New South Wales (NSW) is likely to adopt a bottle recycling scheme similar to that of South Australia where people are awarded with cash back for recycling bottles.

Coca-Cola Amatil (CCA) has confirmed the acceptance of a letter addressed to the National Packaging Covenant Industry Authority (NPCIA) from the NSW Government related to a container deposit scheme and is examining different approaches to encourage recycling and litter reduction targets.

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The letter stated that the government considers the NPCIA proposal a significant policy and funding risk.

"The company further said in its statement that the government has invited the industry to participate in further discussions."

It also said the NSW Government has obtained independent advice that says a CDL scheme using reverse vending machines and targeting containers consumed away from home will help in reducing litter and increasing recycling.

Currently, Sydney’s city council is in the process of trialling two of the reverse vending machines that offer rewards for recycling, ranging from free swims at council pools to food vouchers and the chance to win tickets to Moonlight Cinema or Bridge Climb.

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The company further said in its statement that the government has invited the industry to participate in further discussions.

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CCA said: "The government has stated that it believes that greater commitment and contribution from industry is required to reduce packaging waste litter and increase packaging recycling.

"As no final decision has yet been made on the programme to be implemented in NSW, CCA is not in a position at this stage to quantify the financial impact on its business of such a scheme being introduced."