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USED PLASTIC OIL CONTAINERS

Lubricants are not completely consumed in use and result in waste oil that needs to be collected and recycled. AIP members have adopted a product stewardship role for their products and are actively supporting the collection and recycling of waste oil and its packaging.

The Australian Government has introduced a product stewardship scheme for waste oil to support recycling, funded through an excise on sales of lubricants. AIP members are also active signatories to the Australian Packaging Covenant which aims to design more sustainable packaging, increase recycling rates, and reduce packaged litter.

AIP, on behalf of its member companies, established and operated a collection and recycling program for used plastic oil containers across Australia for more than ten years. However, due to significant free rider issues where around half of all market participants did not financially contribute to the scheme, the program was closed at the end of 2016. At full scale, over 430 collection sites across Australia were maintained by VIP Packaging on behalf of AIP, with around 500 tonnes of plastic being recycled into various industrial products.

AIP remains committed to identifying a workable solution where all industry participants (beyond the four AIP members) contribute to managing this waste stream. AIP supported the listing of Used Oil Bottles on the National Product Stewardship List in mid-2016 and expects that this process will deliver a workable solution to this waste stream.


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