Right: A shopper in the US state of Oregon returns cans and bottles for the deposit money, using a "reverse-vending" machine. These machines are programmed to give coins back for marked and unmarked water bottles. (photo by Doug Beghtel: The Oregonian)
Background information
(Much of the following information is abridged from the Wikipedia entry titled, 'Container-deposit legislation. The entry can be found at http://en.wikipedia.org/wiki/Container-deposit_legislationThe information regarding the Australian Northern Territory can be found at http://www.abc.net.au/news/stories/2009/05/01/2557860.htm http://www.cashforcontainers.nt.gov.au/ and http://www.abc.net.au/news/stories/2009/11/12/2740901.htm
Container deposit legislation is laws passed by city, state, provincial, or national governments that require that a deposit on carbonated, milk, water or alcoholic beverage containers be collected when the beverage is sold. When the container is returned to an authorised redemption center, or the original seller in some jurisdictions, the deposit is partially or completely refunded to the consumer.
Governments may pass container deposit legislation for several reasons:
a) to encourage recycling and complement existing kerbside recycling programs;
b) to specifically reduce beverage container litter along highways, in lakes and rivers, and on other public or private properties (where beverage container litter occurs, a nominal deposit provides an economic incentive to clean it up; this is in fact a significant source of income to some homeless individuals and non-profit civic organizations);
c) to extend the usable lifetime of taxpayer-supported community or regional landfills, and;
d) to protect children by effectively reducing the incidence of glass lacerations in childhood.
Deposits that are not redeemed are often used by the governmental entity involved to fund environmental programs; sometimes they are used to cover the costs of processing returned containers.
Container deposit schemes in the United States and other jurisdictions
In the United States, these laws are also popularly called bottle bills after the Oregon Bottle Bill, the first container deposit legislation passed in the U.S.
Efforts to pass container deposit legislation in the 39 states that do not have them are often politically contentious. The U.S. beverage container industry - including both the bottlers of water, soda, beer, and the corporate owners of grocery stores, and convenience stores - spends large amounts of money lobbying against the introduction of both new and amended beverage container deposit legislation.
Among other nations which have some form of container deposit scheme are Canada, Germany, the Netherlands, Denmark, Norway, Sweden and Finland.
Container deposit laws in Australia
South Australia currently has a refund of 10 cents per can or bottle[25] (raised from 5 cents in late 2008). In the 1970s deposits ranged from 20c for a 30 oz bottle and 10c for a 10 oz and 6 1/2 oz bottle. With the introduction of plastic and non re-usable bottles the deposit was reduced to 5c (including aluminium cans). This amount remained unchanged for around thirty years.
A recent innovation has seen the deposit extended to paper cartons eg. flavoured milk and orange juice. The Beverage Container Act 1975 (SA) governs the levying and refund of deposits. The value of deposits and the scope of their application have been influenced by the Australian federal constitution's guarantee of free trade between the states.
Victoria had a scheme, but it was rescinded. In 2009, Victorian Greens introduced a private member's bill for a 10c deposit scheme which passed the upper house and was ruled out of order on a second reading in the lower house due to a technicality.
A national scheme has also been proposed. Attempts to introduce similar legislation in other states have been unsuccessful to date.
In May 2009 the Northern Territory trialled its 'cash for containers' scheme at the Freds Pass Show. Empty drink containers purchased at the show were able to be cashed in for a refund of 10 cents each. Soft drink cans, flavoured milk cartons and fruit juice bottles were all redeemable.
The Northern Territory government intends to implement such a scheme across the Territory in 2011.
On November 12, 2009, it was announced that the Northern Territory government was redrafting its container deposit legislation to avoid a legal challenge anticipated from the food and grocery industry.
Some Australian communities and municipalities have decided to act independently. Port Hedland in Western Australia recently introduced its own beverage container refund scheme, giving local residents a 10 cent refund on their cans and bottles, and Bundanoon in NSW introduced a town-wide ban on bottled water in order to cut down their environmental footprint.