Rhode Island Draft Plan Puts $35.5M in Lost Packaging Value in Play

Rhode Island throws away an estimated $35.5 million in commodity value every year, according to a draft needs assessment that could shape the state's next move on packaging policy. The Rhode Island Department of Environmental Management is accepting public comments until Nov. 16, with a final version due to lawmakers by Dec. 1.

The report, prepared by consulting firm RRS, targets paper and plastic packaging — roughly 45% of Rhode Island's waste stream. The state currently diverts 13% of its waste, well short of its 35% recycling and 50% diversion goals. RIRRC's Central Landfill has about 20 years of capacity left.

For brands and retailers, the stakes are straightforward: several of the modeled options would shift costs to producers.

Why a study instead of a law?

In 2025, Rhode Island lawmakers proposed a bill pairing a 10-cent container deposit with a packaging EPR system. A last-minute overhaul stripped out most of it. Environmental groups wanted higher recycling rates and less landfill strain. A coalition led by the American Beverage Association countered that the bill would create new costs for small businesses and raise consumer prices. The compromise: a study, conducted by DEM and the Rhode Island Resource Recovery Corp. with an independent third party.

During a recent webinar, RRS co-CEO Resa Dimino said the report is designed to offer a wide scope of options. She called the "as-is" baseline "unlikely to move dramatically towards the state's diversion targets," citing "fairly low" recovery rates and contamination problems.

What are the five options and what do they cost?

The assessment lays out five scenarios, each with a modeled diversion rate and price tag:

• As-is: No action. Stays at 13% diversion. Net cost about $13.2 million.
• EPR plus deposit return: Based on the original 2025 bill. 33% diversion if fully funded by producers.
• Packaging EPR only: 29% diversion.
• Bottle bill only: 20% diversion. Cost around $22 million.
• EPR Plus: Adds reuse programs and single-use plastics measures, modeled partly on Oregon and California. About 47% diversion. Up to $77 million.

That $77 million looks steep, but RRS notes a caveat worth flagging: every plan with an EPR component assumes producers pay the costs, including curbside services. That structure could save municipalities roughly $200 per ton.

So the real question for packaged-goods marketers isn't whether the options are expensive — it's who absorbs the bill. Under the higher-performing scenarios, it's the brand side, not the taxpayer.

What happens next?

The public comment window runs through Nov. 16. RRS says the data and estimates could support future bottle bills, EPR programs or other diversion plans, and the final assessment lands with lawmakers by Dec. 1. If legislators pick anything beyond the status quo, packaging producers selling into Rhode Island should expect new fees, new design requirements, or both — the report has already priced the alternatives for them.