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The troubled NSW Container Deposit Scheme could end up costing Tweed council big bucks

THE NSW government’s controversial container deposit scheme is good news for the environment but could prove a huge financial setback for the Tweed Shire Council.

The NSW Government’s Container Deposit Scheme could have a heavy financial impact on the Tweed Shire Council.
The NSW Government’s Container Deposit Scheme could have a heavy financial impact on the Tweed Shire Council.

THE NSW Container Deposit Scheme may be a winner for the environment but it could be costly for the Tweed Shire Council and its own recycling program.

An open tender was sought by the NSW Government and the Environment Protection Authority to establish and operate collection points and infrastructure across NSW and that was awarded to TOMRA-Cleanaway.

However there are no collection points established on the Tweed as yet though several sites have been mooted.

It’s bad news for the Tweed Shire Council’s finances.
It’s bad news for the Tweed Shire Council’s finances.

Tweed Shire Council Unit Co-ordinator of Waster Management, Rod Dawson said that council had been approached by TOMRA-Cleanway regarding the establishment of a collection site which require an area large equivalent to two 12m shipping containers and also have power and water made available to the site.

“In our view, this is a commercial operation and we would be viewing it as such,” Mr Dawson said.

“Council already runs a successful recycling program with roughly 90 per cent of items which go into our yellow lid bins suitable for recycling.

“This new scheme could mean that people theoretically could take out containers which they could get a deposit back on and that may reduce the amount council is receiving through our program.

“The money we make through our recycling program goes back towards providing the collection services and to have TOMRA-Cleanway wanting us to push their scheme would impact on what we do.
“It’s a case of the more we help them, the more we hurt ourselves.”

The scheme has proved highly controversial
The scheme has proved highly controversial

Mr Dawson said one of the major issues for the Tweed was the seven month delay until Queensland followed suit.

“It will affect businesses on the border, especially with prices being cheaper in Queensland for items like beer and soft drinks,” he said.

“Even when the collection points are established, it will be interesting to see just what sort of volumes of containers they will receive.

“People will have to store their empties, make sure cans are crushed so they can be scanned in at the reverse vending machines, and be prepared to spend time scanning the containers through.”

The Australasian Association of Convenience Stores (AACS) has lent its voice to calls to delay the introduction of the Container Deposit Scheme (CDS) in NSW on the basis that the infrastructure is not in place to deliver the scheme and the public education program has been effectively non-existent.

Few are happy with the idea.
Few are happy with the idea.

AACS CEO Jeff Rogut said concerns raised by the convenience industry — a sector set to bear the bulk of negative consequences from the CDS — remain unaddressed, making a delay necessary.

“There are reports that some regional areas have no collection points accessible to members of the public, and most people don’t know the scheme is imminent, nor how to participate in it,” Mr Rogut said.

“What people will understand however is that prices will jump to cover beverage manufacturers’ increased costs to comply with the CDS, and in the absence of a proper education program, their frustration will be unfairly directed at retailers.

“Concerns around the transition time frame for new label requirements, and the need to allow retailers time to sell through old stock, remain unaddressed.

“It is critical for consumers to understand how the scheme works and, importantly, that retailers are not collection points for refunds, before it goes live. This means education and this has yet to occur to a satisfactory degree.”

Originally published as The troubled NSW Container Deposit Scheme could end up costing Tweed council big bucks

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Original URL: https://www.dailytelegraph.com.au/news/national/the-troubled-nsw-container-deposit-scheme-could-end-up-costing-tweed-council-big-bucks/news-story/25952c61e371d19e5fceb377e5b058dd