After false starts and a muted launch, can beverage container return scheme improve recycling in S’pore?

SINGAPORE – The blue machines were there, ready for action, but there were hardly any cans for recycling anywhere.

The launch of the recycling scheme for bottles and cans on April 1 was a muted affair because there were few eligible bottles and cans that could be deposited in exchange for money.

This was the idea behind the scheme: Customers pay an extra 10 cents for each canned or bottled drink, but get the money back when they drop the used containers in a reverse vending machine.

But the machines only accept used drink containers carrying the “10c SG Return” logo. These containers are a rare sight for now because producers and importers are clearing old, unlabelled stock first.

So, why the cart before the horse? Or, in this case, the machines before the bottles and cans?

In January, the National Environment Agency announced a six-month transition period between April and Sept 30 after the industry asked for more time to clear their existing stock without the deposit mark.

The programme was launched in April – over 1,000 machines were rolled out across the island – because there is already a small number of the labelled bottles and cans in the market.

Scheme operator BCRS is also using the next six months to help residents get familiar with the machines and recycling process through roadshows and other forms of outreach.

On April 1, the day of the launch, some members of the public tried to deposit containers without the requisite mark into the machines, only to see them rejected.

The scheme is expected to gain traction when more eligible containers appear on the market around August.

The launch had been postponed a couple of times, with the extensions coming on the back of industry feedback on labelling and inventory constraints.

It is the latest of several initiatives meant to improve the nation’s dismal domestic recycling rate of 11 per cent.

Is this effort – which allows a clean stream of used bottles and cans to be recycled – set to go down the drain? Or will it nudge more to go the recycling route?

In theory, success is possible. Countries in Europe with similar return schemes generally have high return rates of over 90 per cent.

The success of a recycling scheme depends equally on strong motivation among residents and a well-designed recycling system.

Segregating recyclables with an incentive

The widespread availability of the over 1,000 reverse vending machines in hot spots like HDB void decks, supermarkets and hawker centres will remind people of the need to recycle, more than the often-contaminated blue bins in residential areas.

Mr Chris Humphrey, executive director of the EU-ASEAN Business Council, said the scheme has the ingredients for success, but how it is implemented will be the deciding factor.

International experience has shown that the greatest needle-mover is not the refundable deposit amount, but how convenient and accessible the system is for consumers, he noted.

“This includes the availability of return points, how well the process is integrated into daily routines, and the level of public awareness and trust in the system,” added Mr Humphrey.

The nation’s low household recycling rate is caused in part by the lack of a recycling habit among the public, and the new initiative hopes to address some of the deterrents.

The ubiquitous blue recycling bins, where various recyclables are mixed together, have a contamination rate of 40 per cent.

As tainted recyclables end up incinerated, the contamination in the blue bins has been a major challenge to Singapore’s household recycling rate, which reached an all-time low of 11 per cent in 2024.

Under the new scheme, the contamination problem is avoided as the reverse vending machines accept only empty bottles and cans. A clean stream of plastic and metal is more valuable to recyclers and can fetch a higher price.

The new scheme also builds on bottom-up reforms in Singapore’s recycling system. Residents of Tiong Bahru’s Seng Poh estate, for one, are temporarily removing their blue recycling bins until June to see if that improves the neighbourhood’s cleanliness and recycling rates.

People in the neighbourhood can deposit their recyclables during community drives to be held twice a month.

Local firm SG Recycle and public waste collector 800 Super are also installing their segregated recycling bins in the east, following the success of such bins in the Ang Mo Kio-Toa Payoh region.

These bins that segregate metal, plastic, paper, glass and clothes have a lower contamination rate of around 5 per cent.

Seeding a recycling mindset

A recycling culture can be nurtured in Singapore if sound infrastructure and policies are in place.

But gaps remain in the scheme’s infrastructure, especially during this transition period. Tweaks could be made during these six months to ensure people do not give up.

With a mix of eligible containers and old stock in the market, there is a risk that smaller stores may accidentally charge 10 cents for drinks without the deposit mark. Such hiccups can be exasperating for shoppers.

Dr Lee Chee Huei, who was a member of a citizen-led work group that proposed the return scheme in 2019 to improve Singapore’s recycling rate, said shoppers may have to double-check their receipts to ensure that they are not inappropriately charged.

The senior lecturer at the Singapore University of Technology and Design added: “The transition period where both eligible bottles and old stock are in the market is unavoidable. But the point is how to minimise hassles for the public, producers as well as businesses.”

Since the reverse vending machines are already installed, they could be reprogrammed during the grace period to also accept used containers without a deposit mark, but without giving a refund as they do not cost an extra 10 cents.

As the machines take up prominent retail and community space, this could help people get used to returning their bottles and cans.

The European experience has shown that teething issues are common, said the circular economy team of the European Chamber of Commerce (EuroCham) in Singapore.

For example, Ireland faced confusion over labelled and non-labelled containers during its transition period, while Malta grappled with limited return infrastructure and logistics.

“A key lesson for Singapore is that hiccups are not unusual, but can be better managed through clear early communication, well-supported transitions, and targeted guidance for smaller businesses to reduce uncertainty and ensure a smoother roll-out,” said a EuroCham circular economy committee spokesperson.

Mr Humphrey said that the higher-level goal is not to perfect the scheme, but rather to embed sustainability and the importance of recycling in the public consciousness.

Disruptions to oil and petrochemical flows due to the Middle East conflict have also pushed up the prices of virgin plastic. This makes it more crucial to have a local, closed-loop supply of recycled materials.

Mr Humphrey said: “There are compliance costs for producers (in the scheme), but they also get access to a stable supply of high-quality recycled materials that can be bought back and reused in production.”

Knowing where the containers go

Consumers should also be able to see that the bottles they return are recycled and returned to the market.

Another predicament facing the local recycling scene has been high freight costs, which has affected the amount of textile and paper waste that were sent to other countries to be recycled.

For example, the recycling rate for paper fell from 52 per cent in 2018 to 32 per cent in 2024, partly due to higher freight and collection costs and commodity prices.

This meant some paper and cardboard dropped off by residents had to be thrown away because the business incentives for recycling these materials had weakened. This can be demoralising for residents who put in effort to recycle the paper.

To increase public trust in the beverage container return scheme, it is worth outlining how the collected bottles and cans are processed and sent to recyclers before they return to the market.

Scheme operator BCRS could organise public tours to Cora Environment’s counting and sorting facility so that consumers can see for themselves the results of their efforts in dropping off their cans and bottles into the machines. The operator should also reveal more information on where the materials are eventually recycled and how they will return to the local market.

The EuroCham committee added: “Transparency on what happens to the collected containers and what the downstream recycling outcomes are helps build trust and will reinforce the purpose of the scheme.”

It may take a while for most residents to build the habit of returning their Milo cans and green tea bottles.

Hopefully, the latest effort will nudge them to do so.