As efforts to find solutions for collecting and recycling soft plastics continue, with progress on several fronts, the ACCC has extended authorisation for the Soft Plastic Taskforce comprising supermarkets ALDI, Coles and Woolworths, to continue collaboration.
The Taskforce was established following the suspension in November 2022 of the collection program run by REDcycle in partnership with the supermarkets, which provided in-store drop-off points for soft plastics. After REDcycle stopped operating, the supermarkets jointly took over responsibility for 11 tonnes of collected material stored at 44 warehouses around the country.
In June 2023, the ACCC granted authorisation that allowed the supermarkets to collaborate through the Soft Plastics Taskforce in processing the soft plastics stockpiles following the suspension of REDcycle’s collection program. That authorisation is due to expire on 22 July 2024.
While there has been limited progress to date on processing the 11-tonne stockpile of soft plastics, the ACCC has conceded that action has been hindered by inadequate recycling capacity.
Hence, ACCC has granted interim authorisation with conditions to the major supermarkets Coles Group, Woolworths Group and ALDI Stores, to continue their collaboration to recycle stockpiled soft plastics and continue with the pilot in-store collection program.
“While it is disappointing that the majority of the soft plastic stockpiles remain in storage, we appreciate that recycling processors came online in 2024 and only now is there capacity to process the stockpiles,” ACCC deputy chair Mick Keogh said.
“It is important to keep the stockpiles out of landfills and this interim authorisation will enable the supermarkets to process the stockpiles with the requisite sense of urgency, without any disruption,” Keogh said.
Interim authorisation will also allow the soft plastics instore collection pilot program operating in 12 Melbourne stores (5 Coles, 5 Woolworths, 2 Aldi) to continue.
“Many consumers want to see a return to instore soft plastics collection and recycling on a wider scale so we are keen to see that this pilot program continues with some urgency and enables future expansion of instore collections,” Keogh said.
This interim authorisation is largely subject to the same reporting conditions as the previous authorisation, requiring the major supermarkets to provide the ACCC with quarterly progress reports and minutes of each meeting of the Soft Plastics Taskforce. It is also a condition that all arrangements must immediately terminate upon the expiry or revocation of the interim authorisation.
“Given the level of consumer concerns it is important that there is continued transparency about what progress of the supermarkets are making in their processing of the soft plastic stockpiles,” Keogh said.
The ACCC’s clear expectation is that the major supermarkets will not prevent or restrict recycling processors from dealing with other parties in any longer-term collection program. The ACCC understands that any long-term solution, whether in the form of an industry-led stewardship scheme or otherwise, is likely to be the subject of a separate, future application for authorisation.
A public consultation process has commenced on the substantive application, with submissions due by 6 August 2024.
More information about the application and how to make a submission is available here on the ACCC’s website.
