Deposit Return Scheme Ireland
DRS Point SuperValu Tower Blarney County Cork Ireland

Deposit Return Scheme Ireland

Ireland will introduce a Deposit Return Scheme (DRS) on 1st February 2024 and DRS set to land in the UK in 2025. When you buy a drink in a plastic bottle, aluminium or steel can that features the Re-turn logo, you pay a small deposit in addition to the price of the drink. When you return your empty, undamaged container to any participating retail outlet, you get your deposit back in full for cash or you can redeem it against your shopping bill.

Reverse Vending Machines (RVM) in-store will be the typical way for customers to return their plastic bottle, aluminium or steel can. Retailers have a choice and some stores will opt to manually accept returns over the counter or due to a store size exemption some stores will not participate in the scheme. The RVM will issue the customer with paper vouchers with the deposit value that can be presented at the store the customer returned their plastic bottle, aluminium or steel can to. It's important to note that the voucher issued must be redeemed at the same retail outlet.

Why DRS?

The Irish National Litter Pollution Monitoring System 2022 survey indicates Packaging Litter (18.9%) is the second largest component of national litter pollution recorded. Bottle caps (2.4%), bottles (1.9%), drink cups (1.6%), bags and wrappers (1.6%), beverage cans (non-alcoholic) (1.5%), drink lids (1.4%) are the main litter items in this category.

Re-turn.ie indicate that to date, over 60% of plastic bottles and cans are being collected for recycling through green bins, which means that over 30% are not collected. The EPA indicates that two thirds of plastic waste is placed in the general waste bin rather than segregated into the recycling waste bin.

Plastic pollution in our water is a significant problem, anyone who follows The Ocean Cleanup will see how big a problem it is.

Digital DRS

I've seen two uses of digital related to DRS mentioned:

The first one is allowing customers to scan bottles with unique barcodes directly into their home recycling bins for which the customer gets a credit on their account. Polytag and the Bower app in conjunction with Ocado enabled a recent trial in the UK.

The second a trial in Scotland integrating digital wallets and micropayments with returns where the customer gets a deposit loaded on to a digital wallet when they recycle.

Digital DRS (DDRS) and Loyalty

With my Digital Product Management hat on I wonder is there an opportunity to digitise the paper vouchers printed from the DRS RVM, engage customers and add even more value to the recycling journey?

Being able to store up the deposit values in a Digital Wallet on a retailers Loyalty App and spend it at Christmas or donate it to a charity of their choice? Is this something that customers would find valuable?

Would customers like to see how much recycling they have done throughout the year a bit like the Spotify Year in Review.


Main benefits for the customer?

  • I can save up my vouchers and use or donate them when I want
  • I won't run the risk of losing my paper vouchers
  • I can see my recycling history

What's in it for retailers?

  • Customers are more engaged with the retailers loyalty scheme and digital app
  • It promotes sustainability by eliminating paper vouchers
  • Storage and Handling of paper vouchers at the till are reduced

And some of the risks?

  • The need to redeem vouchers in the issuing store may restrict use cases
  • Breakage/lost vouchers will be reduced and may impact the economics of the DRS scheme
  • Complicating what is a simple journey by introducing a point of friction like an app

I'd like to hear your thoughts on the above, please use the comments below to let me know what you think...


The Grocer

https://www.thegrocer.co.uk/deposit-return-systems/2120.subject

https://scottishgrocer.co.uk/2022/02/10/a-drs-first-digital-trial-goes-live/

EPA

https://www.epa.ie/our-services/monitoring--assessment/waste/national-waste-statistics/household/

National Litter Pollution Monitoring System

https://www.litter.ie/system_survey_results/index.shtml

Science Direct

Cost-benefit analysis of two possible deposit-refund systems for reuse and recycling of plastic packaging in Sweden

https://www.sciencedirect.com/science/article/pii/S2772912522000483

Research Gate

Intended and unintended effects of statutory depositreturn schemes for single-use plastic bottlesLessons learned from the German experience

https://www.researchgate.net/publication/357176043_Intended_and_unintended_effects_of_statutory_deposit_return_schemes_for_single-use_plastic_bottles_Lessons_learned_from_the_German_experience

Scottish DRS :-(

https://stirlingretail.com/2023/07/12/the-scottish-deposit-return-scheme-drs-debacle/

Re-turn

https://re-turn.ie/

Some further reading/research

Polytag

https://polytag.io/

https://blog.polytag.io/wp-content/uploads/Polytag-report-Ocado_for-Bower_web.pdf

Bower

https://getbower.com/en/bower-for-business


Mark Perryman

International Marketing and Business Development Leader

9 个月

I agree with your ideas around digitising the pay-out transaction. Consumers prefer money to coupons, and it makes no sense to reduce pollution through recycling, only to cut down trees to make paper coupons. Would be very happy to discuss further.

回复
Stephen Bailey

Waste Management & Circular Economy Specialist

10 个月

Excellent article Damian. Since I began working in the DRS field in 2021 it was always my hope and expectation that digitisation would evolve in the Irish DRS once established - especially in relation to ease and convenience of charity donations by those wishing to donate their deposit values to worthy causes.

Conor Dawson

Head of Ireland Region & Senior Consultant at S A Partners, an Improvement Practitioner, helping teams unlock their potential

10 个月

Some useful provocations there Damian. Good read??

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