Tasmanians will pay up to $6.50 more for a carton of beer from Thursday as the state’s new TasRecycle container deposit scheme takes effect, sparking criticism over its implementation.
Labor MLC Luke Edmunds claims the Tasmanian scheme is the most expensive in Australia, with administrative costs of around 22 cents per container compared to approximately 15 cents in other states.
“Jeremy Rockliff and his government have spent seven years designing this scheme and they’ve come up with the most expensive version of it in the country,” Edmunds said.
“To charge people double what the benefit is, is disingenuous to people in a cost of living crisis.”
Under the scheme, consumers will receive a 10-cent refund for each container recycled, meaning a 30-can carton costing $6.50 more would return only $3 if all containers were recycled.
Jason Atkins, licensee of the Marquis Hotel in West Hobart, says is concerned about the impact on his business.
“We’ve got a 24-pack carton of beers going up $5. A 30-can could be up to $6.50. It’s got to have a reduction in sales,” Atkins said.
“I’m all for a container deposit scheme, all for it, but not one that costs us 22 cents a container.”
“There’s no way a small business like ours can actually absorb those costs.”
The hospitality industry is fearing a drops of 10-15% in sales when the scheme launches.
Some businesses have already posted signs to inform customers about the price increases in fear of an onslaught of unhappy customers.
“It’s not fair that they are already anticipating abuse and its important Tasmanians know that its Jeremy Rockliff’s fault beers are going up by so much, not the workers,” Edmunds said.
Environment Minister Madeleine Ogilvie has criticised Labor for “crab walking” away from the scheme, saying the party “stands for nothing”.
“We are delivering a scheme that all Tasmanians can benefit from, wherever they live, from the Tasman Peninsula to King and Flinders Islands,” she said.
“Tasmania’s unique geography creates unique challenges, including a smaller container volume and population size; the transport of containers across Bass Strait; and our lack of access to the economies of scale enjoyed by mainland states.”
“All beverage companies will be exempt from paying into the scheme for their first 20,000 containers sold each year – a nation first.”
“That means that approximately 40 per cent of Tasmania’s smallest and newest beverage companies will not pay into the scheme at all while Tasmanians can still claim a refund on their containers.”
The scheme officially begins this Thursday, May 1.
