Container deposit legislation in Australia

CDL/CDS status in Australian states and territories
  Scheme in effect (SA, NT, ACT and NSW)
  No scheme (VIC and TAS)
  Planned scheme (QLD - 1 Nov 2018 and WA - 1 Jan 2020)

Container deposit legislation (CDL) also known as a Container Deposit Scheme (CDS) is a scheme that was first implemented in South Australia in 1977 and over the decades has spread to the Northern Territory in 2012, New South Wales in 2017 and The Australian Capital Territory in June 2018. Queensland has announced it will pursue a scheme in partnership with NSW for implementation by 1 November 2018. Western Australia has also announced plans for a scheme commencing in early 2020.

Attempts to introduce similar legislation in Tasmania and Victoria have been unsuccessful to date. Victoria did have a similar scheme in place in the 1980's called 'Cash for Cans' but was later rescinded. A Newspoll survey found a majority of people in Australia support a deposit scheme,[1] and a national scheme has also been proposed many times over the year.[2] The recent NSW scheme was strongly opposed by the beverage industry and highlighted their influence.[3]

The value of deposits and the scope of their application have been influenced by the Australian federal constitution's guarantee of free trade between the states. The defining case in this issue was the attempt to introduce a differential between reusable and recyclable bottle deposits. The issue was taken to the High Court of Australia in the Castlemaine Tooheys Ltd v South Australia court case.,[4] State based schemes need to be exempted from the Commonwealth Mutual Recognition Act which guarantees products can be sold in any jurisdiction without requiring any special labelling. This formed the basis of legal action against the Northern Territories' scheme until an exemption was granted. South Australia, Northern Territory, New South Wales and the ACT is offering 10c to anyone who donates an empty container.

CDL by state

Australian Capital Territory

The ACT government has always been supportive of container deposit legislation, but has never acted alone due to its relatively small size and being inside the much larger state of NSW. They have always said if NSW adopts a scheme they will follow suit.[5] The ACT Container Deposit Scheme legislation was passed into law on 9 November 2017 and a public consultation was conducted ahead of the scheme's implementation in 2018.[6] The scheme began on 30 June 2018.

New South Wales

Reverse vending machine, December 2017.

The New South Wales government has indicated it wishes to push ahead with a container deposit scheme as part of a raft of new policies aimed at protecting the environment and doing more to prevent litter and pollution entering the state's rivers, oceans, and parks.[7] The scheme has strong backing from the public, various politicians, NSW councils,[8] and various environmental groups such as Cleanup Australia, Boomerang Alliance, and Total Environment Centre.

In February 2015 it was revealed that the Baird government has been under a well planned, sustained attack from multiple beverage industry companies and their executives. They have organised the lobbying of various members of parliament in NSW and other jurisdictions (even at the federal level) in order to gain influence over Mike Baird and Minister for the Environment, Rob Stokes, in order to force them to abandon plans for a container deposit scheme in NSW. The beverage industry has even threatened to run scare campaign election advertising. The government said that all of this time and money spent on lobbying has ultimately failed to change their position and the scheme will go ahead and is currently being designed. They have also invited the beverage industry to get on board.[9]

The NSW government initially announced the start date of a container deposit/refund system being July 2017, however, this was extended to December 2017 following requests from environment groups and industry bodies.[10]

On 8 May 2016 it was officially announced the NSW will be implementing a full 10c Container Deposit Scheme after looking at many options, including public submissions and industry alternatives. As it stands, drink containers from 150ml in size up to 3L will be covered as long as it has the appropriate NSW labelling. There will be some exclusions - such as wine bottles - as it is mainly targeting drink containers consumed away from home. Draft legislation will be brought forward and an implementation advisory group will be established to meet the 1 December 2017 start date. This will affect the ACT and also QLD which are currently examining options for a state based scheme.[11]

On 29 July 2017 the NSW EPA announced the scheme coordinator would be a joint venture called Exchange for Change,[12] comprising 5 of Australian beverage companies: Asahi, Carlton & United Breweries, Coca-Cola Amatil, Coopers Brewery and Lion. However, there has been some criticism of this decision given some of these organisations have actively opposed CDL in the past.[13]

On 1 December 2017, the Container Deposit Scheme, named Return and Earn, officially started, as it pushed to reduce the volume of litter in NSW by 40% by 2020. During the first couple of weeks in the scheme, many people were complaining about it, which including drink prices going up, boxes and bags dumped next to the machines, the allowance of only cans and bottles that were empty, uncrushed, unbroken and had the original label attached, and also, the limited number of collection points around the state. Although there was plenty of problems throughout Return And Earn, the number of containers that were returned increased, as did the amount of collection points. The Environment Minister announced that the scheme has been a success, and they were working hard to fix the minor teething problems. During Christmas and New Years celebrations, the amount grew to over 1 million containers returned a day, and then to over 3 million in towards April March. As of 17 April, there is a growing number of the 549 collection points available out of the planned 800+, and over 240 million containers have been returned throughout the state. A common label has been developed which will start appearing on bottles and cans: "10c refund at collection depots/points in participating State/Territory of purchase."

Northern Territory

The Northern Territory introduced a container deposit scheme similar to South Australia's from 3 January 2012.[14] This was challenged in the Federal Court by Coca-Cola Amatil, Schweppes Australia and Lion Pty Ltd using the Commonwealth Mutual Recognition Act and the scheme ceased on 4 March 2013.[15] Immediately after the Federal Court loss, the NT government personally stepped in to keep the scheme going until a permanent exemption to the Mutual Recognition Act could be secured. On 7 August 2013 the Federal Executive Council (ExCo) ratified the permanent exemption making the NT container deposit scheme completely legal and permanent.[16]

Due to this, all beverage containers sold in Australia now must bear the words "10c refund at SA/NT collection depots in state/territory of purchase". With other jurisdictions implementing their own schemes a common label has been developed which will start appearing on bottles and cans: "10c refund at collection depots/points in participating State/Territory of purchase"

Queensland

In 2013, the Newman government has indicated it does not want to increase the cost of QLD residents' costs of living, seeing the refund scheme as more of a tax rather than a refundable deposit even though 85% of Queenslanders are in favor of a scheme according to a Newspoll.[17]

In February 2015, the newly elected Palaszczuk government indicated a total overhaul of the state's environmental policies including supporting a national container deposit scheme and also a state based container deposit scheme. It is likely that QLD will follow suit with NSW.[18]

In May 2015 the QLD government announced its support for a Cash for Containers scheme in Queensland, potentially in 2018 after NSW implements its own scheme. The QLD environment minister says he was inspired by trash that was sent to his office. He has ordered a review and wants to establish an advisory group to help his department with a consultation process with the public and stake holders commencing later this year. He also says he will work with NSW.[19] Eventually the Queensland government on 22 July 2016 announced that State will have a Container Deposit Scheme "to get drink cans and bottles off our beaches, and out of our parks and public areas"[20]. The Queensland Container Refund Scheme (CRS) [21] was to start from 1 July 2018 but was delayed to 1 November 2018.

South Australia

In the days when bottles were washed and re-used, drinks manufacturers paid shopkeepers and "marine store collectors" ("bottle-ohs") for the return of their (proprietary) containers, both bottles and crates. By arrangement between the manufacturers, the refund to the consumer was standardized (for many decades 2 pence, later 6 pence or 5c. for soft drink bottles and ½ pence for generic beer bottles) and the collectors received a premium for their part in the process. A substantial cost was incurred by the manufacturer in the transportation, sorting, storage, washing and sterilizing of the bottles and their inspection for contamination and damage. With the advent of cheaper single-use bottles great savings were achievable, and their subsequent disposal the responsibility of the consumer.

CDL in South Australia was put in place under the Beverage Container Act 1975 (SA) and came into operation in 1977.[22] Environment Protection Act 1993 (SA) now governs the levying and refund of deposits.[23]

There is a refund of 10 cents per can or bottle[24] (raised from 5 cents in late 2008). In the 1970s deposits ranged from 20c for a 30 oz bottle and 10c for a 10 oz and 6½ oz bottle. With the introduction of plastic and non re-usable bottles the deposit was reduced to 5c (including aluminium cans). This amount remained unchanged for around thirty years.

Around 600 people are employed in the recovery of bottles in South Australia. Groups such as the Scouts operate container refund depots.[25] While there are professional collectors who collect on an arranged basis from particular venues (e.g. pubs and restaurants), usually operating small trucks for the job, there are also many socially marginalised collectors who forage in spots such as refuse bins for discarded deposit bottles; these collectors often travel by bicycle, sometimes with relatively elaborate and inventive modifications to allow them to carry bulky loads of bottles.

Until 2008, every beverage container in Australia bore the words "5c refund at SA collection depots in state of purchase". This changed to "10c refund at SA collection depots in state of purchase" in late 2008. Since the Northern Territory started their own scheme in 2012, this message has changed again. With other jurisdictions implementing their own schemes a common label has been developed which will start appearing on bottles and cans: "10c refund at collection depots/points in participating State/Territory of purchase".

Tasmania

In December 2014 a state based deposit scheme was rejected by the government, citing costs and the need to ship containers to the Australian mainland for processing.[26] Various environmental organisations, including The Greens and many Tasmanian local councils[27] have been pushing for a scheme in Tasmania for many years. Most people are in favour of a scheme according to various studies that have been conducted over the years.

In 2018 the Tasmanian Government has made a commitment to consider establishing a Container Refund Scheme (CRS) and has engaged a consulting company to produce a report with recommendations. This report is now available and the Tasmanian Government is now reviewing.[28]

Victoria

The state of Victoria once had a container deposit scheme in the 1980's called "Cash for Cans" but was rescinded in 1989.[8] In 2009 the Victorian Greens introduced a bill for a 10c deposit scheme, which was passed in the upper house but the government quashed the bill in the lower house, allegedly on constitutional grounds, by refusing to allow it to be debated.[29] Despite supporting the Greens' bill when in opposition, when it later became the government the Coalition decided it would not back a bottle refund scheme. Instead, it said it would support a national scheme if one were created.[30]

In 2012/2013, the Napthine government indicated its strong support[31] for a state based scheme possibly in partnership with NSW. Since there has now been a change of government, the legislation has not been introduced into parliament as of January 2015.

In February 2015, the then Environment Minister Lisa Neville has publicly said she is not in favour of a container deposit scheme for Victoria. She believes current recycling programs are good enough, even though Clean-up Australia claims beverage related rubbish in Victoria now outnumbers cigarette related rubbish.[32] In July 2017 her successor Lily D'Ambrosio confirmed the state's continuing opposition to a state scheme on the basis that the costs would outweigh the environmental benefits.[33].

In July 2018, Victorian Environment Minister Lily D'Ambrosio announced a $37m package to tackle recycling in her State. Although she is no longer explicitly saying a CDS for Victoria is off the table, she has stated that she is carefully monitoring the situation in NSW in relation to the newly rolled out scheme. There are private companies that accept used aluminum cans and pay cash for them - usually by weight or by per filled 'metal storage cage'.

Western Australia

In 2011, opposition Labor and Greens MPs called for the introduction of a container deposit scheme. The Minister for Environment, Bill Marmion, said that WA would wait for a national "consultation regulatory impact statement" to be completed at the end of 2011 before taking any action.[34]

In August 2016, the WA Government announced a State container deposit scheme commencing in 2018. Minister for the Environment Albert Jacob said that efforts to pursue a national scheme had "fallen by the wayside" but that Western Australia's policy should be aligned with recent changes in Queensland and New South Wales.[35] After a change of government at the March 2017 election, the new Environment Minister Stephen Dawson said he wanted to make a container deposit scheme a priority and in August 2017. The new WA Government held public consultation and will start a container deposit scheme in January 2020 in a bid to lift the State’s low recycling rates.[36]

Historical

Through the early 20th century, when the cost of producing glass bottles was higher, a natural industry of glass bottle collectors and merchants performed a similar function to the modern CDL. Bottle accumulators, a licensed and unionized workforce commonly known as "bottle-ohs" from their street cries, travelled by cart around the streets buying empty bottles from households and businesses. They would then sell the bottles to a bottle yard, which would store and sort the bottles before selling them in bulk to brewers and other bottlers. It was an industry from which a bottle-oh could make a good living; in 1904, they could buy a dozen beer bottles for 6d., sell them to the bottle yard for 9d., who could sell them to brewers for 1s.[37] The commercial reuse of glass bottles and the bottle collecting industry had all but disappeared by the 1950s.[38] Soft drink and other beverage bottles were still collected in Queensland and returned for deposits up to the late 1960s.

See also

References

  1. ↑ "Container deposit scheme gathers momentum". Transport & Logistics News. 7 August 2012. Retrieved 21 August 2012.
  2. ↑ "Why we need a Container Deposit Scheme".
  3. ↑ "Beverage giants lobby against NSW container deposit scheme". The Sydney Morning Herald.
  4. ↑ Castlemaine Tooheys Ltd v South Australia [1990] HCA 1, (1990) 169 CLR 436 (7 February 1990), High Court.
  5. ↑ Kirsten Lawson (14 January 2015). "Canberra likely to follow NSW into refunds for drinks containers". Canberra Times.
  6. ↑ "Your say: ACT Container Deposit Scheme".
  7. ↑ "NSW Government set to introduce a drinks container deposit scheme". ABC News.
  8. 1 2 "NSW councils back container deposit scheme". Government News.
  9. ↑ "How beverage companies joined forces to attack Baird recycling scheme". The Sydney Morning Herald.
  10. ↑ http://www.epa.nsw.gov.au/resources/MinMedia/EPAMinMedia17021601.pdf
  11. ↑ http://www.smh.com.au/nsw/baird-backs-kids-over-big-beverage-10-for-every-drink-bottle-you-can-find-20160507-gooqih.html
  12. ↑ http://www.exchangeforchange.com.au/
  13. ↑ https://www.brisbanetimes.com.au/politics/nsw/utter-stupidity-greens-attack-cokes-role-in-nsw-container-scheme-20170731-gxmh5u.html
  14. ↑ "Archived copy". Archived from the original on 17 October 2012. Retrieved 22 August 2012.
  15. ↑ "Coca-Cola wins Federal Court case, cash for containers recycling found illegal". News.com.au.
  16. ↑ "Container deposit scheme back on full-bottle track". www.abc.net.au.
  17. ↑ http://www.couriermail.com.au/news/queensland/most-queenslanders-want-container-deposit-laws-introduced-but-the-government-cans-the-idea/story-fnihsrf2-1226666475414
  18. ↑ http://www.resourcerecovery.biz/news/labor-poised-overhaul-queensland-recycling-policies
  19. ↑ Amy Remeikis (20 May 2015). "Environment Minister Steven Miles tackles Queensland's recycling issue". Brisbane Times. As of May 2016, with NSW formally signing off on a full 10c CDS - it is likely QLD will adopt a similar model for implementation in 2018. QLD is observing the NSW situation closely.
  20. ↑ "Container deposit scheme for Queensland". qld.gov.au. Queensland government. Retrieved 27 July 2016.
  21. ↑ "Quensland Container Refund Scheme". qld.gov.au. Queensland government. Retrieved 27 July 2016.
  22. ↑ "Beverage Container Act 1975" (PDF). Government of South Australia. 1975. Retrieved 23 August 2012.
  23. ↑ "South Australian Legislation – Environment Protection Act 1993". Attorney-General's Department, Government of South Australia. Retrieved 21 August 2012.
  24. ↑ "BottleBill.org – Beverage Container Legislation in Australia".
  25. ↑ "What are Bottle Bills".
  26. ↑ "Container deposit scheme rejected in Tasmania after report estimates $4m cost". ABC News.
  27. ↑ "Tasmanian councils harden push for container deposit scheme". Government News.
  28. ↑ "Studies into Container Deposit Systems".
  29. ↑ McMahon, Stephen (25 June 2009). "Brumby Government halts Greens law to reintroduce bottle deposit system". HeraldSun. Retrieved 22 August 2012.
  30. ↑ Lucas, Clay (5 March 2012). "Baillieu retreats on bottle refund scheme". The Age. Retrieved 25 January 2013.
  31. ↑ "Victorian Premier Denis Napthine backs cash-for-cans recycling scheme". The Age.
  32. ↑ "Lisa Neville against cash-for-containers recycling scheme in Victoria". The Age.
  33. ↑ Heffernan, Madeleine; Preiss, Benjamin (27 July 2017). "Victoria open to 'going it alone' on plastic bag ban if national deal not reached". The Age. Fairfax Media. Retrieved 24 September 2017.
  34. ↑ Peterson, Oliver (16 November 2011). "A container deposit scheme is proposed for WA". ABC News.
  35. ↑ O'Connor, Andrew (17 August 2016). "WA container deposit scheme: Consumers to get 10c for bottles, cans in recycling push". ABC News.
  36. ↑ "WA Container Deposit Scheme". Government of Western Australia. Retrieved 2 April 2018.
  37. ↑ "How people live V: the accumulator – money in bottles". Evening News. 28 January 1904. p. 2.
  38. ↑ "The silence of the bottle-oh". Sydney Morning Herald. 15 December 1951. p. 2.
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