Government told to reject "expensive" container deposit levies or risk increasing consumer costs
November 5, 2009
Environment ministers should reject “expensive” container deposit levies (CDL) or risk increasing consumer costs by millions of dollard, the Australian Food and Grocery Council (AFGC) says.
AFGC Chief Executive Kate Carnell says it will be more viable for government to form a partnership with the packaging industry and consumers to find a community based option.
“To improve recycling facilities, the Government should instead be looking at the best value for money system when spending tax-payers money,” Carnell says.
“Clearly the alternate approach, which is a partnership between government industry and the community, is much more cost effective.”
The AFGC says industry research has found CDL would affect beverage prices by 10 cents per container which would be passed on to consumers.
Carnell says industry is committed to responding to community calls for more recycling options in places like sporting venues, airports and food courts, but it needed the support of government to commit to the existing partnership approach.
“Under the current partnership, called the National Packaging Covenant – which has been operating for the past 10 years – Australia’s packaging recycling rates have risen from below 40 per cent to almost 60 per cent over the past five years,” she says.
“Environment Minsters must once and for all reject the expensive CDL which their own data has shown will cost Australians millions of dollars a year compared to the current affordable and effective model.”