2. What is your view on the deposit return system functioning in Coca-Cola HBC, based on your experience in other markets where the deposit return system has been implemented?
EU has not yet defined the minimum requirements for deposit return systems, although work is in progress in terms of new legislative framework. So, states organize these systems primarily in accordance with the specifics and level of development of local markets.
There are certain principles that have proven to be the best solutions in practice and are harmonized at the level of European beverage associations. I will mention only a few. The deposit return system is set up and managed by the industry, which has ownership of the collected packaging, and the entire system has a non-profit nature. The National Beverage Association recommends that the deposit return system include PET and aluminum cans in the first implementation phase. It is crucial that it has national coverage and a sufficient number of locations where citizens can return empty packaging.
It is evident that the deposit return system brings complexity and higher costs, primarily for the beverage industry. However, the cost of not introducing such a system would be significantly higher for society as a whole. That's why we at Coca-Cola HBC advocate for introducing a deposit return system and, together with industry partners and decision-makers, we are dedicated to working towards that goal.
All of this also requires time - for everyone, from us as producers through traders to consumers, to educate and prepare. For this reason, we support the intention of the Ministry of Environmental Protection to make this system come alive as of 2027, which we believe is an adequate time frame to implement a system from the moment of adoption of regulation.
In the meantime, we are witnessing that, despite all efforts, packaging waste still ends up in nature to some extent. What is your comment on that?
Unfortunately, we all witness such pictures of waste often ending up just a few meters from the dustbin. We are all responsible for the environment in which we live. The responsibility of us as the industry is even greater, which we demonstrate through the extended producer responsibility system. The public often forgets that it is the industry, through the operators, that fulfills its obligations and finances this system, which has been operating for a decade and through which over 60% of packaging waste is collected, according to the Environmental Protection Agency.
The extended producer responsibility system definitely has room for improvement, primarily in the part of primary selection. I believe that with the improvement of the existing system, the deposit return system will increase the recycling rate and contribute to a cleaner environment for all of us.