Gazette Notification on ECT stayed

Wasantha Ramanayake

The Supreme Court yesterday stayed the operation of Gazette Notification on the Environmental Conservation Tax ECT in connection with the vehicles, cellular phones, bulbs and the telecommunication, radio and television transmission towers.

Chief Justice Sarath N. Silva PC observed that the Government should not undertake the burden of disposing of the used cellular phones. The Chief Justice noted that the Government should compel the mobile sellers to have a buy back scheme to dispose of used phones.

Justice Shiranee Thilakawardane observed that poor users should not be taxed for disposing of the e-waste such as used mobile phones and computers. She noted that it is responsibility of the manufacturers and sellers who earn billions.

The Bench comprised Chief Justice Sarath N. Silva PC with Justices Shiranee Thilakawardane and K. Sripavan.

President’s Counsel Manohara de Silva for Secretary to the Ministry of the Environment submitted that Nine million mobile phones are being used, which would be disposed of in two to three years and these are hazardous if released to the environment. The Environment Conservation Tax would establish dedicated fund to set up a disposal facility and if the operation of the Gazette is stayed it would affect the whole process.

Petitioners Ven. Maduluwawe Sobhitha Thera, and Ven. Thiniyawala Palitha Thera cited several respondents including the Environment Minister, Central Environment Authority (CEA), its Chairman, Treasury Secretary and the Attorney General. Counsel M.A. Sumanthiran for the petitioners submitted that taxes should not be duplicated.

He submitted that the Finance Ministry should be responsible for the taxing; however, in this instance it had been delegated to the Environment Ministry and the people were subjected to duplicate taxing in violation of their rights. He submitted that the non- Compact Fluorescent (CFL) bulb users are also taxed under the CFL bulb tax which is unfair..

The petitioners complained that the impose of the Environmental Conservation tax is irrational and was in violation of the rights of the people.

The petitioners also sought the court direction to formulate a rational tax structure. M.A. Sumanthiran with Sharmain Gunaratne appeared for the petitioners.

President Counsel Manohara de Silva appeared for the Environment Ministry Secretary.

Deputy Solicitor General Bimba Thilakarathne Jayasinghe with State Counsel Hijas Hisbullah appeared for the respondents.

The hearing was fixed for December 01.