Material recovery facilities and local government refund sharing protocols

The Circular Economy (Waste Reduction and Recycling) Act 2021 provides for the Head, Recycling Victoria to issue protocols that enable material recovery facilities (MRFs) and local governments and Alpine Resorts Victoria to access a refund from CDS Vic in relation to the suitable eligible containers they collect and manage.

Material Recovery Facilities Protocol

The Material Recovery Facilities Protocol establishes the terms for determining the refund amount from CDS Vic between the Scheme Coordinator and MRF operators with a Recovery Agreement.

It provides a structured approach calculating the refund amount payable between parties and managing the financial implications, including approved incurred costs, which arise due to the implementation of CDS Vic.

The material recovery facilities protocol clarifies:

• stakeholders
• applicability
• material output types eligible for refund
• methodology
• sampling and the Material Recovery Facilities Protocol sampling plan
• calculations
• refund amounts payable
• reporting and record keeping obligations necessary to make a valid claim
• audit and assurance requirements.

Local Government Refund Sharing Protocol

The purpose of the Local Government Refund Sharing Protocol is to ensure equitable and transparent sharing of refunds among contracted parties involved in providing municipal recycling services that collect, sort and separate suitable eligible containers. It provides a framework that promotes accountability and cooperation among the involved parties to determine and distribute refund amounts attributed to returned suitable eligible containers.

The Local Government Refund Sharing Protocol:

• defines the minimum share of any refund amount to which a local government and a MRF operator are entitled
• establishes the method for determining the minimum share of a refund amount, ensuring that this method is in accordance with any prescribed requirements
• serves as a condition of any contract between a local government and a MRF operator unless the contract specifically provides for the subject matter of the protocol
• allows for the variation or revocation of the protocol by the Head, Recycling Victoria at any time.

Material sales for Victoria's Container Deposit Scheme

Visit our material sales for Victoria's Container Deposit Scheme page for information about how material collected through CDS Vic is sold to the recycling market.