New 10c container deposit scheme will cost consumers 20c+ per drink

Retailers are bracing for a drop in sales and backlash from customers as a 10c deposit on drink containers doubles on top of the price of every drink bottle and can sold from Thursday.

Labor's Luke Edmunds and Marquis Hotel manager Jason Atkins speak to the media on Saturday, April 26, 2025.

Retailers are bracing for a drop in sales and backlash from customers as a 10c deposit on drink containers adds up to 22c to the price of almost every bottle and can of drink sold from Thursday.

The Recycle Rewards is Tasmania’s long-awaited version of container deposit schemes that have been operating interstate for decades.

Labor says it will add around $6.50 to a 30-pack of beer — and punters will get just $3 of that back, if they take their empties to a collection point.

Labor's Luke Edmunds and Maquis Hotel manager Jason Atkins speak to the media on Saturday, April 26, 2025.

Hobart’s Marquis Hotel manager Jason Atkins said he is bracing for a reduction in sales and a negative response from customers.

“I’m all for it,” he said of the recycling scheme, “but not one that costs 22c a container. “There’s no way a small business like ours can actually absorb those costs.

“The consumer doesn’t realise how much it’s going up. Everyone I speak to thinks that a carton is going to go up $2.50 when it’s not.

“At the end of the day, we’re sort of thinking that maybe we’ll look at a 10 to 15 per cent drop in trade on packaged beer. It’s a wait and see.”

Sign warning customers of price rises to come with recycling scheme.

Labor’s Luke Edmunds has repeatedly described the scheme as “a beer tax” — although it also applies to non-alcoholic drinks in aluminium or steel cans, plastic and glass bottles and cartons under one litre.

“To help protect workers, signs are being placed in bottle shops to educate customers as to why they are about to see such a spike to prices,” Mr Edmunds said.

“Labor is not against a container deposit scheme, but we are against having the most expensive scheme in the country.

“Tasmanians have waited seven years for the Liberals to introduce this scheme, and the least they could do is have done it well.”

Sign warning customers of price rises to come with recycling scheme.

Minister for the Environment, Madeleine Ogilvie said Labor had backed the scheme and even called for it to be fast-tracked.

“We are delivering a scheme that all Tasmanians can benefit from, wherever they live, from the Tasman Peninsula to King and Flinders Islands,” she said.

“The scheme is expected to boost recycling by up to 50 per cent and will provide opportunities for charities, community, and sports groups to fundraise and support their operations.

“Tasmania’s unique geography creates unique challenges, including a smaller container volume and population size; the transport of containers across Bass Strait; and our lack of access to the economies of scale enjoyed by mainland states.”