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Act 2011 Annual Report 2018-19 Environment Protection (Beverage Containers and Plastic Bags) Act 2011 Annual Report 2018-19 October 2019 NORTHERN TERRITORY ENVIRONMENT PROTECTION AUTHORITY 1 Environment Protection (Beverage Containers and Plastic Bags) Act 2011 Annual Report 2018-19 Northern Territory Environment Protection Authority GPO Box 3675 Darwin Northern Territory 0801 © Northern Territory Environment Protection Authority 2019 Important Disclaimer This document has been prepared with all due diligence and care, based on the best available information at the time of publication. Any decisions made by other parties based on this document are solely the responsibility of those parties. The Northern Territory Environment Protection Authority and Northern Territory of Australia do not warrant that this publication, or any part of it, is correct or complete. To the extent permitted by law, the Northern Territory Environment Protection Authority and Northern Territory of Australia (including their employees and agents) exclude all liability to any person for any consequences, including but not limited to all losses, damages, costs, expenses and other compensation, arising directly or indirectly from using, in part or in whole, any information or material contained in this publication. NORTHERN TERRITORY ENVIRONMENT PROTECTION AUTHORITY ii Table of Contents 1 Executive summary ........................................................................................... 1 2 Legislation .......................................................................................................... 2 2.1 Mutual Recognition Act 1992 (Cth) ................................................................. 2 2.2 Regulations .................................................................................................... 2 2.3 South Australia / Northern Territory Intergovernmental Agreement ................ 2 3 Container deposit scheme ................................................................................ 3 3.1 Suppliers ........................................................................................................ 3 3.2 Coordinators................................................................................................... 3 3.3 Collection depots ............................................................................................ 4 3.4 Review of the container deposit scheme ........................................................ 4 3.5 Reporting ....................................................................................................... 5 3.5.1 Audit of CDS participant records .................................................................... 5 3.5.2 Return rate ..................................................................................................... 5 3.5.3 Container redemptions made by the public .................................................... 7 3.5.4 CDS infrastructure grants ............................................................................... 9 4 Plastic Bag Ban.................................................................................................. 9 NORTHERN TERRITORY ENVIRONMENT PROTECTION AUTHORITY iii Environment Protection (Beverage Containers and Plastic Bags) Act 2011 Annual Report 2018-19 1 Executive summary This annual report on the administration of the Environment Protection (Beverage Containers and Plastic Bags) Act 2011 (the Act) details the operation and performance of the container deposit scheme (CDS) and plastic bag ban in the Northern Territory during 2018-19. Territorians have continued to support the CDS with over 109 million containers redeemed at depots, and $10 000 000 in refunds paid out over the year. The total number of containers redeemed at depots by the public decreased marginally in 2018-19 (down by approximately 600 000 containers), however the annual redemption rate increased to 84%, an increase of approximately 10% to the redemption rate in 2017-18. Return rates increased from 75% in 2017-18 to 84% in 2018-19. Comparatively, the annual return rate in South Australia (SA) during 2018-19 was approximately 76%. This is partly due to increased public access to the CDS in regional and remote areas, including through a new depot at Nhulunbuy. Investment through the Environment Grants Program in CDS infrastructure in Katherine and for collection points in the Central Australian, West Daly and West Arnhem regions has contributed to these achievements. A desktop audit of CDS data conducted in 2018-19 identified that under-reporting by coordinators in 2016-17 resulted in the reported annual return rate of 48% in 2016-17 also being underreported. The corrected return rate of 61% in 2016-17 shows a relatively consistent increase in annual return rates since the introduction of CDS in 2012. An independent review of the CDS that commenced in 2017-18 as required under the Act was completed in August 2018. The review identified a number of areas for improvement in terms of accessibility to CDS in regional and remote areas, reduced regulatory and administrative burden, a need for increased auditing and compliance, and improved data collection and reporting. An implementation plan has been developed which will see the recommendations rolled out in a phased approach over the next two years. National interest in container deposit schemes continues to gain momentum. The Queensland (Qld) container refund scheme commenced on 1 November 2018. The Western Australian (WA) scheme is due to commence in 2020, and on 6 June 2019 the Tasmanian Government announced plans to commence a scheme in 2022. The NT continues to participate in inter-jurisdictional working groups to ensure consistency across existing and proposed schemes. Monitoring of the plastic bag ban continued in line with the NT EPA Compliance Activity Plan. NORTHERN TERRITORY ENVIRONMENT PROTECTION AUTHORITY 1 Environment Protection (Beverage Containers and Plastic Bags) Act 2011 Annual Report 2018-19 2 Legislation The Act was passed by the Legislative Assembly in February 2011 and assented to on 4 March 2011. The Act provides the legal framework for the CDS and bans the supply of single-use, lightweight, non-biodegradable plastic bags. The plastic bag ban came into effect in September 2011. The CDS began operating in January 2012. In June 2014 the Act was amended to improve the efficiency of the operation of the CDS, reduce administrative burden on industry and strengthen compliance capabilities for non-compliance. Some provisions of the Act affected by the Environment Protection (Beverage Containers and Plastic Bags) Legislation Amendment Act 2014 (Amendment Act) were subject to transitional arrangements. The amendments came into full effect on 1 January 2017. Section 92 of the Act requires the NT EPA to prepare a report on the administration of the Act for each financial year. The report is tabled by the Minister in the Legislative Assembly within four months of the end of the financial year. 2.1 Mutual Recognition Act 1992 (Cth) The Mutual Recognition Act 1992 (Cth) (MRA) applies the ‘mutual recognition principle’ in relation to goods. The mutual recognition principle (section 9 of the MRA) states that goods produced in, or imported into, the first State, that may be lawfully sold in that State, may, by virtue of the MRA, be sold in the second State. For the CDS this principle relates to the requirement for the approved refund marking on regulated beverage containers. 2.2 Regulations The Environment Protection (Beverage Containers and Plastic Bags) Regulations 2011 (the Regulations) provide for matters such as regulated containers, and matters to improve the efficiency or effectiveness of the CDS. 2.3 South Australia / Northern Territory Intergovernmental Agreement An Intergovernmental Agreement (the agreement) was established between the South Australia (SA) and the NT governments in December 2011. The agreement was signed on behalf of SA by the Minister for Sustainability, Environment and Conservation, and for the NT by the then Minister for Natural Resources, Environment and Heritage. The agreement provides for mutual assistance and, where possible, alignment of the administration and development of the respective schemes. The objectives of the agreement are: • to provide ongoing communication and, where possible, promote consistency in the administration and development of container deposit schemes of both jurisdictions • to commit to cooperation on strategies to manage cross border flows of beverage containers and jointly resolve potential issues of fraudulent activity • to promote consistency on key components of the two schemes • as far as possible to coordinate any legislative changes to promote consistency NORTHERN TERRITORY ENVIRONMENT PROTECTION AUTHORITY 2 Environment Protection (Beverage Containers and Plastic Bags) Act 2011 Annual Report 2018-19 • to work towards making the CDS a corresponding law. The SA and NT consulted during the year on matters concerning redeemable containers, container types included under both schemes, common refund marking, national consistency in CDS and other relevant issues. In January 2019 the SA Government released a scoping paper, undertook a survey and sought public submissions to inform the impending review of its CDS. A discussion paper is scheduled to be released later in 2019. The NT will continue to work closely with SA as NT as the recommendations from the CDS review are rolled out, to inform the review of the SA scheme, and to facilitate opportunities
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