Circularity Scotland welcomes new government guidance to reduce DRS costs

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Circularity Scotland, the scheme administrator for the Deposit Return Scheme in Scotland, has welcomed new guidance from the Scottish Government which will significantly reduce the cost of the scheme for industry and consumers.

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The new guidance will make the process of applying for exemptions clearer, easier and quicker for retailers and will significantly reduce the operational burden of the scheme for a large number of hard-pressed smaller retail outlets in these particularly challenging times.

The likely change in the number and profile of return points across Scotland is also expected to reduce vehicle miles for collection and contribute to a significantly more environmentally efficient scheme.

Crucially, the guidance includes the introduction of a new Return Point Mapping and Exemption Support service to help retailers identify alternative return points without having to share commercially sensitive information with other retailers.

In addition, the new guidance clarifies the criteria for environmental health exemptions and the introduction of streamlined evidence and assessment processes to better take into account the challenges facing specialist, food service and hospitality retailers.

It has also been confirmed that Circularity Scotland will be able to assist retailers in applying for exemptions, helping to establish shared return points and prevent return point ‘blackspots’.

These changes will reduce the overall cost of the scheme and allow Circularity Scotland to recalculate its initial forecast producer fee – the cost per container that each producer is required to pay to meet their obligations under the scheme.

CSL will be providing further information to producers on this in the coming weeks.

David Harris, chief executive, Circularity Scotland said: “We warmly welcome this significant intervention from the Scottish Government. We have been working closely with the Minister and her team, as well as Zero Waste Scotland, to agree an approach and this new guidance will help industry to establish an accessible and inclusive network of return points across Scotland in the most effective and cost-efficient way.

“We also welcome the Minister’s indication that she is considering industry’s concerns around online takeback and her commitment to provide further detail on this in the coming weeks.

“With just under a year to go until DRS is introduced, these developments are just one element of how we are actively working with industry, government and all stakeholders to deliver a scheme that will work for Scotland, will transform how we recycle in this country and will help preserve our environment for generations to come.”

Since being incorporated in 2021 Circularity Scotland has raised £100 million of funding from a combination of drinks producers, banks and business partners to help establish the Deposit Return Scheme. The company now employs almost 50 staff in Glasgow and the wider Deposit Return Scheme will create in the region of 500 jobs in Scotland within partner companies.