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Curbing Sri Lanka’s pollution problem: Recycling plant for used lubricants in the pipeline

12 Mar 2022

  • Aims to stop used lubricants being discarded into nature
  • Once operational, lubricant Imports can be reduced
  • EOI for new process within next two weeks
  • By Uwin Lugoda
The Government has initiated plans to curb pollution in Sri Lanka via a new recycling plant for used lubricants.  The Energy Ministry took its first steps towards this goal by calling for Expression of Interest (EOI) from competent parties to function as operators to re-refine used lubricants to produce hydrocarbon products. It said this extension of the lubricants industry will act as a value addition to the country, saving foreign exchange by reducing the need for imports and preserving environmental resources.  Speaking to The Sunday Morning, Energy Ministry Additional Secretary (Development) Chaminda Hettiarachchi stated that the current average consumption of lubricants in Sri Lanka stood at around 60 million litres per year. He explained that a majority of these lubricants were utilised by motor vehicles, while the rest were used for industrial purposes, etc.  Once used, Hettiarachchi stated that these lubricants were currently discarded into the environment without any treatment. He explained that the discarded lubricants ended up making their way into Sri Lanka’s land and water resources, leading to their deterioration.  However, he stated that there were ways to curb this runoff by re-refining lubricants and extracting the reusable components. “These lubricants are made up of two main components. First, we have the main component, which is the base oil, and then we have what we call additives. When a lubricant is used, additives get used up, but the base oil remains. This is why people are asked to replace lubricants,” said Hettiarachchi.  Consisting primarily of base oil, which is any petroleum-based or synthetic oil, mixed with additives, lubricants are essential for the functioning of many machines, including automobiles. However, when used, only the additives in the lubricants get used up, undergoing chemical and physical changes due to reactions such as oxidation, thermal decomposition, shearing, and contamination. This leaves the remaining base oil ready for extraction and reuse.  “Our current call for proposals is for the collection of these used lubricants and then extraction of their base oil which has remained unchanged. This way the base oil can be reused as a new high-quality lubricant via the supplement of some new additives,” said Hettiarachchi.  He stated that this initiative would also cut down on the importation of lubricants and base oils, saving Sri Lanka’s foreign exchange earnings. He explained that currently Sri Lanka imports 30% of its lubricant demand, with the remaining 70% being blended within the country using 100% imported base oils and additives.  Hettiarachchi stated that while there was value addition in having 70% of lubricants mixed in the country, the importation of its components still impacted Sri Lanka’s foreign exchange earnings. While unable to give an exact overall import cost, he stated that the import of lubricants incurred a significant cost that could be curbed by re-refining used lubricants.  According to data from the Public Utilities Commission of Sri Lanka (PUCSL), the total reported volume of lubricants sold in 2020 was around 60,000 kilolitres. Out of this, 41,000 kilolitres were sold to the automotive sector, 12,000 to the industrial sector, and 5,000 kilolitres were sold as marine lubricants.  As per Energy Ministry data, the Government currently only allows lubricant sector stakeholders to import, export, blend, produce, sell, supply, and distribute lubricants in Sri Lanka.  Another official from the Ministry stated that this new initiative would extend the sector by opening doors for an operator to come and recycle used lubricants.  According to Hettiarachchi, the Ministry has already begun receiving submissions for the EOI and is currently in the process of evaluating the proposals to pick the most suitable operator. He stated that the Ministry would be providing them with facilitation and guidelines to follow, while the operator had to be responsible for all aspects – from financing the re-refining plant to collecting the used lubricants from across the island.  “The plant has to be up to our standards and the operators will need to collect used lubricants according to our guidelines. As for the rest, they can finance and recycle these lubricants to extract the base oil and make more high-quality lubricants.” He stated that the Energy Ministry planned on ending the call for EOIs in another two weeks, after which it would evaluate them and call for more comprehensive proposals. He explained that for comprehensive proposals, a Request for Proposals (RFP) would be put out to potential operators, with expectations of finalising one by end April.  


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