A Deposit Return Scheme for Scotland: Final Business Regulatory Impact Assessment

11. Enforcement, Sanctions and Monitoring

301. In order to deliver an ambitious DRS for Scotland sufficient enforcement, sanctions and monitoring systems will be put in place.

302. The Draft Deposit and Return Scheme for Scotland Regulations 202076 were laid before the Scottish Parliament in September 2019 for a 91-day representation period. The final Regulations were laid on 16 March 2020 and passed by the Scottish Parliament on 13 May 2020. A scheme administrator, Circularity Scotland Limited was approved by the Scottish Ministers on 24 March 2021. Its members include drinks producers, trade associations and retailers and it is working with businesses throughout the supply chain to deliver DRS.

303. The scheme administrator's operational activities will need to be undertaken in accordance with all other relevant legislative requirements, including for example, the Environmental Protection Act 1990, the Environmental Protection (Duty of Care) (Scotland) Regulations, The Environmental Authorisations (Scotland) Regulations 2018, Waste (Scotland) Regulations 2012, Trans- Frontier Shipment of Waste Regulations, Consumer Rights Act 2015 and Business Protection from Misleading Marketing Regulations 2008.

304. Monitoring the Scheme Administrator – SEPA has been appointed as regulator for the purposes of the scheme and will monitor the compliance of the scheme administrator with the DRS Regulations. SEPA will request and review operational plans and reports that detail performance of the scheme administrator against the obligations set out in legislation, namely the collection targets. Sanctions will be put in place and enforced if the scheme administrator fails to comply with its legal obligations.

305. Monitoring Retailers and Producers - SEPA will have a role in monitoring and enforcing waste compliance such as waste storage, transport and treatment of scheme packaging. In addition, trading practices which specifically impact on compliance with the DRS regulations will be managed by SEPA.

306. Monitoring Consumer Concerns – Consumer complaints with regards to DRS will be received, triaged and addressed by SEPA.

307. The Deposit and Return Scheme for Scotland Amendment Regulations 2022 will amend SEPA's investigatory powers under DRS to align them with similar powers for other environmental regimes. This is so that SEPA officers will be able to require a person to provide their name, address and date of birth for the purpose of identification and to compel an individual to attend at a designated time and place for an interview. The amendments also clarify what information provided to SEPA may be admissible as evidence. This will enable SEPA, as the regulator, to better identify witnesses and allow for planned, safer and more effective evidence gathering when responding to potential DRS non-compliance.

308. The secondary legislation establishing the scheme will be kept under review during its introduction and operation.