NT CDL scheme will cost consumers

Posted by Josette Dunn on 26th November 2010

The Northern Territory Government’s proposed container deposit legislation (CDL) will have a significant cost for consumers, according the Australian Food and Grocery Council (AFGC).

Plastic Bag

AFGC Chief Executive Kate Carnell said the idea that the Territory Government’s proposed CDL legislation – the Environmental Protection (Beverage Containers and Plastic Bags) Bill 2010 – is a “free option” is completely misleading.

“The NT CDL scheme will have enormously high administration costs on top of any deposits, which will ultimately have to be paid for by Territorians,” Ms Carnell said.

A recent report commissioned by Australia’s Environment Ministers – including in the NT Minister – by the BDA Group found a national CDL would cost a massive $680 million a year to run.

In July, Australia’s Environment Ministers commissioned a Regulatory Impact Statement (RIS) into a national CDL as well as a number of other options.

“Obviously, there needs to be a national approach to this issue and to find a solution which is in the best interests of consumers and the environment,” Ms Carnell said.

“The burning question is why has the NT Government decided to jump the gun and go it alone with no cost benefit analysis on CDL – is this just simply about playing politics?”