• Published

An organisation to manage Wales' deposit return scheme (DRS) has been appointed by the Welsh government following months of discussions over the inclusion of glass.

Exchange for Change, which had already been chosen to run the new recycling programmes in the rest of the UK, will run Wales' DRS from its launch in October 2027.

Drinks industry lobbyists had previously warned that the time taken to appoint Wales' operator had risked delaying the launch of the scheme.

In a written statement LlÅ·r Gruffydd, the sustainability minister, said the appointment marked the "next step" towards improved recycling and reuse.

Officials had been in discussions with Exchange for Change for months, after it emerged there were key differences in what the Welsh government wanted from the operator and what it was prepared to deliver.

While the Welsh government was understood to require 3,500 reverse vending machines to handle glass at the outset of the DRS scheme, the proposal from Exchange for Change was to launch with 100 suitable machines around the country.

Those with knowledge of the discussions said this was a key sticking point.

Asked by BBC Wales if the Welsh government had changed its requirements for glass vending machines, Gruffydd said he "wasn't going to get into any particular figures" but that "we have to accept that we're on a journey here".

He added that the number of return points "would obviously increase" over time.

Wales is the only UK nation to include glass in its DRS and has faced a backlash from the drinks industry which warned of increased prices and reduced choice.

Referring to the concerns expressed by the drinks industry about increased costs and the complexity of having glass in Wales' DRS, Gruffydd said the government would be "working on exclusions for smaller producers and flexibilities around smaller retailers as well".

Gruffydd said: "The scheme will include plastic (PET), metal and glass drinks containers from day one, but in line with the Deposit Scheme for Drinks Containers (Wales) Regulations 2026, a four-year transition period will apply to glass drinks containers, during which glass drinks containers will be exempt from labelling requirements and carry a zero pence deposit."

He added the DRS would "tackle litter while supporting the collection of high-quality recycled materials" and would "help provide a pathway towards the roll-out of reuseable drinks containers" in Wales.

The drinks industry welcomed the appointment of Exchange for Change, which was "a crucial milestone in delivering a successful DRS by October 2027" according to British Soft Drinks Association director general Andy Bagnall.

Bagnall warned that preparations were "already well advanced for launching the DRS in October 2027 for England, Scotland and Northern Ireland", and "delivering the scheme in Wales within such a short timeframe means there can be no further delays".

He said the Welsh government's decision "to include glass from day one also creates significant additional operational complexity" and called on ministers to be "realistic about what's possible" before launching.

Exchange for Change called it an "important milestone" that would help deliver an "effective and efficient scheme".

The company said the DRS was a "transformational opportunity to change how we manage waste in the UK", adding it was "looking forward to working closely with the Welsh government to take the scheme forward".