Latvia is set to implement a deposit system for disposable e-cigarettes, mirroring the established model for beverage containers. A proposal currently under review by the Cabinet of Ministers aims to introduce a 0.50 euro deposit fee per device to combat the growing problem of electronic waste.
Under the proposed regulations, retailers will charge consumers the 0.50 euro deposit at the point of sale. This fee will be refunded to the consumer in cash or via cashless transaction once the used e-cigarette device is returned to designated collection points, primarily automated machines.
The initiative, driven by a need to manage the environmental impact of discarded e-cigarettes, seeks to drastically increase recycling rates. Data from a 2024 study by the Latvian Waste Management Companies Association revealed that in 2023, approximately 15 million disposable e-cigarettes were discarded in Latvia. Of these, only about 5% (750,000 devices) were collected for recycling, with the vast majority – 14.25 million units – ending up in landfills.
To facilitate this, the operator of the deposit system will ensure that collection points are strategically located in high-traffic retail areas. By January 1, 2028, major cities and regional administrative centers will be required to have at least one e-cigarette collection point.
Collection targets are phased in: from February 1, 2027, to the end of 2027, the system operator must achieve a collection rate of at least 50% of devices placed on the market. This target will rise to a minimum of 80% starting January 1, 2028.
The establishment of this infrastructure involves substantial investment. Industry estimates suggest that acquiring and installing each e-cigarette collection machine could cost around €25,000 (excluding VAT). With a planned deployment of at least 125 machines, the initial hardware expenditure is projected at approximately €3.781 million, inclusive of VAT. These figures do not account for additional costs related to IT solutions, central processing, logistics, and overall system operation.
The legal basis for this new system was established earlier this year when the Saeima (parliament) passed amendments to the Waste Management Law. These amendments mandate the creation of a nationwide deposit system for non-rechargeable e-cigarettes, effective from February 1, 2027. Producers and distributors will be required to contract with the system operator, and consumers will pay the deposit upon purchase, with the refund issued upon return of the used device.
