Deposit Return Scheme

SUSTAINABILITY: ACS

DRS 'must be cost neutral' for local shops

THE ASSOCIATION OF CONVENIENCE STORES HAS SET OUT THE DETAILS OF HOW A DEPOSIT SCHEME SHOULD BE INTRODUCED IN ENGLAND, WALES AND NORTHERN IRELAND TO ENSURE IT IS WORKABLE FOR LOCAL SHOPS AND DOES NOT LEAVE THEM OUT OF POCKET

ACS (the Association of Convenience Stores) has outlined its vision for how the forthcoming deposit return scheme (DRS) should be introduced in England, Wales and Northern Ireland to ensure that it is both workable and cost-neutral for local shops.

A deposit return scheme is currently scheduled to be introduced in England, Wales and Northern Ireland by late 2024, following the introduction of a scheme in Scotland in 2022. DEFRA is currently consulting on the details of the scheme, including which containers are included in the scheme, which businesses should be required to take back containers, and whether different nations should have separate schemes.

In its submission to DEFRA’s latest consultation on the implementation of DRS, the ACS has called for the introduction of the following measures as part of the design of the scheme:

Schemes across the UK should align as closely as possible to avoid the possibility of fraud and confusion from customers

A strategically mapped set of return points, as opposed to forcing every location that sells drinks to also take back containers

Where small stores have limited sales and storage space, they should be able to apply for an exemption from DRS

For hygiene and safety reasons, no retailer should be forced to take back containers manually

The scheme should be cost neutral for retailers through fair setting of the handling fee Glass should not be included within the scheme.

ACS Chief Executive James Lowman said: “Local shops have an important role to play in the introduction of a deposit return scheme, which can be successful in driving recycling rates if it is introduced without adversely impacting retailers. For a scheme to be sustainable and supported by retailers, the handling fee must be fair and tailored to the size and operational requirements of the store, resulting in the scheme being cost neutral for retailers that take part.”

ACS has raised a number of concerns about the inclusion of glass, as it requires bigger and more expensive reverse vending machines (RVMs) and presents additional health and safety problems for retailers that are taking back containers manually. ACS said the risk of crushed or broken glass being in close proximity of staff working around food-to-go concessions and hot food counters must be addressed. Glass bottles will be collected under Scotland’s DRS. Lowman continued: “We support the introduction of DRS in 2024, with as much alignment between the nations of the UK as possible, but the inclusion of glass remains especially problematic. A well-designed scheme would not include glass, and would be built on the foundation of a network of reverse vending machines that minimise the impact on local shops.” ACS is part of DEFRA’s working group on deposit return schemes, as well as working with the Scottish Government, Circularity Scotland and Zero Waste Scotland on the Scottish scheme. The full submission is available here.

CLARITY REQUIRED ON DISPOSABLE CUP TAKE-BACK

ACS has also responded to the Government’s proposals on reform of the Extended Producer Responsibility scheme, calling for clarity on the impact on small stores of a take-back scheme for disposable cups.

In its submission to the consultation, ACS raised concerns over the time, space and resource pressures on retailers (especially those running the smallest stores) that are already going to be in place with the introduction of a DRS for other containers. ACS has urged the Government to provide additional clarity on how such a take-back scheme would work in practice, including detail on which stores would be included in the scheme.

As part of proposals for reform, packaging producers will be made responsible for the full cost of managing the packaging that they place on the market – this is expected to be around £2.7bn in the first year. The cost of managing packaging waste includes:

The collecting, sorting and recycling of packaging waste from households and businesses

The collecting and disposing of packaging in the residual waste stream from households only

Litter and refuse management costs, including bin and ground litter

ACS supports the proposal, set out in the consultation, for brand owners (packaging producers) to be the single point at which the costs of the scheme are applied, as they have the most influence on the design and recyclability of packaging and are best placed to respond to incentives through modulated fees (producers who have a higher proportion of recyclable packaging pay less into the scheme).

ACS has raised a number of concerns about the inclusion of glass, as it requires bigger and more expensive reverse vending machines (RVMs) and presents additional health and safety problems for retailers that are taking back containers manually. ACS said the risk of crushed or broken glass being in close proximity of staff working around food-to-go concessions and hot food counters must be addressed.