In a boon for bored juveniles on the make for pocket money, the great state of New South Wales will soon join South Australia and the Northern Territory in operating a container deposit scheme, ostensibly in an attempt to reduce litter by 40 per cent by 2020.
The contract to operate the scheme (from December 1) has closed and it's understood NSW Environment Minister Gabrielle Upton received her department's tender recommendation last week. Barring an upset, it seems likely the "Exchange for Change" consortium – made up of beverage giants Coca-Cola Amatil, Asahi, Carlton & United Breweries, Coopers and Lion – will get the nod to process $350 million in annual deposits (that's a fair few stubbies at 10¢ a pop) and trouser $150 million each year in fees.
In particular, Coca-Cola Amatil has held, and continues to hold, multiple positions simultaneously on recycling programs. It jointly operates South Australia's scheme with Coopers, Lion and Asahi subsidiary Schweppes. Allegations of deliberate inefficiency and profiteering were the subject of a 2012 Senate inquiry, which Nick Xenophon told: "If any other state introduces a container deposit scheme, evidence from this inquiry – relating to the existence of inefficiencies and profiteering – suggests that serious consideration should be given to excluding beverage companies from involvement. It is also obvious that beverage companies [involved in the running of container collection and processing] could implement solutions to fix these inefficiencies, but there is no obvious incentive for them to do so." We reminded the good Senator of this statement. His response: "Wise words that I stand by."
Three of four aforementioned drinks giants (CCA, Lion and Asahi) having successfully shut down the scheme through a 2012 Federal Court action, only for the NT government to amend legislation and re-establish it in 2013, and for all four (with others) to run it!
And before forming Exchange for Change to bid for the then-Baird government's CDS, the industry floated an alternative scheme through "Thirst for Good" (their branding expert is neither a doctor nor a dentist), which got about as far as a crushed tinnie of Solo in a headwind.
Bottlers and brewers say the NSW scheme will put an extra 20¢ on the shelf price of drinks under 3 litres. What sceptics can't seem to agree on is whether the big players underbid for the operating contracts so as to control their effectiveness (or otherwise) or whether there's straight commerce in jacking up prices across the board despite only 65 to 70 per cent of the containers returning for the refund. If the latter though, why oppose them in the first place?
Internationally, leaked emails last year out of CCA's sugar daddy (literally, as its controlling shareholder), The Coca-Cola Company of Atlanta, outlined its European division's public policy priorities: to "fight back" against any taxation of sugar, "EU scheme for deposit systems", "increased collection and recycling targets" and further creep in labelling requirements on nutrition.
So, are Upton and Gladys Berejiklian dealing with poachers, gamekeepers or straight out chameleons? Don't ask us – we're as confused as you are.
