Aldi UK CEO Giles Hurley has urged the government and retailers to work together on upcoming environmental legislation, with extended producer responsibility (EPR) plans set to roll out in 2024.
The new environmental regulations, which will see businesses paying the cost of handling the packaging waste that they create, are expected to add to the cost pressures that inflation is already causing on food prices.
“When I look at our pledges, this absolutely makes sense. What we need to make sure is we don’t move at a pace or in a way that has unintended consequences around product costs, particularly in light of current inflation challenges,” Hurely told The Grocer.
“It’s about working in collaboration with government because no one disagrees with the aims.”
The Aldi boss has also urged for a UK-wide approach on introducing a deposit return scheme (DRS).
Subscribe to Grocery Gazette for free
Sign up here to get the latest grocery and food news each morning
Scotland is set to launch its proposed DRS on 16 August, however many supermarket bosses – including Hurley – have expressed concern over its plans.
“There’s a level of challenge – there appear to be some elements of the system the Scottish government can’t decide in terms of collaboration with Westminster,” he said.
“The industry is on the whole understanding that we need to implement a system. The preference is that we take a UK approach because on the whole that’s simpler, more efficient, more cost-effective, which is good news for customers and for business.”
However, he added that a DRS is “in line” with the discount grocer’s strategic aims “to reduce and recycle.”
“We (Aldi) operate these systems in our European business, so we’re relatively familiar with them. We just want a level of clarity on how the systems are going to operate and then we can get on board.”
The scheme, which involves consumers receiving a small cash fee for any bottles returned to ‘reverse vending machines’ in supermarkets, looks to reduce litter and plastic pollution.
However, despite calls from campaigners for it to also be introduced in England, since it was first announced by Michael Gove in 2018, the Department for Environment, Food and Rural Affairs (Defra) is not set to implement the scheme until October 2025.
Environment secretary, Thérèse Coffey recetly urged Scotland’s first minister, Humza Yousaf to postpone the country’s August rollout plans and instead join England, Wales and Northern Ireland’s October 2025 launch.
