A Redemption Centre (RC) Service Agreement was recently finalized between Encorp and RC operators to ensure the continued collection of deposit-bearing used beverage containers (UBCs) through the network of independently owned RCs. This Agreement is an important first step in officialising our business relationship with RCs and ensures we will be able to continue to collaborate with RCs throughout the province over the coming years, under the new extended producer responsibility (EPR) program model.
The 7-year Agreement will help ensure financial stability for RCs by increasing fees paid by Encorp and providing subsidies (presence fees) for small and rural centres. For consumers, the Agreement enhances recycling accessibility by increasing Saturday hours (6 hours year-round) and improves used beverage container (UBC) transaction traceability/transparency through our EnSys-Connex point-of-sale (POS) system.
Unfortunately, throughout the process, a few RC operators chose to close, either for personal reasons or simply not wanting to meet some of the terms stated in the Agreement moving forward, and we are working hard to ensure there is access to recycling in those areas. To that end, we have issued a request for proposals (RFP) for Rogersville and will be issuing an RFP soon for Richibucto, the two regions currently affected by closures, and we have interested parties looking at the opportunity. We hope to have a resolution on this shortly.
We at Encorp, along with our partners who operate RCs, share the same goal. This goal is to improve the recycling system in New Brunswick and have more consumers return their recyclable containers. Progress towards this goal helps the environment, and with the recent increase to full refunds on beverage container deposits, puts more money back in the pockets of New Brunswickers.
As stated in our Stewardship Plan, we remain committed to enhancing the beverage container return/redemption experience, making UBC collection more accessible in public spaces like schools and outdoor events, reducing littering, and focusing on youth education and outreach to foster a new generation of lifelong recyclers. We will continue to expand our communications and education efforts to encourage more New Brunswickers to return and redeem their UBCs through the network of RC locations, as well as explore all available options that can increase recycling accessibility and convenience for consumers.