RFID “Chip It” Program Allows European Reusable Packaging Pool (CC) to Reduce Fee

Reduced CC Container Pool Fees

In 2010, Container Centralen (CC) carried out Operation Chip It, where all CC Containers were RFID tagged. During the accompanying information campaign, CC promised to reduce the annual pool fee by € 0.50 per CC Container. As per 1 January 2012, the new lower prices have already taken effect, but continuous system protection is needed to keep prices low.

It is now a year ago that the CC Containers in Europe were equipped with a red ‘padlock’ with built-in RFID – “electronic ID labelling”. The main purpose was to increase the overall quality of the container pool while also protecting the shared industry investment of € 300 million by closing the pool to free riders and low-quality copy containers.

The annual CC Container pool fee has now been reduced by € 0.50, but continued attention is needed from all users to ensure that prices stay low. Tonny Vangsgaard Gravesen, CEO, Container Centralen A/S

– “The RFID implementation was a success and the CC Container pool is closed as expected. Also, many users are beginning to use the technology to optimise their logistics and not just for checking the authenticity of the containers,” says CC’s CEO Tonny Vangsgaard Gravesen, and he continues, “Having closed the pool, we are now able to reduce the annual pool fee by € 0.50 as promised. We didn’t increase the pool fee according to the inflation rate in 2011, and the price reduction in 2012 is based on this price and therefore not inflation indexed in 2012 either, meaning a real price reduction of € 0.50 plus two years’ inflation of approx. 6%. In 2013, we will be back to normal again with the inflation indexations, but after the indexation the pool fee will be reduced by another € 0.50 as promised.”

CC has previously mentioned that closing the pool and thus keeping repair costs down is essential to protect the system and keep prices low.

– “We must all consistently take part in the protection of our shared system,” says Tonny Vangsgaard Gravesen. “CC as well as our customers, have invested heavily, and our customers actually own more than half of the CC Containers. We all have to fight to keep the pool closed and protect our shared investment. If we don’t keep out the illegal containers from the system, we risk that the number of illegal containers will start growing again and then we risk losing the savings that we have now obtained,” says Tonny Vangsgaard Gravesen.

Although the CC Container system is now closed, it is still possible to contact CC to have quality containers legally accepted in the system. They must, however, live up to the CC Container quality standards, which will be checked and approved by an independent quality inspection company.

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