100,000 Disposable Cups Returned in One Month Under Deposit System... "Encouraging Participation Over Enforcement"

[Asia Economy Sejong=Reporter Dongwoo Lee] Approximately 98,000 disposable cups have been collected within one month of implementing the deposit system for disposable cups in the Sejong and Jeju areas. For the time being, the plan is to encourage participation rather than impose fines for non-compliance with the cup deposit system.

The Ministry of Environment announced on the 5th that from the implementation date of the deposit system on the 2nd of last month until the 3rd of this month, consumers have reclaimed a total deposit amount of 29,397,300 KRW. Considering the deposit is 300 KRW per cup, this means a total of 97,991 cups were collected.

The disposable cup deposit system requires customers to pay a 300 KRW deposit along with the beverage price when receiving a drink in a disposable cup at food and beverage franchise stores, which is refunded upon return. The system aims to increase the recycling rate of disposable cups and reduce their usage.

The Ministry of Environment reported that the number of cups collected during the second week of the deposit system implementation (from the 5th to the 11th of last month) was 17,260 cups (deposit refunded: 5,178,000 KRW), which increased by 62% to 27,954 cups (8,386,200 KRW) by the fifth week (from the 26th of last month to January 1st of this year).

During this period, the Ministry estimated the disposable cup collection rate to be around a maximum of 30%. However, it added that it is difficult to immediately estimate precise figures as it takes time to verify how many disposable cups were used at each store. The Ministry expects to confirm the cup collection rate by the end of next month.

The target of the disposable cup deposit system includes 652 stores of food and beverage franchise brands with more than 100 stores nationwide, located in Sejong (Dong area) and Jeju. Excluding 130 stores that use reusable cups instead of disposable cups, there are 522 stores subject to the system. Considering this, about 40% of stores are effectively boycotting the deposit system.

The Ministry of Environment stated that there are no plans to crack down on non-compliant stores or impose fines for the time being. Legally, failure to comply with the deposit system can result in fines up to 3 million KRW. The authority to enforce and impose fines lies with local governments, so enforcement and fines may be carried out depending on local government policies. The Ministry said, "We are preparing a revision of the enforcement decree to allow local governments to expand the scope of the deposit system through ordinances, and plan to announce the legislative notice as early as next week."

Regarding the nationwide implementation of the deposit system, the Ministry of Environment set a deadline of "within three years." This means the disposable cup deposit system will be implemented nationwide by 2025. However, the specific implementation schedule will be finalized after evaluation.