Ludwigshafen: New packaging tax - opportunity or burden for citizens?

Ludwigshafen: New packaging tax - opportunity or burden for citizens?

In Ludwigshafen, a new proposal is causing a stir in politics: the introduction of a tax on disposable packaging. The aim of this measure is to generate additional income and at the same time create an incentive to use more sustainable packaging. The discussion about the advantages and disadvantages of this tax is certainly offset by the success of the existing “bag tax” as an example, which also tried to raise awareness of environmentally friendly alternatives. Reference is also made to the popular use of reusable packaging at weekly markets, which is already well received in parts of the city.  The Rhine Palatinate reports that the topic is not only locally relevant, but could also trigger major changes in the way packaging is handled in Germany.

But what exactly is behind the proposal for a packaging tax? According to the German Packaging Act (VerpackG), manufacturers of packaging containing products must register their packaging in the central register LUCID since July 1, 2022. In particular, reusable packaging is treated as a separate category and is intended to help reduce the environmental impact of disposable packaging, such as this Federal Environment Agency explained. Reusable packaging does not have to be more expensive than disposable versions, which creates a recognized incentive system.

Legal basis and EU requirements

In the legal framework, the decision of the Federal Constitutional Court (BVerfG) of November 27, 2024, which allows a municipal packaging tax under certain conditions, represents a milestone. Before this decision, such a tax was inadmissible. The final approval for a packaging tax statute in Ludwigshafen must also be granted by the Ministry of Finance and the Ministry of Local Government, as current developments show, which also include the Municipalities of North Rhine-Westphalia explain. There are signs of a slow but steady adaptation to the new regulations, especially with regard to the upcoming EU regulations, which will apply from August 12, 2026.

The new EU Packaging Regulation, which replaces the EU Packaging Directive 94/62/EC, introduces mandatory refill and reuse requirements for the hospitality industry. By 2028, end distributors must ensure that personal containers are also offered and that higher prices cannot be charged for them. This could significantly change the packaging landscape in Germany and should make companies sit up and take notice.

Overall, it is clear that Ludwigshafen not only wants to set an example by introducing a packaging tax, but also wants to actively contribute to reducing single-use packaging. The coming months could be crucial in determining how this debate develops and what concrete measures are ultimately taken. In view of the characteristic developments of the last few years, it is obvious: the time for change is now and something could soon start moving in Ludwigshafen.