National Container Deposit Scheme

To: Chief Executive Officer
Please note that it is my intention to propose the following motion at the Ordinary Meeting of the Council to be held on July 28th 2009
Subject: National Container Deposit Scheme

Motion
That Council supports a National Container Deposit Scheme

That Council write to the Minister for the Environment, Heritage and the Arts and Minister for Climate Change and Water, Peter Garret and the Victorian Minister for the Environment, Gavin Jennings advising them of this.

Background
Australia needs a national container deposit scheme for recycling the 10 billion drinks containers we throw away each year and a 10 cent refundable deposit on bottles, cans and cartons, will help us recycle much of this waste and meet our recycling targets.

A National CDS will create 2,600 new green jobs, while boosting Government funds by up to $90 million through recycling 740,000 tonnes of waste. The recent Environment Protection and Heritage Council report predicts a $75 million benefit to local councils from container deposits nationally.

Some of the key benefits of the scheme include:
- Savings to rate payers of over $59.8 million a year
- Raising up to $90 million in government revenue
- Creating hundreds of green jobs
- Decreasing litter by 12-15%
- Increasing recycling of drink containers from 50% to 80%
- Diverting more than 740,000 tonnes from landfill
- Reducing national greenhouse gas emissions by more than 1.3 million tonnes of CO2 each year
- the equivalent of switching 197,000 homes to renewable energy
- Improving air quality to the equivalent of taking 140,000 cars off the roads

Other countries have shown how effective container deposit schemes can be in creating jobs, reducing litter, saving water and achieving behaviour change. Valuable lessons have also been learned from the South Australian scheme, which has been in operation since 1977 and works in conjunction with kerbside schemes.

South Australia has achieved a recovery rate of over 80% of containers, with 1.5 tonnes per person recycled per year. Some South Australian councils have reported incomes of up to $90,000 per year from the scheme, and community organisations that operate collection depots fund their numerous activities, with the Scouts earning approximately $9 million per year from recycling containers. This year, the South Australian environment minister was able to announce on Clean Up Australia Day an increase of 19 million containers returned in three months, compared to the same three months the previous year.

The Victorian Government’s land fill levy dilemma could be solved by introducing container deposit legislation. The scheme would mean that we would not have to bury hundreds of thousands of tonnes of recyclable material in the ground each year, potentially polluting our waterways, and it will also save ratepayers millions of dollars each year from landfill levies.

Other jurisdictions have also recognised the merit of a container deposit scheme. The labour government in Northern Territory has recently announced it will introduce a scheme, while a private members bill is proceeding in NSW, and almost all the community sector and industry have indicated that a national scheme will provide significant efficiency gains over individual state schemes and provide uniform market conditions across the country.


Speaking notes - addressing the chamber
28 July 2009
Australia needs a national container deposit scheme. We need to support a national container deposit scheme to help us recycle much more of the waste that we are creating.

In April I proposed a motion for council to support a Victorian scheme. I got no support. To date something like 14 councils across Victoria have now shown support for such a scheme and that support is growing. Are we going to be left behind again, waiting for others to show leadership in addressing these issues, while we sit back and wait while the earth is destroyed or can we show some courage and vision and tell the other levels of government that this is something we want …NOW

Australians have consumed over 11 billion containers in the last year - 3.8 billion glass bottles, 69 million steel cans, 3.2 billion aluminium cans, 2.6 billion polyethylene terephylene (PET) bottles, and 1.4 billion high density polyethylene (HDPE) bottles. Currently, 512,000 tonnes of containers winds up in landfill.

Other countries have shown how effective container deposit schemes can be in creating jobs, reducing litter, saving water and achieving behaviour change. Valuable lessons have also been learned from the South Australian scheme, which has been in operation since 1977 and works in conjunction with kerbside schemes.

South Australia has achieved a recovery rate of over 80% of containers, with 1.5 tonnes per person recycled per year. Some South Australian councils have reported incomes of up to $90,000 per year from the scheme, and community organisations that operate collection depots fund their numerous activities, with the Scouts earning approximately $9 million per year from recycling containers. This year, the South Australian environment minister was able to announce on Clean Up Australia Day an increase of 19 million containers returned in three months, compared to the same three months the previous year.

Other jurisdictions have also recognised the merit of a container deposit scheme. The labour government in Northern Territory has recently announced it will introduce a scheme - their Chief Minister said he was sick of waiting for a national scheme. He said "I'm taking the lead and hope that other states will follow". Now there has just been a private members bills in progress in Victoria and now in NSW. Almost all the community sector and industry have indicated that a national scheme will provide significant efficiency gains over individual state schemes and provide uniform market conditions across the country.

With this in mind, I believe that we need national leadership to provide some consistency and direction on waste and recycling. A ten cent deposit means that we attach a value to a drink container, so it isn't rubbish. And if someone does litter a 10 cent container, someone else will pick it up. This represents a radical change from how we view rubbish and recycling. A 10 cent deposit on bottles, cans and cartons turns people who litter into recyclers. It changes how they view the empty bottle in their hand. They are about to throw it out the car window, but they paid 10 cents for it. It is worth something, so it isn't rubbish. You wouldn't toss a silver coin onto the ground.

There are tangible economic, social and environmental benefits of the scheme. It will create a fund that will meet all of the government's costs in the scheme, with money left over to promote recycling. It will create hundreds of new jobs. It will save ratepayers over $44.8 million annually. Every single municipality will benefit financially. Litter in our park, beaches and roadsides will decrease by 12-15%, recycling of drink containers will increase from around 50% to over 80%, and over 512,000 tonnes of reusable materials will be diverted from landfill.

This container deposit scheme will reduce Australia's greenhouse gas emissions, reduce water use and improve air quality. Recycling container deposits will reduce our greenhouse gas emissions by nearly 1 million tonnes of CO2 per year - the equivalent of switching 135,000 homes to 100% renewable energy. The scheme will save enough water to permanently supply over 30,000 Australian homes. It will deliver the air quality improvements equivalent to taking 56,000 cars off the road.These aren't just figures pulled out of the air. They were calculated using government and industry sources.

The greatest boost in recycling from a container deposit system is that it creates away-from-home recycling. About half of our drink containers are used away from home, at cafes and food courts, at restaurants, in our public parks, at sports grounds, at the beach, and in offices. A container deposit system works in well with kerbside recycling. It decreases the volume of drink containers in the bin, but increases the value of those containers. This makes kerbside recycling more profitable.In California, container deposit systems financially underpin kerbside by US $50 million per year. In Canada, kerbside collection and container deposits work side by side.
The public recognise that a container deposit scheme will mean payment of an upfront deposit. A 2004 Newspoll indicated a very high willingness to pay: 96% were prepared to pay 5 cents, 89% were prepared to pay 10 cents, and 75% were prepared to pay 20 cents. According to a 2006 Newspoll, 94% of Victorians want a container deposit system. Even when people don't seek to redeem the deposit - they support it in principle. Most people who have attended community meetings organised by the Greens on container deposits want to donate their refund to charity.
It would appear that several very powerful packaging companies and drink companies do not want a container deposit scheme. While these are very powerful lobbies, who have been so powerful as to delay something sensible like this for a long time, they do not represent over 90% of the population.The packaging industry makes alarmist statements about the price hike on a slab of beer, yet beer drinkers also care about the environment and know they can get the deposit back, or they can donate it to the local footy club. For such a tiny up-front investment, the benefits are profound.

Across the country there is support for the concept of container deposits, and not only from environment groups, but from Probus clubs, the Scouts and many others. Local government also supports the idea of container deposit schemes and across party lines too. Everyone supports it, except packaging companies, and drink companies like Fosters, Schweppes and Coca Cola, and their highly paid lobbyists. Lets see if Brimbank can support it too!