We have extensive oversight of the PSO program because there is a small number of highly concentrated active oil recyclers.
The benefit is highly regulated. Oil recyclers must obtain an excise manufacturer licence (except category 8 claimants). We undertake close monitoring and assurance activities. We have regular contact with recyclers and regularly review quality testing results of recycled oils (category 1 benefits).
The PSO levy is payable on the release of eligible oils and lubricants from licensed customs warehouses and excise premises into home consumption. We monitor levy payments as part of excise administration.
Our key strategies include:
- client relationship management with key industry participants
- registration verification and claim assurance checks for oil recyclers
- 6-monthly review of independent laboratory testing of oil recycled under the program to ensure standards are met for category 1 benefits
- compliance activity with oil recyclers.