The Northern Territory Government's new legislation to introduce a container deposit scheme in the NT in January has led to an industry outcry.
The law will see a 10 cent deposit being put on cans and drink bottles that can be redeemed by Territorians when they take empty containers to a recycling depot.
But Coca-Cola Amatil said the beverage industry was planning to take the NT Government to court for a legal challenge over the plan.
Corporate affairs manager Alec Wagstaff said the law was breaching the Commonwealth Mutual Recognition Act.
"(The Act) says if a product is legal to sell in one state, it is legal to sell in another state," he said.
"So for one state, or in this case Territory, to go it alone and create a non-harmonised regulatory system, we believe breaches that Act."
Chief Minister Paul Henderson told the ABC he is outraged, but not intimated by the threat.
"How dare big business from down south try and intimidate Territorians by saying we are going to take this legislation to court," he said.
"Well, I've got something to say to Coca-Cola: We'll meet you in court."
The Australian Greens said Coca-Cola Amatil's plan to use legal action to "sabotage" the NT Government's plan for the new container deposit system was an "insult to the Territory's sovereignty and a disgraceful attempt to shirk responsibility for waste".
Greens spokesperson for waste management Senator Scott Ludlam said the Territory's plan for a container deposit scheme based on the South Australian model should be defended against the industry's shameful attack.
"The (container deposit system) will see a big increase in recycling and a big fall in containers going to landfill - it will reduce litter and it will create jobs in the recycling industry," Senator Ludlam said.
"The attempt by Coca-Cola Amatil to challenge this law is a disgusting attempt to dodge responsibility for dealing with the waste the company produces, and to derail a plan that will be of huge benefit to Territorians. It is selfish in the extreme.
"The company is acting out of cynical self-interest and drawing an extremely long bow here."
Today NT Environment Minister Karl Hampton called on the beverage industry to drop their attempts to overturn the new scheme.
“Territorians support Cash for Containers because it makes sense,” Mr Hampton said.
“The scheme has been in place in South Australia for decades and it works.
“I am extremely disappointed to hear of industry’s plan to drag Cash for Containers through the courts to try and stop our scheme from going ahead.
“Territorians want cash for their containers – not a legal challenge that will do nothing to clean up our environment.”
Mr Hampton called on CLP Opposition leader Terry Mills to support Territorians and join the Government in condemning the actions of the industry.
But Shadow Attorney General, John Elferink, said the announcement that major beverage producers were seeking to overturn the Territory’s container deposit legislation should "come as no surprise to a ... government that was warned its laws were deficient without support at the national level".
“In the Legislative Assembly in February ... I noted that the government has now, by its own admission in this place, acknowledged it does not have in its possession the required acquiescence of the other jurisdictions under the operation of the Mutual Recognition Act 1992.”
“As a consequence of that, the government of the Northern Territory will, in all likelihood, find itself having to fight the legitimacy of this legislation in a court.”
“The Territory Labor Government has backed itself into this corner with its rushed legislation and it is Territory consumers and the community who will be worse off because of it, Mr Elferink said.
Minister Hampton said he was "extremely disappointed" that Mr Elferink backed Coca-Cola.
“But I am not surprised," he said.
"The CLP have been looking for any opportunity to walk away from Cash for Containers.
"The Government’s preference is for the beverage industry to accept the wishes of Territorians, just like they do in South Australia, but if required the Government will meet the industry in court and stand up for Territorians."
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