Councils in NSW could save up to $62 million a year on recycling and rubbish collection costs if a ”cash for cans” scheme was introduced, and nationally the savings would be up to $183 million, according to a report produced for the Local Government Association.
If people received a return for dropping off used bottles, cans and containers, it would cut roadside garbage collection by 17 per cent, the study said, based on rates under the established cashback scheme in South Australia.
The study is the latest salvo in a war of words that has led to councils and green groups pitting against the food and beverage industry over the introduction of national container deposit legislation, or CDS. Most food and beverage organisations argue that a ”cash for cans” scheme would be ineffective and would add to the cost of products.
“The study shows that in addition to financial benefits, there are also clear environmental and social benefits to the introduction of CDS, largely resulting from the high return rates and opportunities for community groups to become involved in the recycling of containers,” said the association’s president, Keith Rhoades.
The report, produced by the consultants Mike Ritchie & Associates, measured recycling costs, based on council financial statements, and found they would be reduced by between 19 per cent and 47 per cent with national container deposit rules.
“For many years, it has been asserted by a variety of other stakeholders that CDS would jeopardise the viability of kerbside recycling,” said the president of the Shires Association, Ray Donald. ”This study objectively and rigorously tested these unsubstantiated claims, and puts the matter to rest - once and for all.”
The Australian Food and Grocery Council, an industry body, said the current system of kerbside collection for all rubbish was better for people, and said the local government report was an attempt to justify introducing container deposit legislation.
”This is essentially a cost shifting exercise from councils to NSW families, who will see their grocery bills rise to the tune of $300 or more per year,” said a spokeswoman, Jenny Pickles.
The National Packaging Covenant Industry Association, another industry body representing companies that sell large amounts of containers, said the council’s study did not take into account the costs of setting up extra recycling facilities and drop-off points.
The Local Government Association is supported by Clean Up Australia, the Total Environment Centre, and other recycling groups.
