Victoria’s container deposit scheme (CDS Vic) will start in November, the state government revealed as it released details on the scheme coordinator and network operators.
Victorian environment minister Ingrid Stitt said the scheme would be one of the most accessible in the country with more than 600 refund collection points across the state.
“Victoria’s Container Deposit Scheme will maximise the number of cans, bottles and cartons being recycled into new products, put extra cash in Victorian pockets and will reduce the amount of litter in our environment by half,” Stitt said.
The scheme is part of the government’s $515 million investment to overhaul the state’s waste and recycling sector, including a new standardised four-stream waste and recycling system to help meet a target of diverting 80 per cent of all material from landfill by 2030.
The Australian Beverages Council Limited (ABCL) welcomed the announcement, saying it would deliver “world class” collection and recycling for drinks containers across the state.
CDS Vic will allow the return of used drink cans, bottles, and cartons for a 10-cent refund. The government said it will reduce Victoria’s litter by up to 50 per cent, create new economic opportunities, generate 645 jobs, and turn drink containers into new recycled products.
It will also have the capacity for consumers to contribute their refund to charities and community organisations.
ABCL CEO Geoff Parker says, “We know through our engagement with consumers including via our DrinkFacts initiative, that Victorians look forward to being able to get ten cents back for their drinks containers while doing the right thing for the environment.”
A not-for-profit entity formed by Lion, Coco-Cola Europacific Partners (CCEP), and Asahi Beverages – VicReturn – will be the scheme operator. The companies have been involved in managing schemes across Australia.
CCEP VP and GM - Australia, Pacific & Indonesia, Peter West, said the company is set on being a catalyst in Australia’s circular economy.
“The launch of CDS Vic represents a step-change for Victoria’s circular economy. Through our involvement in VicReturn, coupled with our investment in Circular Plastics Australia’s PET recycling plant in Altona with Pact Group, Cleanaway, and Asahi Beverages, we are proud to help create a closed loop in Victoria where bottles and cans can be used, collected, recycled and reborn,” West said.
As CCEP’s partner in Circular Plastics Australia, Asahi Beverages Group CEO Robert Iervasi echoed West’s comments.
“As the maker of some of Victoria’s most beloved beverages such as Victoria Bitter, Schweppes, Pepsi Max, Solo and Cool Ridge water, we’re pleased that more of our beverage containers will now be recycled and play a part in the circular economy,” Iervasi said.
Parker said, “We welcome CDS Vic and VicReturn as the next drivers of circularity in Australia and the ABCL looks forward to supporting them as our members transition into the scheme over the coming months.
“We are now only one state away from having an entire continent covered by CDS, which is a particular point of pride for our industry. The ABCL supports nation-leading initiatives that create clean, source-separated materials for reintegration into food-grade beverage packaging.
“Our members are proud to package their drinks in recyclable materials which can be used again and again in a circular economy system collected and recycled through schemes like CDS Vic.”
VicReturn has board representatives from the three companies, with an independent chair - Paul Klymenko - and directors, which will be appointed from the waste and recycling industry and from small and medium-size beverage manufacturers.
As scheme coordinator, VicReturn will manage the marketing of CDS Vic, run its financial operations, and ensure the scheme runs smoothly.
VicReturn chair Paul Klymenko said the CDS would have social and environmental benefits.
“As the co-founder and chief sustainability advisor of Planet Ark, I couldn’t be more pleased to be associated with this great Victorian scheme,” Klymenko said.
Lion Group CEO Sam Fisher said, “We have ambitious packaging and circular economy targets and look forward to the volume of our beverage containers returned and recycled increasing significantly as the Victorian scheme comes online.
“Lion is proud of its longstanding involvement in Australian container deposit schemes, which stretches back more than 40 years.”
Visy, TOMRA Cleanaway, and Return-It will be network operators.
Within 12 months of the scheme starting, the network operators will be required to have a minimum of one collection point per 14,500 people in metropolitan areas, at least one per town of 750 people in regional areas, and at least one per town of 350 people in remote areas.
“We are also encouraged by Victoria’s adoption of ‘caps on’ bottle return policy and a comprehensive network of collection points, which will drive participation in the scheme by Victorians.
“We encourage the government to look to harmonise with other states’ registration pricing and definitions when completing their regulations in areas including first supplier, contract bottler designation and export protocols,” Parker said.
