As associations representing beverage container distributors, please accept this letter as specifications from the Department related to the March 22, 2023, notification to distributors and the March 29, 2023, supplemental information letter that allowed the agent, Encorp Atlantic/Atlantique, to retain one hundred percent of the environmental fee and all the unclaimed deposits for non-refillable beverage containers from April 1, 2023 to March 31, 2024. The overall intent of this allowance was to provide additional revenue to Encorp Atlantic/Atlantique to enable a smooth transition of the Beverage Container program to the extended producer responsibility model.
The Department is specifying that this additional revenue is to be used to:
- provide the start-up cash flow for the new full-back deposit refund system for the non-refillable beverage containers that is starting on April 1, 2024. The start-up cash flow amount should be equivalent to the amount needed to cover the first 2 months (approximately 60 days) of implementation of the new full-back deposit refund system; and
- stabilize the container recycling fee for the aluminum can at the proposed 2024 levels of 1 cent for the non-alcohol aluminum can and 2 cents for the alcohol aluminum can until merging material categories of non-alcohol and alcohol on April 1, 2025.
Note: Any remaining additional revenue, after fulfilling the above specifics, may be used to support any other increased operational costs and reserve fund allocations.
In closing, the Department expects the agent to comply with the Designated Materials Regulation and lead the development and implementation of an audit and improvement plan designed to increase the return rate for all beverage containers and address the importation of containers into the province.
Should you have any questions please contact Christie Ward, Assistant Deputy Minister of the Authorization and Compliance Division at Christie.Ward@gnb.ca or at
506-238-3883.