal debt, and debt interest costs, will rise sharply. Under Trudeau’s plan, federal debt interest would have reached a projected $66.3 billion in 2028/29 compared to $68.7 billion under the new Carney plan. That’s roughly equivalent to what the government will spend on employment insurance (EI), the Canada Child Benefit and $10-a-day daycare combined. More taxpayer dollars will be diverted away from programs and services and towards servicing the debt.

Clearly, Carney plans to be a bigger spender than Justin Trudeau—who was the biggest spender in Canadian history.

On the campaign trail, Carney was creative in attempting to sell this as a responsible fiscal plan. For example, he split operating and capital spending into two separate budgets. According to his plan’s projections, the Carney government will balance the operating budget—which includes bureaucrat salaries, cash transfers (e.g. health-care funding) and benefits (e.g. Old Age Security)—by 2028/29, while borrowing huge sums to substantially increase capital spending, defined by Carney as anything that builds an asset. This is sleight-of-hand budgeting. Tell the audience to look somewhere—in this case, the operating budget—so it ignores what’s happening in the capital budget.

It’s also far from certain Carney will actually balance the operating budget. He’s banking on finding a mysterious $28.0 billion in savings from “increased government productivity.” His plan to use artificial intelligence and amalgamate service delivery will not magically deliver these savings. He’s already said no to cutting the bureaucracy or reducing any cash transfers to the provinces or individuals. With such a large chunk of spending exempt from review, it’s very difficult to see how meaningful cost savings will materialize.

And there’s no plan to pay for Carney’s spending explosion. Due to rising deficits and debt, the bill will come due later and younger generations of Canadians will bear this burden through higher taxes and/or fewer services.

Finally, there’s an obvious parallel between Carney and Trudeau on the inventive language used to justify more spending. According to Carney, his plan is not increasing spending but rather “investing” in the economy. Thus his campaign slogan “Spend less, invest more.” This wording is eerily similar to the 2015 and 2019 Trudeau election platforms, which claimed all new spending measures were merely “investments” that would increase economic growth. Regardless of the phrasing, Carney’s spending increases will produce the same results as under Trudeau—federal finances will continue to deteriorate without any improvement in economic growth. Canadian living standards (measured by per-person GDP) are lower today than they were seven years ago despite a massive increase in federal “investment” during the Trudeau years. Yet Carney, not content to double down on this failed approach, plans to accelerate it.

The numbers don’t lie; Carney’s fiscal plan includes more spending and borrowing than Trudeau’s plan. This will be a fiscal and economic disaster with Canadians paying the price.

Jake Fuss

Director, Fiscal Studies, Fraser Institute
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