Exchange for Change (EfC) will freeze supplier contributions for six-month to fund the Return and Earn NSW Container Deposit Scheme.
The NSW scheme transitioned to a fixed price by material type in February this year and the price freeze will become effective from February to July 2021 inclusive.
Exchange for Change,CEO Danielle Smalley, said the decision to maintain the current fixed price by material type for another six months was made in recognition of the difficult and uncertain economic environment.
“We know this year has been particularly challenging for the beverage industry. Maintaining pricing per material type will help industry to maintain their own pricing stability and also provide certainty of scheme pricing until at least July 2021.” She also noted the price freeze does not impact the 10c refund consumers receive for each eligible container returned.
Under the NSW scheme, beverage suppliers paid a weighted average price of 12.68c (excluding GST) per eligible drink container they supply into NSW during FY2019-20. The supplier contributions fund the scheme, including the container refunds paid to the public and the scheme’s operating costs, in a closed financial loop.
The six-month price freeze is the latest measure implemented to support suppliers impacted by COVID-19.
Other measures include the introduction of the new Small Supplier Program enabling small suppliers to apply to move to quarterly invoicing instead of monthly; and NSW EPA’s temporary removal of the $13.70 container approval application fee for small suppliers registering new containers, recently extended to 25 March 2021.
“At EfC, we’re committed to working closely with beverage suppliers impacted by COVID. If you are experiencing financial hardship, please contact us to discuss what options might be available,” Smalley added.
Return and Earn continues to deliver strong environmental, community and economic benefits to the NSW community with over 4.2 billion containers returned for recycling through its 600-strong return point network across the state to-date.
NSW residents have also embraced the scheme, with 3 out of 4 having participated while more than $13.2 million has been returned through the scheme for charities and not-for-profits via fees and donations.