The WA government is implementing the container deposit scheme known as "Containers for Change" in order to:

• reduce beverage container litter;
• encourage recycling and reuse;
• provide for the costs of collecting and recycling beverage container litter to be borne by producers of beverage products (noting that producers will pass the costs on to consumers, and the Economic Regulation Authority has announced it will monitor the effect of the scheme on beverage prices); and
• provide opportunities for employment, benefits for social enterprise and community organisations to participate, while complementing existing waste collection and recycling activities.

Refund points will be established in local government areas. There is the potential for local governments to benefit from the scheme, including by receiving revenue from refunds and handling fees, and to adopt innovative arrangements with the other participants in the scheme (in particular the local government's contractors in relation to recyclable waste), and constituents.

Legislation to implement the container deposit scheme

• The legislation to implement the container deposit scheme (an amendment to the Waste Avoidance and Resource Recovery Act 2007 (WA)) has been passed and commenced.
• Environment Minister Stephen Dawson has announced that the scheme will start on Tuesday, 2 June 2020.
• Regulations have been made to supplement certain details of the legislation (with more to be prepared). Minimum network standards and a model local planning policy regarding development approval of infrastructure for the scheme (eg container collection cages, reverse vending machines and recycling centres) have been released.

Importance to local governments

• Local governments which operate or engage commercial operators for material recovery facilities will be required to enter into a material recovery agreement with the scheme coordinator, in order to receive payments in respect of containers collected from kerbside collection which are eligible for a refund.
• Local governments and material recovery facility operators are likely to need to renegotiate their agreements, given the effect of the scheme on the economics of kerbside recycling. Sharing of refunds will be addressed in such agreements or by regulations.
• Local governments may wish to adopt the model local planning policy with or without modification and may also find ways to facilitate the establishment of refund points for their communities.
• Beverage containers collected or returned under the scheme must be recycled or reused, not disposed of in landfill.
• Local laws will need to be consistent with the legislation.
• Failing to comply with the legislation may result in criminal and civil penalties.

What you need to do to prepare for the container deposit scheme

• Deploy your people to become familiar with the scheme, in particular its interaction with your local laws, material recovery facility agreements and operations, and impact on your community. Keep up with the progress of the scheme implementation, as updates are released regularly.
• Be ready to revise local laws and renegotiate existing agreements or negotiate new agreements (as applicable), and seek legal advice as required.
• Consider whether your local government is willing to adopt the model local planning policy with or without amendments, and more generally, what your role in the scheme will be and what other operational preparations are required.
• Consider registering your interest, and review the other entries, on the online register developed by the Department to connect and create partnerships within the collection network.

Materials including the legislation, Position Statement – Container deposit scheme infrastructure, Minimum network standards: Refund point locations and hours of operation, the online register of interest for scheme participants and the Economic Regulation Authority terms of reference can be accessed online.