According to recent reports, the Dutch government has decided to cancel its plans for the introduction of a polymer levy, or plastic tax. The tax was intended to reduce the production of fossil-based plastics while also generating revenue for the state but has been cancelled following pushback from businesses that argued the tax would make them less competitive. The cancelation of the tax will result in a budget loss of EUR 567 million, which will possibly be covered by increasing the rate of the waste tax, and increasing and reallocating the CO2 levy for waste incineration plants.