In a new development in the ongoing REDcycle saga, the ACCC has given conditional authorisation to Aldi, Coles and Woolworths to engage in a taskforce to explore solutions to addressing the immediate impact of the program’s suspension.
As PKN reported yesterday, the Australian Packaging Covenant Organisation (APCO) has been in talks with ACCC following the suspension of the of REDcycle return-to-store soft plastics recovery program.
APCO and other relevant industry bodies may also provide support to the Soft Plastics Taskforce.
According to the ACCC, Coles, Woolworths and ALDI lodged an urgent application for interim authorisation last week.
“We have moved quickly to approve the interim application as the suspension of the REDcycle program stopped in-store collections of soft plastic, raising community concerns and an urgent need to address the environmental risk of the existing stockpile and future waste,” ACCC deputy chair Mick Keogh said.
Under the ACCC’s conditional interim authorisation, the authorised supermarkets can engage in meetings of the Soft Plastics Taskforce, which will consider, and seek to develop and implement, a short-term solution for the storage, transportation, processing, recycling and/or management of soft plastics.
“The application envisages that a longer-term solution to the issue of recycling soft plastics is needed and that the proposed conduct will not detract from or adversely affect the development of longer-term solutions," Keogh said.
In a statement from ACCC, the Commission made it clear that it may “grant an authorisation for any conduct that could otherwise raise concerns under the competition provisions of the Competition and Consumer Act (CCA) when it is satisfied that the likely public benefit from the conduct outweighs any likely public detriment”.
Keogh said this interim authorisation allows co-operation between the major supermarket retailers for a limited period and for the particular purpose of exploring options for the storage, transport, processing, recycling and management of soft plastics to minimise the volume that may end up in landfill, which is of great benefit to us all.
“The ACCC expects the applicants to resolve this situation urgently and has placed a number of reporting conditions on them to ensure we are informed of their progress. This will aid us in determining our final decision on the application, as well as whether the interim authorisation should be revoked,” he said.
“Separate to the application for authorisation, the ACCC is engaging with various industry stakeholders and representative bodies to ensure clarity and transparency in communications so as to minimise the risk of consumers being misled by representations about the recycling of soft plastics,” Keogh said.
The interim authorisation will continue until it is revoked, the application for authorisation is withdrawn, or the date the ACCC’s final determination comes into effect. A public consultation process will begin shortly.
