Long-term fixed pricing announced
for ACT Container Deposit Scheme
Exchange for Change (EfC) today announced the introduction of long-term fixed pricing per material type for supplier contributions that fund the ACT Container Deposit Scheme, effective for six months from February 2022.
Danielle Smalley, CEO of Exchange for Change, today said the shift to long-term fixed pricing seeks to help beverage suppliers, and in particular small business, by providing price stability and reducing complexity, and is the final stage in the transition to a simplified supplier contribution approach for the ACT scheme.
“The introduction of the new approach and long-term fixed pricing is part of our commitment to making it easier for suppliers to participate in the ACT scheme. We know from consultation with the beverage industry and individual suppliers that month-to-month pricing and the fluctuations experienced in the ACT can be challenging.
“This final step will provide greater stability in pricing and enable suppliers to better predict their monthly contributions which will be based on a fixed price and their actual supply volumes,” she said.
Under the ACT scheme, beverage suppliers will pay a fixed price per material type. The new weighted average price will be 12.23c (excluding GST) from February to July 2022.
“We understand pricing certainty and stability is important to suppliers and we aim to introduce a 12-month fixed price by material type once conditions become more predictable post COVID,” Ms Smalley said.
The change will also see the ACT scheme align with other container deposit schemes around Australia.
“Many beverage suppliers are contributing to multiple schemes across the country and we are constantly looking for opportunities to make it easier for suppliers by creating greater alignment between schemes,” Ms Smalley said.
The ACT Container Deposit Scheme operates on a cost-recovery basis with supplier contributions designed to cover the expected operating costs of the scheme during the pricing period. Any surplus funds or shortfalls during the period will be factored into future pricing.
“We’ve already seen an incredible 255.7 million containers returned through the ACT scheme since it launched more than three years ago up until the end of June 2021, resulting in less containers ending up as litter and landfill and more than $5.5 million in refunds back in the hands of the community. This result has been made possible because of the contribution and support of the beverage industry,” Ms Smalley added.
