Dive Brief:

• Connecticut Governor Dannel Malloy wants to raise the deposit for bottles and cans to 10 cents by July 2018 per his latest budget proposal, as reported by the New Haven Register.
• The current rate of 5 cents for cans and bottles of soda, water and beer has been in place since 1980. Increasing the rate could generate an additional $12 million per year for the state.
• Redemption centers have previously requested an increase from the current 1.5-cent processing fee they receive and say that would be especially necessary to handle increased volume from a higher deposit amount.

Dive Insight:

In addition to raising revenue, this is seen as a way to further improve the redemption rate for bottles and cans. According to Connecticut's Department of Energy and Environmental Protection, the state's rate was 42.3% in the second quarter of 2016. Though this number has been much higher in the past and shifts widely year to year. Michigan, the only state with a 10-cent deposit for all accepted containers, reported a 96% average redemption rate in 2014.

Oregon is expected to raise its deposit to 10 cents this spring, but the other states with deposit systems are all staying at 5 cents for now. In many cases, that amount has been in place for decades. While it doesn't stop large-scale recycling operations, both legitimate and otherwise, the low return isn't as enticing to the average resident anymore. The costs involved with running these operations has been challenging for some recyclers as well and Connecticut's processing fee is indeed lower than in other states such as New York.

This proposal is the latest recycling-related effort in Connecticut, where state and local officials are working toward a goal of 60% diversion by 2024. The state plans to expand its organics recovery efforts and is also considering a new product stewardship law that has attracted opposition from some in the recycling industry.