Namibia's plastic bag levy has generated N$249.75 million since collections began nearly five years ago, helping to fund waste management, recycling and green economy projects across the country.
Environment, forestry and tourism minister Indileni Daniel said the levy is part of Namibia's broader environmental fiscal reform programme, which aims to raise revenue while encouraging consumers and businesses to reduce their environmental impact.
Environmental levies were formalised under the Customs and Excise Act of 1998, with implementation expanding between 2018 and 2019. In August 2019, the government gazetted levies on selected products, including lightweight plastic carrier bags, as part of a broader package of environmental taxes.
The levies are collected by the Nam
ibia Revenue Agency (NamRA) and are used to fund environmental protection, waste management and green investment programmes.
Financial records show that N$24.23 million was collected during the 2021/22 financial year after collections began in the third quarter. Revenue more than doubled to N$59.36 million in 2022/23 before rising to a record N$69.54 million in 2023/24.
Collections totalled N$67.68 million in 2024/25, while N$28.94 million had already been raised during the first two quarters of the 2025/26 financial year.
Waste management, recycling
Daniel said about 12% of the Environmental Investment Fund's (EIF) annual budget is allocated to waste management and recycling initiatives financed through environmental levies.
Funding from the levy amounted to N$12.5 million in 2023/24, increasing to N$20 million in 2024/25, N$26.41 million in 2025/26 and N$26 million budgeted for 2026/27.
According to Daniel, the levy continues to provide a reliable source of funding for environmental programmes while encouraging reduced use of single-use plastic bags.
Projects supported by the fund include the development and upgrading of waste management infrastructure, recycling and waste reduction initiatives, environmental rehabilitation projects and public awareness campaigns aimed at changing consumer behaviour.
Daniel said the levy has also become an important source of funding for Namibia's growing green economy.
A significant share of the revenue has been channelled through the Green Impact Facility (GIF), which is administered by two fund managers on behalf of the Environmental Investment Fund.
Over the past four years, the facility has invested N$135 million in private-sector projects, including recycling, renewable energy, sustainable agriculture and other green economy initiatives.
Daniel said these investments were helping to grow environmentally sustainable businesses while supporting job creation, climate resilience and economic diversification.
