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This is to enable chemical waste producers sufficient time to factor the disposal charges into their production cost.

A spokesman for the Planning, Environment and Lands Branch said: "The proposed revision will increase the VOC recovery rate from 20 per cent to 25 per cent.

"This means the Government will still bear 75 per cent of the VOC as well as the fixed operating cost and capital cost.

"The revisions represent a fee increase of about 35 per cent. We believe it strikes a reasonable balance among the impact on waste producers, the disincentive to use the CWTC and the requirements of the polluter pays principle.

"We do not expect the revised charges to pose a significant burden on industries because we estimate that the present level of disposal charges represent a very small portion of the operating cost of the affected industries.

"The operation of the CWTC is not a monopoly and the use of its services is not compulsory.

"Chemical waste producers can alternatively use their own treatment facilities on site or services of other licensed waste disposal facilities."

The registration of chemical waste producers and the trip-ticket system would enable the Environmental Protection Department to identify improper disposal practices and take necessary enforcement action, he said.

Details of the adjustments are listed in the Waste Disposal (Charges for Disposal of Chemical Waste) (Amendment) Regulation 1996 gazetted today (Friday).

It is intended that the new charges will come into effect on June 28.

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