At 10 cents a pop, the bottles could prove a lucrative money-maker for residents who will have access to an over-the-counter Return and Earn service for the first time.

The recycling program will lessen the burden of plastic waste, Northern Tablelands MP Adam Marshall said.

"Securing a Return and Earn outlet for Uralla has been the one silver lining which has resulted from this water contamination issue," he said.

"From Monday, January 6, residents can turn up to The Trader Store with up to 100 bottles per day and a store assistant will count the containers and issue a cash refund.

"With every eligible bottle worth 10 cents, this is a great opportunity for some enterprising local youngsters to make some extra pocket money these school holidays while at the same time do their bit for the town and the environment."

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Uralla Shire Council staff detected high levels of arsenic in the town water in November, and residents have been warned not to consume it due to health risks.

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