Small and independent shops who are participating in the Deposit Return Scheme should be incentivised to do so by Government, local Minister of State, Deputy Peter Burke, has said.
“The Deposit Return Scheme will impact on litter, as well as combating single use plastics, but I feel strongly that all retailers should be encouraged to be a participating outlet where customers can bring back their empty bottles and cans.
“I know that many small shops are anxious to get involved and play their part to deliver on recycling targets but they need support and I have raised this in the Dáil. Essentially there is support from consumers for the scheme with 84% of those polled being positive, but for this scheme to be successful, we need a critical mass of retailers to participate and sign up.
“As it stands, retailers receive a handling fee for each container they take back. Handling fees are intended to offset the cost of collection infrastructure, retail floor space, staff costs and security.
“While this undoubtedly assists retailers, it does not go far enough for the smaller retailers. The cost of the reverse vending machines is significant and may prove a prohibitive step for some shops who would like to offer this service to customers but cannot afford to.
“I would like to see the cost of supply and installation of the machines covered definitively for businesses, for example under the Accelerated Capital Allowance Scheme. I have met with Darren Brennan, Centra Athlone and I know he has installed the machine at great cost to the business.
“My colleague Minister Neale Richmond is continuing to advocate for retailers to be supported with these costs, both for their own sake but also for their customers who want to take part in this Scheme.
“Businesses will soon be availing of the €257m Increased Cost of Business (ICOB ) grant, which was provided for by Government in the 2024 Budget. With payments due in the first quarter of 2024, businesses who pay up to €30,000 in commercial rates will receive a cash injection of up to €5,000.
“While this is very welcome, further supports are needed to help retailers with the costs associated with the Deposit Return Scheme. A mobile App system could also streamline the process for retailers.
“A guaranteed financial pathway to incentivise smaller retailers to participate in the Deposit Return Scheme must be provided for if we are to get to our target of a 90% rate of recycling our bottles. We recycle just 23% of our plastic bottles now, so every measure must be put in place to allow shops and consumers to maximise their combined efforts,” Minister Burke commented.