This study is to assess the possibility of implementing deposit refund schemes for the proper disposal of plastic bottles in Islamabad, Pakistan. As we know that Pakistan is a developing country and the formal sector of waste management is not involved in the recycling activities. And, most of the plastic bottles are incinerated or dumped to the landfills outside main cities. So, to facilitate the recycling of these bottles, the proposed integration of waste scavengers/pickers in the informal waste collection with the deposit refund schemes can pay dividends on both environmental front and income generation for the waste pickers. The information regarding the consumers socio-economic, their awareness regarding the harmful impacts of plastic bottles, their use and disposal behavior and their willingness to pay/accept an amount of refundable money for plastic bottles, is collected through well-structured questionnaire in the major residential area of Islamabad. The information from waste pickers of their average income from plastic bottles and to whom they usually sell these bottles, is collected through field surveys and face-to-face interview. In order to explore the relation between consumers willingness to accept/pay, qualitative regression model is employed. The empirical results of this study shows that most of the consumers are well aware of the negative impacts of the plastic bottles and is willing to accept/pay an amount of money: Rs. 4.5 for half liter and Rs. 6.5 for one liter bottles, Similarly, they are willing to pay Rs. 3 for half liter and Rs. 6 for one liter bottles. Which when treated in relation with waste pickers income from per kg (Kilogram) plastic bottles amounts to Rs. 104 instead of average Rs. 30 per kg. Hence, the government need to intervene by devising a framework for the integration of waste pickers into the formal waste collection and implement the policy of deposit refund schemes for the proper disposal of plastic bottles through a chain of plastic bottle manufactures and retailers Supervisor :- Dr. Rehana Siddiqui