Container scheme will cost consumers, AFGC claims

Australian Food & Grocery Council
Friday, 09 August, 2013

Northern Territorians will bear the cost of the “flawed” Cash for Containers Scheme, the Australian Food and Grocery Council (AFGC) claims. The NT Government announced yesterday that it will reinstate the scheme.

“Ultimately, all consumers and taxpayers will foot the bill for the NT Government’s failed scheme, at a time when they are faced with ever-increasing cost-of-living pressures,” said AFGC CEO Gary Dawson.

“The reinstatement of the Cash for Containers Scheme is effectively a tax on glass and plastic drink containers, which will push up an average family’s grocery bills by around $300 a year.

“The NT Government’s decision to continue this bad policy will not correct the numerous flaws in the legislation, which have resulted in ongoing commercial disputes, proven shaky legal underpinnings and only increased costs for consumers with questionable environmental benefits.”

The NT Government found the projected $1 million per month cost of maintaining the scheme excessive, Dawson said, and so is effectively shifting this cost onto consumers.

“Industry wants more recycling and less litter and we have a plan to deliver it at no cost to consumers,” Dawson said. “That’s the plan that Australia needs and wants, not an inconvenient and costly drink container tax.

“Consumers and business will now have to live with a costly and inefficient scheme, instead of an efficient, convenient and modern alternative that would deliver better environmental outcomes at no cost to Territorians.”

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