Following months of uncertainty about who would serve as the Deposit Management Organisation (DMO) for Wales - which cast doubts on the UK’s ability to work as a whole towards a successful Deposit Return Scheme (DRS), the Welsh Government has today finally announced who will take on the responsibility.
It has confirmed Exchange for Change, which is set to run the scheme in the rest of the UK, will be its DMO, in spite of its previous bid being rejected and an appeal.
The DRS is expected to launch across the UK in October 2027.
Llŷr Gruffydd MS (left) said in a statement: “The Welsh Government will work closely with Exchange for Change and delivery partners as they develop the return network, collection and processing infrastructure, producer registration arrangements and operational systems in readiness for the scheme’s launch in October 2027.
“I look forward to working with Exchange for Change and our delivery partners as we work to establish a DRS that works for Wales, and with those schemes being implemented in the other nations of the UK.”
Four-year transition
The Welsh DRS will cover single-use drinks containers made from PET plastic, aluminium, steel and also - perhaps most problematically - glass, with containers from 150ml to three litres included.
While stores will be able to accept glass bottle returns right from the beginning of the DRS in Wales, the Welsh Government also announced there would be a four-year transitional period to allow for any alterations that may be needed for industry and stores to start accepting it.
It said glass containers will be exempt from labelling requirements to allow manufacturers and more in the inustry to adapt their packaging systems and capabilities for handling glass.
Industry response
The Association of Convenience Stores (ACS) was quick to respond, welcoming the news. Its chief executive, Ed Woodall, said: “We welcome the appointment of Exchange for Change as the DMO for Wales and the progress that this represents towards delivering a DRS on time in October 2027. This decision provides an important foundation for the work that now needs to take place.
“With just over a year to go, it’s vital that governments and the DMO move quickly to provide clarity on the operational requirements, particularly around glass, that retailers will face and how the scheme will work in practice.”
Also commenting on the news, the British Soft Drinks Association’s director General, Andy Bagnall, said: “The appointment of Exchange for Change in Wales means a single scheme administrator across the UK - a crucial milestone in delivering a successful DRS by October 2027 – but there is now no time to lose on implementation.
“With little more than a year until go-live, it is welcome that Exchange for Change can work with the Welsh Government and stakeholders across the supply chain to establish the conditions for delivering the scheme in Wales in a way that avoids unnecessary cross-border complexity.
“However, while preparations are already well advanced for launching the DRS in October 2027 for England, Scotland and Northern Ireland, delivering the scheme in Wales within such a short timeframe means there can be no further delays.
“Wales’ decision to include glass from day one also creates significant additional operational complexity, and the Welsh Government must continue to be realistic about what’s possible in the time.
“We look forward to working constructively with Exchange for Change, the Welsh Government and partners across the supply chain to address these challenges and deliver a DRS in Wales that increases recycling, reduces litter and works for consumers, businesses and the environment.”
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