India Outlines Roadmap for Used Oil Recycling Transformation

Strategic plan aims to boost recycling rates and implement Extended Producer Responsibility (EPR) framework

According to a recent article in Fuels & Lubes International, India is set to revamp its used oil recycling sector through a comprehensive strategy developed by the Federation of Indian Chambers of Commerce and Industry (FICCI), the Resource Efficiency and Circular Economy Industry Coalition (RECEIC), and Deloitte.

The report, titled “Advancing India’s Self-Reliance: Enhancing Circularity in Used Oil Management,” was unveiled during the Global Symposium on Resource Efficiency & Circular Economy.

The initiative addresses the current inefficiencies in India’s used oil management, where approximately 1.3 million tonnes are generated annually, but less than 15% undergoes recycling. To combat this, the government has introduced an Extended Producer Responsibility (EPR) framework, requiring producers to recycle increasing percentages of used oil—from 5% in FY2025 to 50% by FY2031. This escalation aims to boost the volume of EPR certificates from around 0.08–0.09 million metric tonnes (MMT) to 0.85–1.00 MMT within the same timeframe.

The roadmap proposes establishing a National Used Oil Management Association by FY2026 to centralize governance and enhance transparency through mandatory digital registration and a track-and-trace system. Medium-term objectives (FY2027–FY2028) focus on integrating the informal sector via digital self-registration and training programs, while long-term goals (from FY2029 onwards) include regulatory reforms and infrastructure development, such as demonstration plants for advanced technologies.