Forget to offer a reusable cup in the morning rush and a barista could be fined $22,000, the NSW Opposition says.
Under the Environmental Legislation Amendment (Plastic Reduction and Container Recycling) Bill 2026, cafés and takeaway businesses would have to offer customers a reusable cup through a reuse scheme. They could not charge for it.
Coffs Harbour MP Gurmesh Singh says the plan piles more cost and red tape on struggling businesses.
“Café owners are working longer hours, watching every dollar and trying to keep their prices affordable,” Mr Singh said.
“Labor’s answer is to give them another cost to absorb, following changes to credit card surcharges and another rule to follow.”
The Liberals and Nationals moved amendments this week to scrap the mandatory scheme, exempt small businesses, and remove the ban on setting their own charges. Labor and the Greens voted against every amendment.
The Opposition points to a record 1,907 NSW companies going bust in the September quarter. That is up 46.1 per cent on the same period last year and the highest quarterly total since records began in 1999.
“The Government expects businesses to stock, clean and replace reusable cups, then tells them they cannot charge for the service,” said Shadow Minister for Small Business Gurmesh Singh.
“Those costs have to come from somewhere.”
Shadow Minister for Environment Felicity Wilson says the Government has failed to explain how the scheme would work in practice.
“Who pays for cups that are never returned? How will cafés collect and clean them? How is this supposed to work during the morning rush?” Ms Wilson said.
The Liberals and Nationals support requiring cafés to accept customers’ own clean reusable cups from 2028. Many cafés already do.
“Everyone wants to reduce plastic waste, but that requires a practical scheme developed with the businesses that will deliver it,” Ms Wilson said.
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