The Deposit Refund Scheme (DRS), commonly known as the Beverage Container Return Scheme (BCRS), is a key initiative under the Extended Producer Responsibility (EPR) framework. The DRS has been in place in over 40 countries and studies on the programme suggest that it is effective in reducing waste production, increasing the rate of recycling, and stimulating circular economy business activities. The programme when implemented well is highly effective in facilitating the collection of large volumes of empty containers in clean waste streams for high-quality recycling, or refill-or-reuse systems.

As the DRS has been successful across jurisdictions, this paper aims to highlight some of the key learning points that contribute to its success. These learning points serve to inform how Singapore should design its own DRS. As such, the objectives of this paper are summarised as follow:

1. Understand DRS operations in different jurisdictions through European case studies; and
2. Identify key challenges and opportunities that European Chambers of Commerce (“EuroCham”) member companies might face in other jurisdictions in their roles as producers, recyclers, or buyers or DRS materials; and
3. Analyse key learning points to guide a successful implementation of the DRS in Singapore

The position paper also highlights key considerations and learning points based on the use cases of DRS by some EuroCham member companies and current industry practices in Europe. Qualitative insights through email interviews with beverage producers and importers with operations in Singapore were conducted to understand the challenges faced by these companies in adopting the DRS in other jurisdictions where they operate in.

The summary of responses lends itself to a thematic analysis of key recommendations which suggests the following:

1. A phased implementation of the DRS should be considered as the gradual exposure to a DRS would help to ease stakeholders into the process.
2. The set-up of DRS would need to account for the convenience of the collection points to support easy deposit of containers.
3. Creating educational materials for consumers on the purposes and scope of the DRS would facilitate the DRS implementation process as consumers have the responsibility of bringing the beverage containers to collection points.
4. Cost considerations of designing and implementing the DRS would need to be managed effectively.
5. Governance and oversight would be necessary to ensure the accountability of the system. This will also help monitor DRS’ impact on national recycling rates and its effectiveness compared to other waste management initiatives in Singapore.