The Battery Stewardship Council (BSC) has been granted a five-year exemption by the ACCC, allowing it to continue operating its B-cycle Battery Stewardship Scheme. The decision means BSC members and industry participants can carry on participating in the Scheme without breaching competition laws.
The Scheme aims to increase the responsible disposal and recycling of end-of-life batteries across Australia.
“We consider the Scheme is likely to deliver environmental benefits by diverting batteries from landfill and reducing fire risks during the collection, transport, sorting and processing of end-of-life batteries,” said ACCC Deputy Chair Mick Keogh.
“It should also support further research, development and innovation in the disposal and reuse of end-of-life batteries in Australia.”
The ACCC’s role is to assess each application and determine whether the proposed conduct is likely to result in an overall public benefit, which it found to be the case in this instance.
The ACCC acknowledged that, in part due to the voluntary nature of the Scheme, participation and the number of batteries collected and recycled have so far been relatively low.
Stakeholders have raised wider policy issues about battery stewardship, including calls for participation to be made mandatory and for the Scheme’s scope and operation to be expanded.
“The ACCC recognises that higher participation in battery stewardship would substantially increase the public benefits from greater battery collection and recycling. However, it is not our role to develop such a scheme,” Keogh said. “It is also not the ACCC’s role to determine public policy outcomes or broader regulatory reform to make battery stewardship mandatory. That is a matter for governments.”
Keogh added that minimising safety risks associated with button batteries must remain a priority.
“As a condition of our authorisation, the BSC must continue its Button Battery Safety Strategy, which aims to educate consumers and reduce the risks posed by button batteries, such as the serious injuries they can cause if ingested by children,” he said.
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The ACCC noted that the BSC had consulted with industry stakeholders on the Scheme’s design and protocols. To ensure this continues, the ACCC has imposed a condition requiring the BSC to develop, publish and implement a consultation protocol setting out how Scheme participants will be engaged if changes are proposed during the authorisation period.
To maintain transparency and accountability, the BSC must also publish an annual report on key B-cycle Scheme outcomes and targets. An independent review of the Scheme’s performance, governance and financial position will be required in three years’ time.
The ACCC believes this timeframe provides sufficient opportunity for the BSC to implement improvements and demonstrate measurable results.
While some stakeholders proposed a shorter authorisation period of two to three years, citing uncertainty over possible mandatory product stewardship legislation, the ACCC concluded that its decision does not replace or reduce the government’s capacity to act on product stewardship matters, as both processes are largely independent.