Retail leaders have warned plans for a deposit return system in Scotland are too far-reaching and will fail if they are launched in isolation from the rest of the UK.
The Scottish government’s consultation on its DRS plans closed today. In response, the Scottish Retail Consortium said having a standalone system in the country would drive up the prices of goods north of the border and lead to labelling chaos for suppliers.
It also urged ministers to narrow the focus of the proposals and allow smaller retailers to opt out. The consortium warned the cost of the required return vending machines alone - with the consultation suggesting 17,000 machines may be needed in Scotland - could be a staggering £280m.
Read more: Scottish government opens DRS consultation
It said a targeted rather than comprehensive approach was essential for the scheme to function efficiently, and not to undermine the existing household recycling system in Scotland.
While ministers in Scotland have not specified exactly what the scope of DRS would be, it is thought Zero Waste Scotland and ministers want a system to encompass all types of containers.
The SRC response said the plans should be limited to plastic bottles and cans (up to a certain size), but that glass and other materials should be excluded.
It warned that the proposed new system risked cannibalising local authority schemes, while at the same time hitting hard-pressed retailers with huge extra costs and consumers with higher prices.
“Ministers should be clear it’s not commercially viable to create a Scottish DRS which is utterly different from the rest of Britain,” said Ewan MacDonald-Russell, SRC head of policy.
Read more: Can Coke’s vision for a viable DRS catch on in the UK?
“The costs involved in taking a different approach to product labelling to prevent fraud alone would be vast, impacting retailers and suppliers and probably leading to more expensive products.
“Return vending machines alone could cost retailers between £80m and £280m,” he added. “A cost which will ultimately have to be recouped from consumers. A less focused approach would be even more costly, without any guarantee it would be more effective at improving recycling rates or reducing litter.
“The SRC believes a properly designed and targeted deposit container return scheme could play a role in improving recycling and reducing litter in Scotland. We hope the Scottish government will constructively engage with our proposals.”
FDF Scotland CEO David Thompson added: “The Scottish Government must view the introduction of DRS as the industry does – not in isolation but as part of a coherent package of environmental policy”.
He said any DRS system should be part of a GB-wide system which would reduce the likelihood of cross-border fraud, increase the capture of material and reduce the administrative burden on producers.
Thompson also warned DRS could make Scotland a “less attractive place to do business”, adding: “A poorly designed DRS system in Scotland is likely to have a negative impact on local authorities as it will remove valuable materials from kerbside collections,”
Defra is due to launch a consultation on plans for a RD system in the UK in the next few weeks, with environment secretary Michael Gove having said a DRS would be in place by 2020.
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