Steel for packaging industry complains against Danish tax law

APEAL addresses formal complaint to Legal Unit of DG Environment against recent Danish tax law on packaging

APEAL, the European federation of steel for
packaging industries, has addressed a formal complaint to the Legal
Unit of DG Environment against a recent Danish tax law on materials
for packaging. The new law was adopted in December 2000 by the
Danish Folketinget (Parliament). Taxes on materials for packaging
according to the environmental impact of the packaging material
were decided. Heavy taxes were imposed on the steel and aluminium
packaging materials. The law should come into force beginning of
April 2001.

The environmental impact was calculated on the
basis of a Life Cycle Analysis (LCA) commissioned in 2000 by the
Danish Environmental Protection Agency (EPA) (see

EURACTIV 24 Aug.
2000
).

According to APEAL, the Danish law is
incompatible with the EU’s Packaging and Packaging Waste Directive
(94/62/EC) and with article 28 of the EC Treaty. The industry
federation also questions the underlying LCA, saying that “LCA
should be used in an appropriate manner as a tool for continuous
environmental improvement by the companies, and not misused by
governments by drafting legislation based on LCAs.”

The steel for packaging industry is not the only
one having problems with the new tax legislation. In January 2001,
the Aluminium industry also filed a similar complaint with DG
Environment.

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