Describe EPR for Used Oil

The Ministry of Environment, Forest, and Climate Change (MoEFCC) of India has recently published a notification regarding an amendment in the Hazardous Waste Management Rules which includes new provisions of EPR for Used Oil. This amendment that is to take effect from the 1st of April 2024 seeks to establish a policy on the management of waste oil generated by manufacturers, importers and recyclers of the same. This is a commendable move as it comes close on the heels of the EPR for Tyre Waste that was enacted in 2022, proving the Indian government’s concern towards protection of the environment through proper waste management.

According to Rule 3 of the Hazardous Waste Management Rules of 2016, used oil means any oil or oil mixture which is derived from crude oil or synthetic and is suitable for re-refining. This includes; spent engine oil, gear oil, hydraulic oil and the others provided that they are in compliance with the provisions of Part A of schedule V of the rules. The above does not include waste oil which has different disposal methods as that of used oil.

U.S. EPA and EPR compliance in used oil management

The EPR legislation for Used Oil is the fifth such policy in India with the previous one being E-Waste, Plastic Waste, Tyre Waste and Battery Waste. This policy tends to strengthen the management of used oil and thus encourage sustainable development and circular economy. Through the implementation of EPR, the government lays down certain rules and regulation that must be followed by the producers, recyclers, collection agents and importers of used oil.

This framework also has the effect of minimizing the pollution of the soil and water as a result of disposal of used oil as well as encouraging the recycling of the used oil through re-refining thus reducing emission of green house gases. Besides, EPR compliance influences the shift towards a circular economy through the proper management of waste oil through the systematic approach of recovery and recycling to minimize the use of natural resources, especially crude oil. In this regard, EPR for used oil is therefore instrumental in the protection of the environment as well as promoting sustainable industrial development.

Entities Necessary For EPR Registration for Waste Oil

EPR registration for waste oil applies to:EPR registration for waste oil applies to:

  • Producers: a business of crude oil or base or lubrication oil for sale within the Indian territory.
  • Recyclers: Basically, it is dealing with the management of used oil.
  • Collection Agents: recovery and disposal of waste oil and transporting the same to authorized dealers.
  • Used Oil Importers: re-refining of used oil through importing of the same.

The following are the advantages of EPR authorization for used oil.

  • Environmental Protection: Prevents pollution since toxic chemicals that are abound in used oil do not get into the soil and water.
  • Climate Change Mitigation: It helps in mitigating the effects of global climate change by decreasing the carbon footprint which is as a result of oil extraction and disposal.
  • Promotion of Circular Economy: Ensures that used oil is collected, processed and finding its way back into the market thus promoting the circular economy.
  • Economic Benefits: This is because refining used oil consumes a third of the energy that is required to refine crude oil hence minimizing the cost of production to industries.
  • Compliance and Accountability: Sets up the structure for the handling of used oil and makes the producers, recyclers and other interested parties responsible for the correct management of used oil.
  • Reduction in GHG Emissions: In a way it also assists in reducing green house emissions because it lessens the need for new oil by promoting recycling.
  • Conservation of Resources: This makes the use of re-refined oil which in turn reduces the consumption of crude oil hence supporting the conservation of petroleum reserves.
  • Sustainable Development: Correlates with the sustainable development goals because it encourages green industrial culture and minimizes the effect the industry has on the environment.
  • Regulated Waste Management: Helps in improving the control and disposal of used oil hence comes up with a clear framework of managing waste from industries.
  • Public Health Safety: Safeguards the health of the public by reducing the hazards posed by the management and disposal of waste oil which is hazardous.

EPR Roles of Stakeholders for Waste Oil.

Stakeholders must fulfill specific responsibilities to comply with EPR regulations:

Producers are required to apply for EPR through CPCB portal, establish a system to collect the EPR and file returns periodically.

Collection Agents have to take used oil from generators and deliver it to either recyclers or producers.

It is mandatory for the recyclers to adhere to CPCB guidelines that have been set for the recycling processes.

The following are the Importers’ responsibilities: the used oil imported must only be used for re-refining and all the regulations must be adhered to.

The new amendment to the Hazardous Waste Management Rules have imposed several obligations for the stakeholders involved in the production, collection, recycling and import of used oil.

Producers

  • EPR Registration: for the used oil they have to get EPR registration from the CPCB (Central Pollution Control Board) portal. EPR Targets: They are required to fulfill their EPR targets that are calculated on the basis of the sales volume of lubrication or base oil.
  • Collection and Storage: It is the responsibility of producers to ensure that used oil is collected, transported and stored appropriately.
  • Contact Information: They have to give their contact information on their website or in any other way so that the collection can be done.
  • Awareness Programs: Producers are supposed to educate the public on the need to dispose off used oil and how it should be done through different forms of communication.
  • Record Keeping and Reporting: They should make annual and quarterly returns electronically whereby they have to report on the used oil collected and recycled.

Collection Agents

  • Registration: All the agents have to get themselves registered through the CPCB portal.
  • Collection and Supply: The collectors are supposed to collect used oil from generators and transport the same to registered recyclers or producers.
  • Collection and Storage: Producers have the responsibility of ensuring that used oil is collected, transported and stored in the right manner.
  • Compliance: so that they are in a position to meet all the laid down legal requirements and make accurate disclosure of their activities.
  • Record Keeping and Reporting: It means that they are obliged to fill in and submit the annual and quarterly reports on the used oil generation and recycling in the electronic form.

Recyclers

  • Registration: The organization has to get itself registered on the CPCB portal and is not allowed to interact with other parties which are not registered.
  • Recycling Processes: should follow the CPCB norms for recycling of used oil.
  • Certification: The following are recommendations for the issue of EPR certificates to the producers upon recycling of used oil with the quantity and compliance:
  • Reporting: It is required that all the bio-medical wasteIncinerators must submit annual and quarterly reports of the recycling process to the CPCB.
  • Record Keeping and Reporting: It includes mandatory annual and quarterly filing of returns which contain used oil generation and recycling details submitted online.

Importers

  • EPR Registration: All the persons who are into the business of collection of used oil must get themselves registered on the CPCB portal.
  • EPR Targets: The countries that received used oil as import have the responsibility of recycling the entire quantities received in the previous year.
  • Usage Restriction: here, we should specify that used oil should only be used for re-refining only. Non-compliance will lead to cancellation of registration as well as other legal consequences.
  • Thus, the stakeholders are to carry out these duties in order to ensure that used oil is well managed hence contributing to environmental conservation and resource conservation.

Documents Required

Registration Documents:

  • Registration Documents: ID and Address Proof of Authorized Persons: Proof of identification and address of persons who are to ensure compliance.
  • Business Registration Documents: The documents that are considered are the Certificate of Incorporation (CIN), Memorandum of Association (MOA), Partnership Deed, MSME Registration, etc.
  • PAN and GST Details: The details such as Permanent Account Number (PAN) and the Goods and Services Tax (GST) Registration of the business entity.
  • Import Export Code (IEC) for the importers of Used Oil.

2. Operational Documents:

  • Details of Manufacturing: concerning the process of production and the equipment that is employed in the process as well as the production rate.
  • EPR Plan: a detailed plan of how the business shall achieve its EPR targets for used oil.
  • Annual Returns: from the previous years’ annual returns filed, the amount of used oil collected and handled.
  • Data on Used Oil Generation: information on the generation of used oil as well as amount and orgin of the used oil.

3. Compliance Documents:

  • EPR Registration Certificate: The facility has been provided with an authorization certificate of EPR registration by the Central Pollution Control Board (CPCB).
  • Collection and Transportation Records: demonstrating the means that has been taken in the management of used oil transportation and disposal.
  • Recycling Agreements: or contracts with registered recyclers in regard to the supply of used oil for recycling.
  • EPR Certificates: certificates from the recyclers in the form of certificates indicating the amount of used oil recycled.

4. Reporting and Audit Documents:

  • Annual and Quarterly Reports: The information on used oil management activities were obtained from the reports submitted online to the CPCB.
  • Environmental Audit Reports: This information is based on the environmental audits done by the CPCB or any other third party for ensuring compliance with the EPR norms.

5. Additional Documents:

  • Awareness Campaign Records: of the awareness campaigns carried out in an attempt to create awareness on used oil collection and recycling.
  • Contact Information: The information and procedures that are given through the business’s website or any other channel used in the collection process.
  • Environmental Compensation Records: reasonable, records of environmental compensation paid for non-adherence of the requirements of EPR.

Thus, such documents help the businesses be in a position to meet all the legal requirements of EPR compliance to ensure that used oil is managed effectively. This documentation not only assist in the achievement of the legal and compliance requirements but also in the social responsibility of environmental stewardship and resource conservation.

Compliance of EPR for Used Oil: A Step by Step Guide

The EPR compliance for used oil is a step-by-step process that aims at ensuring that the producers, importers, collection agents and recyclers of used oil-handler the used oil in the right manner. Here is an outline of the EPR compliance process for used oil:Here is an outline of the EPR compliance process for used oil:

1. Registration of Parties:

  • Online Portal Registration: The producers, importers, collection agencies and recyclers are required to register on the CPCB’s web portal.
  • Separate Registration for Multiple Roles: All the persons who have roles in different capacities must sign up for the various roles in order to be allowed.
  • PAN and GST Details: The company’s Permanent Account Number (PAN) and Goods and Services Tax (GST) registration information of the business.
  • Annual Maintenance Fees: has to make annual maintenance charges which have to be deposited to the CPCB. This work has provided useful information to the importers of used oil. oil.

2. EPR Targets for Producers and Importers:

  • Determination of EPR Targets: are calculated depending on the quantity of the base oil and the lubrication oil which was produced or imported by producers in the preceding year of the financial year.
  • Gradual increase in Targets: The targets begin at 10% and rise all the way to 60%.
  • Adjustment for Operational Losses: CPCB may adjust targets for a given year to take into consideration of losses that may occur during the manufacturing process.
  • Annual Maintenance Fees: has to make annual maintenance charges which have to be deposited to the CPCB. This work has provided useful information to the importers of used oil. oil.

Collection and Transportation of Used Oil:

  • Collection Arrangements: of used oil, their disposal, transportation and storage is also their responsibility.
  • Partnerships with Collection Agents: The company has also engaged other registered collection agents to collect used oil from different places as follows; 4. Recycling Process

Recycling Process

  • Engagement with Registered Recyclers: used oil has to be sold to the recyclers who are registered with the CPCB.
  • Recycling as per CPCB Guidelines: Thus we must adhere to the CPCB guidelines for the recycling process in order to avoid any harm to the environment.

5. EPR Certificates:

  • Purchase of EPR Certificates: and importers have to buy EPR certificates from recyclers in order to prove that they have met the set EPR targets.
  • Details on Certificates: may contain information that can be as specific as the amount of used oil that has been recycled.

6. Reporting and Record-Keeping:

  • Annual and Quarterly Returns: The submission of returns and reports to the CPCB is also done online on the activities of used oil management.
  • Environmental Audit Reports: of audit reports evidencing compliance with the requirements of EPR agreement.

7. Audit and Verification:

  • CPCB Audits: Such audits may be carried out by CPCB or any other third party as per the norms laid down in the rules.
  • Reconciliation of Records: in the event of any divergence between the figures which have been given in the report and the actual facts, the lower figure is accepted.

8. Environmental Compensation:

  • Penalties for Non-Compliance: If they are unable to meet their EPR targets then they are required to pay penalties in form of environmental compensation.
  • Escrow Account for Compensation: The funds are held in a separate account of CPCB referred to as an escrow account.

9. Renewal and Updates:

  • Annual Renewal of EPR Targets: CPCB redesigns the EPR targets every year in view of the performance of the preceding year as well as the fresh sales data.
  • Continuous Improvement: As the matter of fact, those organizations that are currently implementing processes to improve their compliance efficiency are expected to enhance the efficiency and effectiveness of their processes in the future.

In the case of used oil to achieve EPR compliance the following steps are involved in managing used oil sustainably. It entails identification of concerned parties, achieving EPR targets, collection and recycling of products, record keeping, audit and paying environmental penalty for defaulters. In this way, the stakeholders follow the guidelines and help the environment as well as promote the shift towards circular economy.

Environmental Compensation Under EPR for Used Oil:

Environmental compensation under EPR for used oil is a form of punishment which is in the form of a fine for entity who have not meet the set EPR targets. This includes failure to register, submission of fake information or failure to reclaim the required amount of used oil. The compensation is paid into an escrow account which is managed by CPCB, which in turn uses the money to collect, recycle and dispose of the unused used oil. However, entities still need to meet the set EPR targets even after paying for the compensation. This means that if compliance is made within the stipulated time then one is likely to get a portion of the compensation paid back.