A report by the Canadian Beverage Association (CBA), researched and authored by Eunomia Research & Consulting Inc. has concluded that the best approach for Ontario to achieve a 90 per cent recovery rate for beverage containers like aluminium cans is to expand the current deposit system managed by The Beer Store. The recommendation suggests increasing the number of retail and depot locations where Ontarians can return bottles and aluminium cans to receive a 10-cent refund per container.
CBA commissioned Eunomia
The CBA commissioned Eunomia to conduct a research report and a DRS modelling study to identify a cost-effective, consumer-friendly, high-performing deposit-return system (DRS). Implementing such a system would achieve high recycling rates, reduce environmental litter, and increase the use of recyclable materials in manufacturing new beverage containers.
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"The Government of Ontario must seize the opportunity to expand the existing deposit system for beer, wine and liquor to include soft drinks and other non-alcoholic beverages to keep these containers out of the environment and divert them from landfills to recycling facilities," said Krista Scaldwell, CBA President.
Ontario and Manitoba are the only Canadian provinces without a deposit-return system (DRS) for non-alcoholic beverage containers. Consequently, as reported by Circular Materials, Ontario maintains the country's lowest recovery rate for these containers, stuck at 51 per cent. In contrast, provinces with DRS programs, such as British Columbia and Alberta, boast recovery rates between 77 per cent and 85 per cent, supported by strong consumer participation.
"Recent polling shows that more than 80% of Ontarians want a deposit system for both alcohol and non-alcoholic beverage containers. Ontario can no longer remain an outlier in Canada with half of the non-alcoholic beverage containers sold in the province each year not being collected for recycling, going to landfill or being littered in the environment," added Krista Scaldwell.
Highlights from the report
According to the report, utilising The Beer Store's collection infrastructure and engaging grocery stores and other retail outlets to accept empty beverage containers could establish a system capable of achieving an 89 per cent recovery rate. This setup would ensure approximately one collection point per 1,600 Ontarians, supplemented by limited depot collection in areas with high container turnover. The estimated net cost of implementing this system is $190 million, financed through producer fees.
On March 28, 2024, the Government of Ontario finalised an Early Implementation Agreement with The Beer Store. This agreement maintains the current deposit system for alcohol containers. It introduces a new requirement for retail locations larger than 4,000 square feet to accept empty alcohol containers if no Beer Store is within a five-kilometre radius. A revised Ontario Deposit Return Agreement (ODRP) must be finalised by October 1, 2024.
"As more reverse vending machines are installed to take back alcohol containers at retail locations this fall, those same machines can be used to take back non-alcoholic beverage containers. Our modelling shows that leveraging both The Beer Store deposit system, along with return-to-retail collection, will establish the greatest convenience for consumers and allow Ontario to lift its recovery rate from where it is today at roughly 50% to 90%," said Sarah Edwards, President, Eunomia North America.
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