THE country's first green tax was introduced yesterday amid fears councils could be facing higher bills for getting rid of rubbish.

And there are also concerns that people will dump rubbish illegally rather than pay the new tax.

From now on, operators will have to pay £7 for every tonne of household rubbish dumped at landfill sites. There is also a further £2 tax per tonne on 'inactive' waste, such as rubble and building debris.

Operators charges for councils look set to increase, but government funding for local authorities will also rise. The aim of the tax is to encourage people to recycle and reduce the amount of refuse dumped at landfill sites by 10 per cent over the next ten years.

The new tax is expected to raise around £450 million a year, but it will be offset by reductions to employers' National Insurance contributions. Landfill site owners will be encouraged to help improve the environment through a wide range of tax incentives. Tax reductions will be available for people who make donations to organisations involved in recycling, clearing landfill sites and restoring historic buildings.

The Environment Agency has hit back at claims that more rubbish will be dumped illegally by pirates trying to dodge the tax. The Government agency has set up an emergency helpline and is urging the public to help with the crackdown.

A spokesman for the pollution control section of the Environment Agency said: "The agency supports the Landfill Tax as a means to encourage waste producers to look at alternatives, but is conscious of concerns that the tax will lead to an increase in fly-tipping.

"We intend to come down hard on fly-tippers, but to get the evidence to make successful prosecutions against them we need the help of the public."

If anyone spots illegal dumping they should make a note of vehicle markings and ring the 24 hour helpline number 0800 80 70 60.

Converted for the new archive on 14 July 2000. Some images and formatting may have been lost in the conversion.