Exchange for Change has announced new fixed prices per material type for supplier contributions that fund the Return and Earn NSW container deposit scheme, effective for 12 months for invoices issued from February 2024 to January 2025.
The NSW scheme operates on a cost-recovery basis and does not make a profit, and instead, beverage suppliers pay a fixed price per material type to fund the scheme.
Supplier contributions are calculated to cover the forecast costs of the scheme during the pricing period, with future pricing adjusted to factor in any surplus or shortfalls.
“Over the last 12 months, we have experienced strong growth in the volume of containers returned with conditions returning to normal following disruptions due to bushfires, floods and the pandemic in recent years,” said Danielle Smalley, CEO of Exchange for Change, scheme coordinator.
“Just last week, Return and Earn celebrated the major milestone of 10 billion containers returned through its 620 return points across NSW, and $1 billion in container refunds back to the community.
“The 12-month pricing is based on the anticipated growth in redemption volumes for the upcoming pricing period and forecast costs. We’ve conducted robust modelling, engaged with beverage suppliers, and reviewed consumer research data to enable us to predict expected redemption volumes and costs for the period ahead.”
Each material type is priced individually based on expected return rates. On average, prices across all material types have increased by approximately four per cent.
After two years of reduced pricing due to lower redemption rates during Covid, the new pricing reflects a return to normal operations for Return and Earn.
“The Australian Beverages Council and its members strongly support the recovery by CDS around the nation, of our containers to be reprocessed into recycled containers for the drinks Australians love," the Council said.
"Our members heavily invest in, and proudly support the circular economy, which enables our containers to be recycled many times over before some are downcycled into other products.
"NSW and other schemes have a chance to set the bar even higher to supercharge container recovery by harmonising schemes, establishing a national portal for all CDS elements, and expanding the scope of containers available for collection through CDS.
The inclusion of wine and spirits is a crucial first step in scheme expansion, before moving to including a wider range of consumer products. The Council looks forward to engaging NSW and schemes nationwide on opportunities for greater circularity.”
Launched in December 2017, Return and Earn has since gone a long way in changing people’s behaviour and turned what was once considered waste into a valued resource.
Recently, the NSW Return and Earn scheme had achieved a major milestone, reaching 10 billion recycled cans and bottles at its return points, with users earning $1 billion in container refunds since the scheme began.
