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TOMRA has entered into a long-term agreement to equip new recycling depots to be launched in Quebec starting in 2024. Following Quebec's recent expansion of its deposit return system (DRS), the agreement with the local producer responsibility organization, the Quebec Beverage Container Recycling Association (QBCRA), will see the installation of approximately 1,350 TOMRA machines.
The depots automated by TOMRA include smaller, urban depots that will purchase the reverse vending infrastructure and subscribe to a service agreement, and larger depots that will operate on a throughput revenue model (where TOMRA is paid based on the number of containers returned through their equipment). The roll-out will begin in the first quarter of 2024 and continue over three years, during which time TOMRA will gradually make an investment of approximately 430 million NOK in the new infrastructure. TOMRA targets an average annual return on the invested capital of more than 20%.
Prior to November 1st, the DRS included only beer/soft drink cans, PET and a small portion of one-way glass. Now it will expand to all drinkable beverages between 100ml and 2L, including all cans, plastic and glass bottles, and cartons. The deposit/refund value has also increased from 5 cents to 10 cents, except for glass, which has increased to 25 cents. Quebec was until now a return-to-retail model, but the province will now move to a "hybrid" return model with the introduction of bottle depots or redemption centers. Further expansion is planned for March 2025, with more container types and return locations targeted.
Asker, 13 November 2023
TOMRA Systems ASA
For further information, please contact:
Daniel Sundahl, Head of Investor Relations, Tel: +47 91 36 18 99
About TOMRA Collection:
TOMRA Collection provides reverse vending machines for Clean Loop Recycling, to transform society's habits and keep valuable resources in a continuous loop of use and reuse. The company's solutions collect aluminum, plastic and glass beverage containers to be continually reused and recycled back into new bottles and cans. With approximately 82,000 installations across more than 60 markets, TOMRA reverse vending machines capture over 45 billion used bottles and cans each year. This reduces reliance on raw materials, and ensures fewer containers end up in our streets, oceans and landfills. TOMRA's reverse vending machines, digital solutions and service make recycling easy for the industry, system owners, retailers and consumers to contribute to a more sustainable planet. Visit our Reverse Vending pages (https://www.tomra.com/en/reverse-vending) on tomra.com (https://www.tomra.com/en), and follow us on Facebook (https://www.facebook.com/TOMRACollection/), Twitter (https://twitter.com/TOMRACollection), Instagram (https://www.instagram.com/tomracollection/) and LinkedIn (https://www.linkedin.com/company/tomra-collection-solutions).
TOMRA Collection is a division of TOMRA Group. Today, TOMRA is leading the resource revolution to transform how the planet's resources are obtained, used and reused to enable a world without waste. The company's other business divisions comprise TOMRA Food and TOMRA Recycling. The Group employs approximately 5000 globally and is publicly listed on the Oslo Stock Exchange.