Shell launches used oil management service, as a move towards sustainable business practices

Shell signs its first partnership with IFP Petro Products ( P ) Ltd. for used oil collection

National, June 29th, 2022 – Shell today launched a used oil management service, a new initiative to organise India’s waste oil disposal system and to increase the rate of re-refining, as it aims to achieve circular economy goals while reducing waste. This is part of Shell’s overall commitment to achieve net-zero emissions by 2050. As part of the initiative, Shell has partnered with used oil re-refiners to initiate collection and re-refining of used oil on a pan India basis. These partners share the vision of driving circular economy for the lubricants industry.

Shell plans to strengthen its network of partners to further scale-up the initiative in the coming years. The service aims to create an ecosystem for transitioning used oil disposal, which is acknowledged as being the biggest challenge in promoting circularity in the industry, to a formal setup. Shell intends to create awareness about best practices for waste oil management and help set standards for RRBO in collaboration with re refiners and industrial partners.

Speaking at the launch, Ms. Mansi Tripathy, Vice President, Shell Lubricants Asia Pacific, said, “Used oil management service is the latest testament of how we are leading the process of reducing waste alongside the industry’s larger environmental footprint in India. We aim to play a pivotal role to embed circular economy in lubricants and see a high growth potential for this service to reduce waste and thereby, reduce our overall emissions. We will continue to seek opportunities to support our customers in reducing their emissions via our products and services.”

“Being a solutions-driven, customer centric organization is at the core of our business model. This initiative reinforces that value and will help us support our customers with a more holistic value proposition that goes beyond lubricants. Even more significant is the fact that we now have the opportunity to pioneer towards the first step towards circular economy”, added Ms. Debanjali Sengupta, Country Head, Shell Lubricants India. 

Used oil has been categorized as hazardous waste and contains harmful metals. One litre of used oil can contaminate one million litres of freshwater[1]. Without proper disposal procedures in place, 50% of all lubricants end up in the environment. India witnesses the generation of ~1.3 million tons of used oil annually of which, less than 15% is re-refined. Used lubricating oil is a hazardous waste which is disposed for various uses, with fuel being by far the most common method in India. Burning of used oil leads to harmful gas emissions, increasing health and safety risks. Re-refining used oil would help in:

• Conserving natural resources

• Reducing the emissions related to end-of life of the lubricants, helping India meet its carbon neutral targets

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