An Aontú senator has described the Re-turn deposit scheme as “an unnecessary torture” – and says that she predicts a hike on the deposit charged on cans and bottles.
Aontú’s Sarah O’Reilly criticised the bottle and can recycling scheme, amid the operator’s appearance at the Oireachtas committee on Climate, Environment and Energy this week.
It comes as retailers issued a warning that an incoming Re-Turn style deposit scheme, to be introduced into the North next autumn, paying higher rates per bottle, will spark an “exodus” of shoppers bringing their recyclables across the border.
The Convenience Stores and Newsagents Association (CSNA) told the Oireachtas Committee on Wednesday that a scheme to be launched in Northern Ireland will negatively impact shop owners and will reduce the number of bottles and cans being recycled in the Republic.
CSNA President Sara Orme was also critical of the Return Scheme’s operators, Re-Turn, over the 2.2 c handling fee which retailers receive per can. She said this was not enough for smaller shops to break even, particularly taking into account the cost of machine maintenance.
Meanwhile, Senator O’Reilly told the Seanad: “When you go to the machine, it can be out of order, it can be full, it can reject perfectly good cans.”
“It’s inconvenient, it’s frustrating and it’s an unnecessary torture. The only winners of this is Re-turn and their successful money-making business under the pretence of concern for the environment.”
Ms Orme told the committee: “We have very real concerns that there will be an exodus of containers from the South to the North once their scheme gets up and running.”
She has predicted that this will affect Re-Turn’s target for a090 per cent recycling rate in the South by 2029, adding it would particularly impact “our members along the border areas who have these machines and operating costs,” and that there would potentially now be less cans going through them.
It came as it was revealed that the UK scheme will involve a deposit of 20p (23c) for every container returned – almost 10 cent more than the 15c currently available to consumers for small items through the Re-Turn scheme here.
Ms Orme added: “If you have groups of people collecting cans and they suddenly realise they’re worth 15 cent in the South, but they’re worth more in the North, of course you’re going to go across the border.”
In response, chief regulatory officer with return, Gill McCann, said that country-specific barcodes could only be redeemed in one jurisdiction, which would “mitigate the amount of movement across the border.”
More than €120 million was left unredeemed in the first two years of the Re-Turn scheme, CEO Ciaran Foley confirmed this week – as customers did not bring back empty bottles and cans to claim their deposit. Mr Foley admitted that the scale of the shortfall came to €66.7 million in 2024 and €60 million in 2025.
“It’s not a case that we are sitting on all of that,” he told Fine Gael TD John Clendennan at the committee, saying that a lot of the figure had been spent on VAT and paying back loans that helped start the scheme.
Meanwhile, Senator Sarah O’Reilly was critical of the scheme’s finances.
“It isn’t a tax that can be used for disability services and schools. It is money collected by a private company which means CEO salaries, budgets for advertising and marketing. If you don’t get your deposit back, they keep your deposit, so essentially it’s a tax. That amounted to €66million last year,” said the Cavan Senator.
She added: “There has been a flurry of positive articles praising the scheme lately. Tucked away within them, is a proposal to suggest the fee should be increased.
“They are slowing paving the way for people to pay even more to buy a can. There is a lack of innovation in this country, where the answer to everything is to hike up prices for consumers.
“The Irish Waste Management Association has made it clear, bottles in the household bins are recycled to the same standards as those returned through the scheme.
“If recycling is already effective through our household bins, let’s stop pretending that increasing charges is the only way forward. Meanwhile, the Re-turn CEO Ciaran Foley’s salary is still not publicly known.
“The real environmental impact is reducing the number of single use drinks containers, and this scheme does not do that.
“If we are serous about the environment, we would target manufacturers instead of consumers, who are always the ones to lose out,” she added.
The Committee this week also heard that Re-Turn employs 59 staff, and that €1.1 million was paid to the top five executives last year, including pension contributions.
Independent TD Barry Heneghan asked whether a pay freeze for senior management could be considered, adding: “You’re telling over 1,000 CSNA members that you can’t raise the 2.2 cent handling fee. How can you justify that order of priorities to a shopkeeper?”
However, Re-Turn chair Tony Keohane insisted that salaries were to ensure that “we attract the right people” to run the scheme, and that additional supports would be considered for retailers who feel they are losing money.
It was also confirmed that €4.6 million was spent on marketing by Re-Turn in 2024, rising to €6.8 million last year.