Deposit return scheme (DRS)

A deposit return scheme (DRS), known in Spain as the sistema de deposito, devolucion y retorno (SDDR), is a waste-management mechanism in which the consumer pays an extra deposit when buying a packaged product and recovers it when returning the empty container at a designated point. The aim is to drive high-quality separate collection of packaging, reduce litter in the environment and ensure that recovered materials are clean enough for high-grade recycling or reuse.

In Spain the dominant model has been kerbside separate collection through colour-coded bins (yellow, blue, green), but a DRS for single-use beverage containers is now moving from debate to implementation, as explained below.

Legal basis

The Law 7/2022 on waste and contaminated soil for a circular economy and Royal Decree 1055/2022 on packaging and packaging waste provide for deposit return schemes in line with EU rules. At European level, the Single-Use Plastics Directive (EU) 2019/904 requires Member States to separately collect single-use plastic beverage bottles at rising rates: 77% by 2025 and 90% by 2029. The Spanish framework adds interim targets of 70% by 2023 and 85% by 2027.

How a DRS works

1. Purchase: the consumer pays the product price plus a deposit (for example, around 0.10 EUR per container).
2. Use and return: after use, the consumer returns the empty container to a reverse-vending machine or collection point.
3. Refund: the deposit paid at purchase is refunded.
4. Handling: the containers are sorted and sent for recycling or reuse.

Types of DRS

• For single-use packaging: plastic bottles and cans.
• For reusable packaging: returnable glass and plastic bottles.
• Mixed: covering both single-use and reusable packaging.

Benefits

Environmental

• Less packaging abandoned on beaches, in rivers and in public spaces.
• Higher-quality recovered material for recycling.
• Increased separate-collection rates.

Economic

• Savings in municipal clean-up costs from littering.
• Job creation in collection logistics and management.
• A stronger supply of high-quality recyclate for the recycling industry.

Social

• Greater citizen involvement in recycling through a direct financial incentive.
• A positive sustainability image for brands.

Criticisms and limitations

• High set-up costs (infrastructure and reverse-vending machines).
• Potential duplication with the existing yellow-bin system during the transition.
• Impact on small retailers, which may need to provide space for returns.
• Complex logistics in rural or dispersed areas.

Regulatory status in Spain (2026)

Royal Decree 1055/2022 established that if the separate-collection targets for single-use plastic beverage bottles are not met, a DRS must be implemented across Spain within two years. According to the Ministry's own figures, the 2023 target of 70% was missed by a wide margin (collection was reported at around 41%), which has triggered the obligation. As a result, Spain is moving towards a mandatory deposit return system for single-use beverage containers, rather than treating it as a distant possibility.

Link to the circular economy

A DRS is a practical example of the circular economy applied to packaging, because it secures high-quality collection, facilitates the reuse of glass and plastic containers, and reduces dependence on virgin raw materials. It also helps Spain meet EU packaging collection and recycling targets.

Conclusion

A deposit return scheme is an effective tool to raise packaging-collection rates and cut litter. After years of debate, the failure to meet the 2023 collection target has set its mandatory roll-out in motion in Spain. Its success will depend on economic viability, public acceptance and how well it integrates with the current collection system. At Manglai we help companies measure their environmental footprint and prepare their sustainability reporting, including the packaging and waste data behind circular-economy strategies. Discover how Manglai can help you.