The ACCC has issued a draft determination proposing to authorize a new industry-led initiative aimed at collecting and recycling soft plastic packaging from consumers. This scheme, managed by Soft Plastics Stewardship Australia (SPSA), includes major retailers such as Woolworths, Coles, Aldi, Nestlé, Mars, and McCormick Foods as initial members.

ACCC Deputy Chair Mick Keogh highlighted the growing concern among Australians regarding the environmental impact of soft plastic packaging and the desire to recycle it. The proposed scheme is designed to expand existing in-store collection and kerbside recycling pilots, potentially diverting soft plastics from landfills.

The ACCC believes that the environmental benefits of the SPSA scheme outweigh any competitive disadvantages that may arise from the collaboration. The proposed authorization would last for eight years and include conditions for transparency and the prohibition of exclusive contracts with processors.

Interim authorization has also been granted to SPSA, allowing it to begin sharing operational information and data to facilitate the transition from the previous Soft Plastics Taskforce arrangements. Stakeholders are invited to submit their feedback on the draft determination by August 25, 2025.

While the ACCC is not an environmental regulator, its role involves assessing applications for authorizations that may raise competition concerns under the Competition and Consumer Act. The proposed scheme is expected to be funded through a levy on participants based on the amount of soft plastic packaging they introduce to the market.