Updated: 16.05
A so-called 'latte levy' on compostable cups will not be introduced.
Environment Minister Denis Naughten has done a u-turn on his earlier proposal to introduce such a charge on all single-use cups.
But he has confirmed cups containing plastic will be taxed, as will all single-use plastic products.
The decision to reverse the full levy was due to retailers moving towards providing compostable coffee cups.
Minister Naughten added: "I am looking at a range of other potential levies on single use plastic items, unless there is constructive engagement by industry with my Department to eliminate these environmentally damaging plastic items."
Opposition TDs have, however, criticised the minister for a lack of political will to help the environment.
Green Party leader Eamon Ryan has suggested the 'latte levy' is a feasible proposal.
Deputy Ryan said: "We introduced a levy on plastic bags... it wasn't impossible. Why could we do that and not do the same on plastic non-recyclable cups?
"I think it's a lack of political ambition is the problem. That's easily reasonably changed - I think the Dáil actually has the numbers to put that ambition in place, and I think that's what's going to happen when our bill comes back to committee."