Recycle Rewards is Tasmania’s container refund scheme. It offers a 10 cent refund to consumers for returning eligible drink containers at refund points across Tasmania.
The scheme aims to reduce Tasmania’s litter of drink containers by up to half, create new economic opportunities, generate new jobs and turn eligible drink containers into new recycled products.
Why did the commencement date for Recycle Rewards take so long when it was originally meant to start in 2022?
The procurement for the Scheme Coordinator and Network Operator was complex and was conducted in accordance with Tasmanian Government procurement and probity requirements to ensure the best possible outcomes for the scheme and Tasmanian community.
During mobilisation, TasRecycle established the systems that support the scheme and TOMRA Cleanaway secured sites and deployed refund point assets.
Who is responsible for operating Recycle Rewards?
Recycle Rewards is run by a Scheme Coordinator and a Network Operator, as a split responsibility model which was the chosen model by the Tasmanian Government.
TasRecycle has been appointed as Scheme Coordinator and will:
- Manage the financial and administrative aspects of the scheme
- Conduct audits of the scheme to prevent potential fraud
- Pay refund amounts and collection network costs to the Network Operator
- Report against performance targets set by the government
- Manage marketing and communications for Recycle Rewards, driving awareness and education across Tasmania.
TOMRA Cleanaway has been appointed as Network Operator and they will:
- Establish and maintain a network of refund points
- Distribute refund amounts to consumers
- Distribute payments to refund point operators.
What role does NRE Tas have in Recycle Rewards?
The Department of Natural Resources and Environment Tasmania’s role is regulatory and provides general oversight of the scheme, which includes contract management and policy setting for the scheme.
Who will benefit from Recycle Rewards?
All Tasmanians will benefit from Recycle Rewards as it will increase recycling and decrease litter, create new jobs and economic opportunities for Tasmania.
There will also be opportunities for charities, community and sports groups to get involved with fundraising by collecting containers, registering to receive donations of refunds from others, initiating a collection drive or setting up a donation point for the public to donate their drink containers.
Why should I return my containers?
Participating in Recycle Rewards is the rewarding way to recycle your drink containers. It is a great way to help keep our environment and waterways litter-free, while receiving a 10 cent refund for every eligible container you return to a refund point. Once returned, your drink containers become a valuable material for recycling.
What do my recycled drink containers become?
Collected eligible drink containers will be sorted into clean material streams and sold to recyclers in Australia and sometimes overseas where local options are not viable. Containers returned in Tasmania will be made into new products including new drink containers.
The process reduces waste sent to landfill, minimises litter and decreases demand for new raw materials.
How is Recycle Rewards funded?
Recycle Rewards is an example of ‘extended producer responsibility’, which means beverage companies pay for the 10 cent refund and operating costs, supporting the Tasmanian Government to ensure Recycle Rewards is convenient and accessible.
Beverage suppliers play a part in helping to improve recycling rates and reduce the number of drink containers that end up in landfill.
TasRecycle - which is responsible for managing the marketing, the financial operations, and ensuring the smooth operation of the scheme - is run on a not-for-profit basis.
How many jobs will be created in Tasmania for Recycle Rewards?
Recycle Rewards is expected to create over 50 jobs by TasRecycle and TOMRA Cleanaway, with additional indirect jobs also emerging across related sectors.
The recycling industry contributes billions of dollars to the Australian economy. In other states, container refund schemes have generated hundreds of sustainable jobs.
What public consultation/stakeholder engagement has occurred prior to the implementation of Recycle Rewards?
In early 2022, the Container Refund Scheme Act 2022 was passed to reduce litter and boost recycling. Draft Regulations to support the Act were released for public comment in 2023, which received thirty-five submissions with most supportive of the scheme.
In 2021, a five-week public consultation occurred for the draft Container Refund Scheme Bill 2021. Over 3,500 people participated through formal submissions or an online survey with 98% supporting the scheme.
Will I have to pay more for drinks which are eligible under Recycle Rewards?
The costs of Recycle Rewards are paid by beverage suppliers. Suppliers decide what proportion of costs, if any, are passed on to consumers. Independent reviews in other states have found no injustified increase of drink prices during the first year of implementation of the container refund scheme.
I live in a rural area and rely on bottled water. Why has the price increased?
Water sold in containers over 3 litres, or in cardboard casks 1 litre and over, are exempt from the scheme and should not be subject to scheme-related price increases. These exemptions were included to ensure that bulk water purchases remain accessible, particularly for those who rely on them.
Smaller containers of water can be returned to a refund point for a 10-cent refund. Find your nearest refund point.
Beverage Industry
What is the direct impact to local Tasmanian small beverage companies due to Recycle Rewards?
The Department of Natural Resources and Environment Tasmania has been working with small beverage companies to reduce impacts of Recycle Rewards. Under ‘producer responsibility’ the beverage industry pays for the scheme, including the 10c refunds, paid to the consumer.
Because the Tasmanian Government recognises the importance of small businesses in the beverage industry, for the first time nationally a Cost-Free Threshold Rebate has been introduced. This means in Tasmania, most beverage suppliers who choose to be invoiced annually will not need to make any contribution for beverage sales each year below 20,000. For beverage suppliers who are invoiced monthly, they will receive the cost-free threshold as a rebate at the end of the financial year.
As the scheme began in May 2025, the rebate for the 2024-25 financial year was pro-rated.
This cost-free threshold rebate aims to help small business companies continue to thrive.
Tasmania has more than 90 small beverage companies. It is estimated that about 40% of Tasmania’s small beverage companies will not have to pay into the scheme, if they have selected annual invoicing.
How will Tasmania's beverage industry be supported?
Tasmania's small beverage industry has a key role to play in the success of Recycle Rewards. We know that sustainability, Tasmania's clean brand, and a reputation for premium produce are important to our beverage industry's future.
The Tasmanian Government has been working with small beverage companies to reduce the regulatory impact of the scheme, while ensuring they are part of Recycle Rewards and part of our drive to reduce litter and increase recycling.
Tasmania has more than 90 small beverage companies operating across the state, and their contribution to the economy, tourism and employment is highly valued.
The Tasmanian Government has been working with the industry to ensure it can continue to thrive by implementing the following;
Under 'producer responsibility' the beverage industry pays for the scheme, including refunds. However, in Tasmania most beverage companies who choose to be invoiced annually will not pay for their beverage sales each year that are below 20,000 due to the 'cost-free threshold rebate'. For beverage suppliers who are invoiced monthly, they will receive the cost-free threshold as a rebate at the end of the financial year. As the scheme began in May 2025, the threshold for the 2024-25 financial year will be pro-rated.
This cost-free threshold rebate aims to help small beverage companies grow and thrive. It means 40% of our small beverage companies will not have to pay into the scheme. Customers will still receive a refund for these drink containers.
Only drinks sold in containers are included. Kegs and refillable bottles ('growlers') are exempt.
There will be a transition period of 18 months from 1 May 2025 for beverage producers to update their drink container labelling if needed. (Containers are required to carry a barcode and a refund message).
A grants program was made available to provide small Tasmanian beverage producers with assistance for costs associated with container approvals, obtaining barcodes, and container label updating and printing.
Invoicing will be in arrears, which is what the beverage industry asked for. It will NOT be based on sales forecasts.
Small Tasmanian beverage companies will have the option of being invoiced monthly or annually, whichever suits them.
What was the Small Producer Assistance Grant?
The grant scheme was operated by the Department of Natural Resources and Environment Tasmania (NRE Tas) using funds provided by the Tasmanian State Government. The total amount of funds available for allocation under this grant scheme was $80,000.
The maximum total grant amount that a business could receive was $1,000 (excluding GST).
An applicant could apply for the following items and activities
Administrative costs associated with container approvals.
Costs for obtaining barcodes for eligible containers (excluding GST).
Costs for designing labels that display a barcode and/or the refund marking on eligible containers (excluding GST).
Costs for printing labels (including direct to can printing) that display a barcode and/or the refund marking on eligible containers (excluding GST).
Applications for grants closed on 30 June 2025 at 11:55pm.
What are the obligations for scheme participants?
Following Recycle Rewards’ successful commencement on 1 May 2025, now is a good time to remind scheme participants about support available for, and obligations under, Tasmania’s Container Refund Scheme:
- There are penalties for not displaying special barcodes and 10c refund marks on eligible containers. This won’t be enforced until 1 November 2026. However, beverage producers are encouraged to transition ASAP to compliant barcodes and 10c refund marks as this may help prevent frustration for their retail and wholesale purchasers.
- There are other penalties which do apply now. Examples include:
- Supplying an eligible container known not to be approved/registered (In 2025, suppliers who have applied and whose container registration is pending won’t be penalised for supplying that container during processing)
- First Responsible Supplier not entering into a supply agreement
- Material Recovery Facility Operators claiming refund amounts prematurely