The industry ministry has asked an advisory panel to examine new recycling proposals, such as financially helping municipalities that collect and sort garbage and charging shoppers for plastic bags at supermarkets and other stores.

The Ministry of Economy, Trade and Industry asked its Industrial Structure Council on Wednesday to study the proposals as its looks to revise the law governing recycling of containers and packaging. Together with the Environment Ministry, METI plans to urge local governments to reduce packaging with financial incentives.

Retailers, food and beverage makers and other businesses shoulder the fees for recycling packaging that has been collected and separated by local governments.

However, as complaints from cash-strapped municipalities mount, the ministries are suggesting diverting 5 billion yen to 10 billion yen of those payments to the municipalities, if the local governments succeed in reducing waste and cutting recycling fees.

METI suggests steering 5 billion yen to local governments, while the Environment Ministry is proposing 10 billion yen be handed over.