Environment Protection Amendment
(Beverage Container Deposit and
Recovery Scheme) Bill 2009
Introduction Print
EXPLANATORY MEMORANDUM
General
The Bill amends the Environment Protection Act 1970 to make further
provision for environmentally sustainable uses of resources and best practices
in waste management by establishing a beverage container deposit and
recovery scheme to be administered by the Environment Protection
Authority.
Clause Notes
Clause 1
sets out the main purpose of the Bill, which is to amend the
Environment Protection Act 1970 to establish a beverage
container deposit and recovery scheme to be administered by the
Environment Protection Authority.
Clause 2
states that the Act will come into operation on 1 July 2010.
Clause 3
inserts new definitions of the terms authorised collection depot,
authorised transfer station, beverage, beverage container,
beverage container environmental levy, import, labelled, refund
value and Scheme.
Clause 4
inserts a new Division 6 in Part IX of the Environment
Protection Act 1970 to establish a beverage container deposit
and recovery scheme.
New section 52 sets out the objective of the Division, which is to
promote the principles of environment protection by regulating
the use, sale and recovery of beverage containers.
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BILL LC INTRODUCTION 5/5/2009
New section 52A sets out the purpose of the Division, which is
to give effect to the objective specified in section 52, by
establishing a Beverage Container Deposit and Recovery
Scheme, to be funded by the beverage container environmental
levy.
New section 52B provides that a Beverage Container Deposit and
Recovery Scheme is established.
New section 52C sets out the functions of the Environment
Protection Authority (the Authority) in administering the scheme.
The Authority will manage the operation of the Scheme, collect
the beverage container environmental levy, grant exemptions for
products that will not require the levy, authorise collection depots
and transfer stations to participate in the scheme, enter into
agreements with authorised transfer stations and depots, facilitate
and promote the Scheme and provide information and advice to
the Minister in relation to the operation of the Scheme. It enables
levy funds to be used via grants and other financial incentives to
encourage the use of recyclable and reusable containers and the
increased use of recycled material from beverage containers.
It enables levy funds to be used for supporting kerbside recycling
services, offsetting the collection industry costs for the operation
of the Scheme, product development to improve the recyclability
and reusability of beverage containers and other activities and
programs connected with recycling which facilitate
environmentally sustainable uses of resources and promote best
practices in waste management.
New section 52D provides that an importer or producer of a
beverage container is liable to pay the beverage container
environmental levy, unless they are granted an exemption.
Penalty: 2400 penalty units and in the case of a continuing
offence a daily penalty of 1200 penalty units for each day the
offence continues.
New section 52E sets the amount of the beverage container
environmental levy at 10 cents. It enables a higher amount to be
set by regulation. This section is consistent with the 10 cent levy
in the South Australian container deposit scheme.
New section 52F provides that a producer or importer must pay
the levy within 14 days after the end of the month in which the
beverage container was sold to a wholesaler, retailer or
individual. This section enables the funds to be received by the
Authority's Environment Protection Fund before refunds are
reimbursed to authorised depots and transfer stations.
Penalty: 100 penalty units.
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New section 52G provides that all beverage containers must be
labelled as refundable. The labelling requirements are similar to
those required by the South Australian beverage container
scheme. Penalty: 100 penalty units.
New section 52H prescribes that a person must not sell a
beverage container unless the container is labelled in accordance
with the relevant labelling requirements. Penalty: 100 penalty
units.
New section 52I(1), (2) and (3) provides for the Authority to
approve a premises to be an authorised collection depot.
The Authority may enter into an agreement with the operation
of such depot in respect of the location, operation, and functions
of the authorised collection depot. The agreement may include
provisions relating to delivery of sorted empty beverage
containers to an authorised transfer station, payment by the
Authority of refund value pay by the depot, payment of any
penalty by the operator for failure to comply with the agreement.
New section 52I(4) sets out (but does not limit) the types of
collection depots that can be authorised. Depots may involve
manual or mechanised handling, including reverse vending
machines. Depots may be at council sites, community centres
and community based facilities, shopping centres and centre car
parks, service stations or other retailers, schools, "drive through"
recycling centres and at authorised transfer stations. Depots are
intended to collect used beverage containers directly from the
public, and to issue refunds under the Scheme. Depots are
intended to sort the used containers and deliver to an authorised
transfer station.
New section 52J(1), (2) and (3) provides for the Authority to
approve a premises to be an authorised transfer station.
Authorised transfer stations are intended to receive used
containers from authorised depots and other large collectors.
They will generally not deal directly with the public except via
an authorised collection depot on their premises. The Authority
may enter into an agreement with the operation of such transfer
station in respect of the location, operation, and functions of the
authorised collection depot. The agreement may include
provisions relating to receiving and processing empty beverage
containers, payment by the Authority of refund value paid by the
authorised transfer station, sale of processed materials, payment
of any penalty by the operator of the authorised transfer station
for a failure to comply with the agreement, the submission of a
monthly report to the Authority on the number and types of
empty beverage containers received and processed. The reports
from authorised transfer stations will provide the Authority with
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data for reporting to the Minister under new section 52C(1)(i).
Any fees or agreements between authorised depots and
authorised transfer stations are not part of this legislation.
New section 52J(4) provides for an agreement to be entered into
under subsection (2) provisions relating to accepting and paying a
refund on crushed and broken empty beverage containers using
an estimate of refund value.
New section 52K prohibits the claim of a refund of the levy on
a beverage container which the person knows or has reason to
believe was not purchased in Victoria. Penalty: 240 units.
It enables the operator of a collection depot to request a person
presenting a beverage container for the purpose of claiming a
refund of the levy to complete a declaration stating that the
person has no reason to believe that the beverage container was
not purchased in Victoria. Such declaration is mandatory for any
person presenting 3000 or more beverage containers within a
48 hour period. Penalty: 100 penalty units. Where a person has
not complied with a request for a declaration, the depot may not
refund the levy. Penalty: 100 penalty units. The authorised
depot must keep any declaration for three years and make it
available for inspection. Penalty: 300 penalty units.
These provisions are consistent with the South Australian
container deposit scheme.
New section 52L provides that an authorised collection depot or
authorised transfer station must pay a refund of the levy to a
person returning a used beverage container. Penalty: 35 units.
A depot may refuse to accept the container if the container is in
an unsafe condition, or the operator has reason to believe that the
beverage container was not sold in Victoria, or a request to
complete a declaration under section 52K has not been complied
with. Reverse vending machine depots may reject containers
which are returned in a condition which prevents the machine
from reading the label.
New section 52M provides that the Authority must review
the amount of the refund value at least once every 5 years.
The Authority must have regard to the minimum refund value
necessary to maintain the appropriate level of incentive to reuse
or recycle, ensure high rates of recovery, reduce litter and litterrelated costs, reduce waste, disposal and recycling costs and
conserve resources.
New section 52N enables the Authority to grant exemptions
under new section 52D. This is intended to provide an
exemption for beverages sold in containers that are intended for
re-use or re-filling by the producer or retailer, and for which a
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separate deposit and refund scheme is provided. Such exemption
is consistent with the principle of wastes hierarchy set out in
section 1I of the Act, by providing a financial incentive to re-use
containers.
New section 52O provides that this Division does not extend to
existing beverage containers imported into Victoria or produced
in Victoria before the commencement of the Act.
Clause 5
amends section 70 of the Environment Protection Act 1970 to
enable the Environment Protection Fund to receive beverage
container deposit levy monies and apply those monies for the
purposes of the Scheme.
Clause 6
amends section 71 of the Environment Protection Act 1970 to
enable regulations to be made to prescribe a class of beverage not
to be a beverage for the purpose of the definition of beverage,
prescribe a class of beverage containers not to be a beverage
container for the purposes of the definition of beverage
container, prescribe a higher beverage container environmental
levy amount, prescribe different labelling requirements and
prescribe criteria and considerations for beverages exempted
from the scheme under section 52N.
Clause 7
provides for the repeal of this amending Act on the first
anniversary of the day on which it receives Royal Assent.
The repeal of this Act does not affect the continuing operation
of the amendments made by this Act (see section 15(1) of the
Interpretation of Legislation Act 1984).
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