a. Any person or an  entity, irrespective of the selling technique used such as dealer, retailer, e- retailer, who, -

(i)   produces and markets base oil or lubrication oil domestically under their own brand label; or

(ii) sells lubricating oil domestically under its own brand, utilizing base oil produced by other manufacturers or suppliers; or

(iii) offers imported base oil or lubricating oil for sale domestically;

b. According to the definition given above, producers fall into the following groups under the EPR Portal:

Base oil is a fundamental element in lubricating oils, derived either from crude oil during refining or from synthetic sources.

Additionally, base oils are used in producing oils for force transmission (e.g., hydraulic oils) and heat transfer (e.g., transformer oils, thermic fluids) or for cooling surfaces.  Once these oils are used, they may transform into used oils or waste oils, necessitating proper handling, re-refining, energy recovery, or disposal.

Lubricating oils are commonly used in vehicles and industrial machines to reduce friction between moving parts, minimizing the heat generated during their interaction.

Once lubricating oils have been used, they may turn into waste or used oils, which need to be handled properly, re-refined, recovered for energy, or disposed of in an environmentally safe manner.

Spent oil, used engine oil, gear oil, hydraulic oil, turbine oil, compressor oil, industrial gear oil, heat transfer oil, transformer oil, and tank bottom sludge are all considered used oil because they are made from crude oil or synthetic oil blends.  If it satisfies the requirements in Schedule-V, Part A of the Hazardous and Other Wastes (Management & Transboundary Movement) [HOWM] Rules, 2016, it may be reprocessed.  However, according to the HOWM Rules of 2016, it does not cover waste oil.

The definition of a Producer is provided in question 5.

An Original Equipment Manufacturer (OEM) for cars is not considered a Producer unless it directly purchases base oil or lubricating oil from domestic or imported markets and sells lubricating oil under its own brand domestically.

Entities categorized as Producers, as outlined in question 5 (i.e., those who:

(i) manufacture and sell lubricating or base oil locally under their own brand,

(ii) sell lubricating oil domestically under their own brand using base oil from other suppliers, or

(iii) sell imported base oil or lubricating oil domestically),

as well as used oil importers, are required to purchase Extended Producer Responsibility (EPR) certifications from approved recyclers in order to achieve recycling requirements.

EPR requirements may not apply to oils like white oil, manufacturing process oils, and lubricants like greases that don't produce leftover used oil. However, the producers involved must still register on the EPR portal.

The entities listed below are required to register on the CPCB-developed portal as the appropriate entities:

I.          Manufacturers/Importers of base oil, lubricating oil, or related products must register as "Producers."

In order to verify their exemption, producers of oils that are exempt from the Used Oil EPR Target still need to register on the Used Oil portal and provide the required information. If it is determined after review that the stated oil does not lead to the production of used oil, CPCB may provide an exemption from EPR objectives.

EPR targets are not required of export-oriented companies that do not bring base oil, lubricating oil, or used oil to the domestic market. Nevertheless, such entities are still required to register on the Used Oil EPR portal.

For entities set up after April 1, 2024, the EPR compliance will commence two years after the end of the financial year in which the unit was formed.

The following are the responsibilities of a producer under the Hazardous and Other Wastes (Management and Transboundary Movement) Second Amendment Rules, 2023:

• Register on the EPR portal.
• Fulfil EPR obligations by purchasing EPR certificates only from approved recyclers.
• File annual returns via the portal by June 30 following the relevant financial year.
• Provide consumer contact information such as address, email, toll-free numbers, or helplines through websites, ads, or documents.
• Conduct public awareness campaigns via media, publications, advertisements, or other channels.

• Register on the EPR portal.
• Meet the prescribed EPR targets.
• Submit annual returns through the designated portal form.

Collection Agents are expected to:

• Register on the EPR portal.
• Collect used oil from generators and deliver it to registered recyclers or producers, ensuring records are updated on the portal
• Use the site to submit your yearly and quarterly returns.

Used oil recyclers must:

•  Register on the portal.
• Verify that recycling practices and facilities comply with legal mandates.
• Prevent environmental harm during collection, storage, transport, and processing.
• Dispose of waste residues from the recycling process as per the prescribed regulations.
• File both quarterly and annual returns on the portal.

Bulk Generators are entities (e.g., automobile manufacturers, defense services, railway departments, transport companies, industrial operations, power transmission firms, hotels, restaurants, etc.) that generate over 100 metric tonnes of used oil annually.

They are required to:

• Set up collection facilities to assist Collection Agents in collecting and transporting used oil.
• Make sure spent oil is only given to manufacturers, collectors, or authorized recyclers.

Entities involved in multiple activities (such as producing, recycling, collecting, or importing) must register separately for each role.

Entities engaging in multiple functions must choose all relevant activities during registration, as long as they have the same GST number. If the GST numbers differ, separate registrations are required.

Yes. Choosing multiple activities at the time of registration generates a single login ID. However, each activity’s profile and operations are maintained separately within the portal.

Organizations operating under one GST number may register multiple roles simultaneously by selecting the applicable options during sign-up.

The PAN of the authorized individual must be uploaded to the EPR portal.

Recycling refers to the process of converting used oil into base or lubricating oil or recovering energy, following CPCB guidelines.

Re-refining involves purifying used oil by removing contaminants to produce base or lubricating oil, in accordance with CPCB's SOPs or guidelines.

No, only by obtaining EPR certificates from registered recyclers will EPR targets be met. However, producers may establish agreements with recyclers for certificate transfer as per their operational models.

EPR certificates are issued by the CPCB through its portal to registered recyclers. Producers must obtain these certificates through online transactions to meet their EPR obligations.

Using the following formula, the eligible quantity for the creation of an EPR certificate is established:

QEPR = QP × CF × WP

Where:

QEPR is the amount that can be used to create an EPR certificate.

QP = Quantity of end product recovered

CF = Conversion Factor — determined by CPCB based on the technology used and the quality of re-refined base oil produced

WP = Weightage assigned to the end product

Weightage for End Products:

End products derived from either the recycling of used oil for base oil recovery or from its co-processing, usage, or energy recovery are given Weightage (Wp) under the present EPR framework. However, the use of used oil blended with crude oil for producing fuels, solvents, bitumen, etc., is not yet addressed under these Rules. As such, no specific Conversion or Weightage Factor has been assigned for this process.

No. As per current regulations, used oil may only be imported for the purpose of re-refining, not for energy recovery.

Yes. The quality of re-refined base oil is a key criterion in determining the Conversion Factor (CF), which influences the eligibility for EPR certificate generation. Base oils that meet BIS (Bureau of Indian Standards) specifications will be given appropriate weightage by CPCB.

At present, Producers are required to meet their Extended Producer Responsibility (EPR) solely by purchasing EPR certificates from CPCB-registered recyclers via the EPR portal.

However, procuring re-refined base oil from recyclers contributes to the circular economy, as it supports the sustainable reuse of materials in producing lubricating oils.

The fees for registration under the EPR Used Oil framework for various entities, including Producers, Recyclers, Used Oil Importers, and Collection Agents, are as follows:

Table-1: Registration fee for Producers

The Annual Processing charge is the 25% of application fees in the respective category

Environmental Compensation (EC) will be imposed on entities in the following situations:

•  Producers and Used Oil Importers: If they fail to meet their obligations, engage in fraudulent use of Extended Producer Responsibility (EPR) certificates, or violate any rules or guidelines.
• Recyclers: If they issue false EPR certificates or provide incorrect information or invoices.
• Unregistered Entities: Including producers, recyclers, or any entity aiding or abetting violations of the regulations.

Yes, CPCB regulates the volatility in EPR certificate prices. The maximum and minimum prices for exchanging EPR certificates will be determined by CPCB. These prices will be set at 100% and 30%, respectively, of the Environmental Compensation for non-fulfillment of EPR obligations. CPCB will also publish the Environmental Compensation charges applicable for each tonne of used oil.

The price for trading EPR certificates between registered entities will fall within a range defined by CPCB, with the highest price set at 100% and the lowest at 30% of the Environmental Compensation, as previously outlined.

Producers can view the availability of EPR certificates and find a list of registered recyclers holding them on the portal dashboard. To meet their EPR obligations, producers may purchase certificates from registered recyclers within the price range defined by CPCB. The recyclers will then transfer the required number of certificates to the producer’s account. CPCB may establish a trading platform in the future to facilitate these transactions.

A producer can acquire EPR certificates up to the following limits:

• The producer’s current year (Year Y) EPR liability.
• Any remaining liability from previous years.
• An additional 10% of the current year’s liability.

EPR certificates are valid for a period of two years, starting from the end of the financial year in which they were issued. The certificates will be immediately erased or preserved in the EPR portal upon expiration.

No, EPR certificates cannot be traded between registered producers or used oil importers.

If an applicant fails to re-submit a completed application after receiving a notice from CPCB within the required time frame, a late fee may be charged. Details about the late fee structure will be provided at a later time.