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Semi-related: Can someone explain to me California CRV on recyclable containers? My understanding is that this is meant to encourage recycling, but the deposit

by jeromec 16y ago

Semi-related: Can someone explain to me California CRV on recyclable containers? My understanding is that this is meant to encourage recycling, but the deposit amount you pay at the store doesn't equal what you get when you recycle your containers. I checked out the Wikipedia page, and it explains how the "Redemption Value" has changed over the years. If you take one of those large 2.5 Gallon containers of Arrowhead Water you are charged an additional $.50 each! There is no way you get that much to recycle it. How many bottles are sold annually in California? That looks like clear additional tax revenue. To add insult to injury, you are charged sales tax on the CRV deposit! http://en.wikipedia.org/wiki/California_Redemption_Value http://en.wikipedia.org/wiki/California_Redemption_Value

_delirium 16y ago
I believe the private recycling companies that operate the redemption centers do get the full CRV, rather than the state keeping it (though the state keeps the sales tax on the CRV). If you go as an individual to a recycling company to return containers for a refund, they pay you less than the CRV, the difference going to their costs and profit. Since it seems to not be a very competitive market (recycling centers aren't really competing for your business by offering higher redemption values), almost all of them pay the minimum redemption value that CA law requires them to pay.
- jeromec 16y ago
  Thanks for the explanation, but I don't think I feel better about it. If the recycling center gets my deposit I'm wondering why they need it. I thought the point of a recycling center was that the material they collect (aluminum, plastic, paper etc.) is profitable to collect. The CRV is labeled as a "deposit". To me that should be like a bank term, i.e., you can reclaim what you leave initially. I'm at a loss to understand why this deposit is not fully refunded (which would further encourage recycling!), or at least something reasonable like say 75%.
  - graywh 16y ago
    Sounds like they could use to increase the deposit and minimum refund amounts.
  - _delirium 16y ago
    I think only aluminum is unquestionably profitable to collect; everything else is marginal or a loss. But yeah, there does seem to be some bait-and-switch here.

by jeromec 16y ago

_delirium 16y ago

I believe the private recycling companies that operate the redemption centers do get the full CRV, rather than the state keeping it (though the state keeps the sales tax on the CRV). If you go as an individual to a recycling company to return containers for a refund, they pay you less than the CRV, the difference going to their costs and profit. Since it seems to not be a very competitive market (recycling centers aren't really competing for your business by offering higher redemption values), almost all of them pay the minimum redemption value that CA law requires them to pay.

jeromec 16y ago
Thanks for the explanation, but I don't think I feel better about it. If the recycling center gets my deposit I'm wondering why they need it. I thought the point of a recycling center was that the material they collect (aluminum, plastic, paper etc.) is profitable to collect. The CRV is labeled as a "deposit". To me that should be like a bank term, i.e., you can reclaim what you leave initially. I'm at a loss to understand why this deposit is not fully refunded (which would further encourage recycling!), or at least something reasonable like say 75%.
- graywh 16y ago
  Sounds like they could use to increase the deposit and minimum refund amounts.
- _delirium 16y ago
  I think only aluminum is unquestionably profitable to collect; everything else is marginal or a loss. But yeah, there does seem to be some bait-and-switch here.