Taxpayers will pay for Container Deposit Scheme, AFGC claims

The cost of a $1.4 billion national Container Deposit Scheme will be shouldered by taxpayers, the Australian Food and Grocery Council (AFGC) has warned.

The Victorian Government has indicated it wants to implement a national CDS. AFGC CEO Gary Dawson says this is disappointing, given the “failure” of the NT’s scheme, which has been rejected by the Queensland government on the grounds that it is an unnecessary financial burden on consumers.

“It is hard to believe that the heads of government are even considering a green tax that could put Australians out of jobs and cost the average family in excess of $300 a year,” said Dawson.

“A national CDS will add complexity on business and consumers with questionable environmental benefits.”

An alternative solution is a $180 million solution funded entirely by industry that would overhaul Australia’s recycling network, Dawson said. The National Recycling Action Plan would make it easier for Australians to recycle at work, at home and in public places.

“Importantly, the National Recycling Action Plan would not cost the taxpayer a cent,” Dawson said.

The plan involves the expansion of Australia’s existing yellow-top bin network from homes into major public spaces. Dawson says this will drive up the country’s overall recycling rates.

“The beverage, food and retail industries will spend $25 million over the next 10 years to install and roll out up to 166,000 recycling bins in shopping centres, parks, airports and beaches - where they are most needed - instead of expensive reverse vending machine solutions that would cost the taxpayer,” Dawson said.

“Australians already have some of the highest recycling rates at home. We can achieve the same recycling rates in public places with this cost-effective solution.

“However, none of this can occur if an unnecessary, and duplicate, recycling system is put in place by the Victorian Government - and funded by the taxpayer.

“We call on all Premiers to be true to their commitments not to burden families with further cost-of-living pressures.

“Other states should follow the lead set by Queensland and instead embrace the far more efficient industry alternative that will not cost families a cent.

“We are encouraged that many Ministers are on the record as saying they would not adopt any scheme that was not cost effective nor increased the cost of living to the community. On any objective analysis - including COAG’s own calculations - container deposit schemes fail these criteria.”