May 14, 2026

Deposit Return System (DRS)

Sr.No	QUESTION	SOLUTION
1	What is DRS	A Deposit Return System (DRS) is a recycling initiative where a small, refundable surcharge is added to the price of beverage containers (plastic, glass, or cans) at purchase. Consumers reclaim this deposit by returning empty containers to designated collection points or reverse vending machines.
2	Why it is required	High Recycling Rates: Often leads to over 90% return rates, significantly higher than traditional curbside recycling. Reduced Litter: Incentivizes proper disposal, reducing environmental plastic pollution. Quality Materials: Ensures cleaner, sorted materials for recycling, promoting a circular economy.
3	Where it is adopted	Global Adoption: Extensively used across Europe and other countries to boost sustainability including Germany, Sweden, Denmark, etc., with high success rates.
4	Indian Adoption	Goa launched and started implementation, while Kerala Beverage Company has floated tenders for similar projects.
5	Why India Need	EPR Guidelines issued by the Government of India require 30%–90% recycled plastic to be reused. This is possible only when quality waste pickup processes are executed. Supports India’s vision to become a developed nation by 2047. Creates organized employment opportunities. Encourages movement toward an organized waste management platform.

Sr.No	CONCERN	SOLUTION
1	Geographical Planning	Sales and consumption mapping with waste generation and geography mapping.
2	Deposit Value + Mode of Collection	Joint planning regarding the value to be collected against sales, escrow account setup, and mode of return.
3	System	Freeze the mode of collection using mechanized IoT-enabled RVMs. Technical specifications to be finalized.
4	Collection of Waste	Setup of infrastructure for collection of waste from RVMs and other channels along with MRF setup.
5	Refund	Refund the equivalent value of collection made through sales from the escrow account verified by RVM data.
6	Recycling	100% recycling through MPCB-approved recyclers with MOU sign-off.
7	Phase 1	Implement in one city and cover the waste generated within that city.
8	Add on Benefits	EPR credit availability. 365 days of visibility through RVMs. Consumer engagement and connection. Support for your campaign (PCB). Promotional product launches on RVMs.

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