April 8, 1998

  To:Works and Utilities Committee

 From:Commissioner of Works and Emergency Services

 Subject:Burning of Waste Oil

 Purpose:

 The purpose of this report is to recommend against the burning of waste oil where re-refining is available and cost-competitive compared with virgin motor oil and to emphasize that waste oil should be recycled safely and not discharged into the sanitary or storm sewer system or the ground water.

 Funding Sources, Financial Implications and Impact Statement:

 There are no direct funding implications of this report.

 Recommendations:

 It is recommended that:

 (1) the Minister of Environment be requested to discontinue the issuance of air approvals for waste oil burners where re-refining facilities are available;

 (2)the Minister of Environment be requested to consider placing a sunset regulation on existing air approvals for waste oil burners in urban areas;

 (3) communications to the public should continue to prevent the dumping of waste oil into sewers or the environment;

 (4) all City fleets adopt the use of re-refined oil that meets manufacturers warranty requirements, subject to availability and reasonable cost differential;

 (5) if the Minister does not discontinue the approval of waste oil burners permanently, the Province be requested to give Municipalities the option to adopt by-laws that prohibit the use in their respective jurisdictions and that take precedence over approvals issued under the Environmental Protection Act, Section 9; and

(6)if the Minister does not discontinue the air approval of waste oil burners permanently, the Province be requested through an appeal under the Environmental Bill of Rights to give Municipalities standing in the review and setting of new more stringent air emission standards under Regulation 346.

Council Reference/Background/History:

 The March 25, 1998 agenda for the Works and Utilities Committee included an item on the burning of waste oil requesting a staff report to:

 Aidentify options to ban or grandfather the operation of used oil furnaces within the City of Toronto; and identify options to increase the recovery of used motor oil and thereby divert it from burning in space heaters and from fouling the City of Toronto=s sewage treatment facilities.@

 Waste oil burners are subject to the Ontario Environmental Protection Act under two sections:

 Section 9 -Air Emissions and Regulation 346 which establishes point of impingement standards and

Section 27 -Waste Management and Regulation 347.

 Waste oil burners must have a certificate of approval under Section 9 - Air Emissions and comply with the standards in Regulation 346.

 Section 27 refers to the management of used oil as a waste. Waste oil burners are exempt from the requirement to obtain a Certificate of Approval under Section 27 if less than 10 tonnes is burned per day and if only oil generated on site is burned. Regardless of the exemption from obtaining a certificate of approval, waste oil burners must still meet the standards under Section 27, Regulation 347.

 The Ministry is undergoing a three year review of all standards. The air standards for waste oil burners are due for a review. Municipalities have the option of requesting a review of the standards through the Environmental Bill of Rights.

 The Minister of Environment has placed the issue of >Small Used Oil Space Heaters= on the Environmental Bill of Right Registry for public comment by May 31, 1998. To comment by that deadline, this item would have to be considered by City Council at its meeting on May 13, 14 and 15, 1998 and by Works and Utilities Committee on April 22, 1998.

 Comments and/or Discussion and/or Justification:

 Approximately 500 million litres of lubricants are sold in Ontario each year. Approximately half are lost in use. Between 1995 and 1996 the quantity of re-refined oil fell from approximately 87.5 million litres to approximately 68 million litres and the quantity of waste oil burned increased from approximately 10 million litres to approximately 18 million litres.

 Approximately 75 million litres are unaccounted for. It has been estimated that one litre of oil can contaminate one million litres of ground water. Disposal of oil into sanitary sewers can interfere with the operation of waste water treatment plants.

 There are 47 existing waste oil burner locations in the City of Toronto. Referring to census data distributed geographically in the City of Toronto, there are 32, 469 Toronto citizens living within 250 metres of waste oil burners.

 The burning of waste oil releases the following contaminants to the atmosphere.

 Sulphur Oxides

Nitrogen Oxides

Carbon Monoxide

Fine particulate

Carbon Dioxide

Volatile Organic Compounds

Arsenic

Chromium

Cobalt

Lead

Manganese

Nickel

Zinc

 Health Impacts

 The Ontario Ministry of Health will be requested to comment on the waste oil burner issue. Staff of the City Medical Officer of Health have expressed concern about the potential health effects to populations in close proximity to existing waste oil burners in the City of Toronto. Fine particulate is invisible and enters deep into the lungs and can cause asthma and other respiratory ailments.

 Positions of Stakeholders:

 City of Toronto vehicle fleet operators return used motor oil for re-refining. Operators use either re-refined oil that meets manufacturers warranty requirements or virgin motor oil depending on low bid. Often re-refined oil has been less expensive than virgin motor oil. The amalgamated City of Toronto has significant purchasing power and will benefit from bulk purchasing of re-refined oil. Other fleets in Toronto, if not already doing so, should be encouraged to return used oil for re-refining and to use re-refined oil in their fleets. There is surplus capacity for re-refining in Ontario and therefore capacity is not an issue. On the contrary supply of used oil is sometimes limited and restricts supply of re-refined oil. The number of waste oil burners is increasing and the supply of used oil for refining is falling. This trend should be reversed to improve air quality and reduce CO₂ emissions.

 The following organizations support a moratorium on the issuance of new approvals for Waste Derived Fuel (WDF) heaters in Ontario until the emissions of these heaters are fully studied and understood. In addition, these organizations recognize recycling as the preferred management option for used oil:

 Canadian Automobile Association (CAA)

Canadian Petroleum Products Institute (CPPI)

Canadian Re-Refiners Association

The Lung Association

Ontario Natural Gas Association (ONGA)

Pollution Probe

Recycling Council of Ontario (RCO)

 The Canadian Petroleum Products Institute (CPPI) has written to the Minister of Environment to state concern about the approval of waste oil burners by the Ministry of Environment. The CPPI represents marketers of lubricants.

 The Recycling Council of Ontario promotes the recycling of waste oil. RCO advocates initiatives to prevent waste oil disposal in landfills.

 The Canadian Council of Ministers of the Environment published the ACode of Practice for Used Oil Management in Canada@, in 1989. The following provincial policies arose as a result.

 Summary of Provincial Policies

 Generally the Western Provinces, where new virgin oil is produced, have been promoting the proper management of used engine oil. A table in the Appendix to this report summarizes Provincial Regulations across Canada.

 Sewer Use By-law

 Toronto Sewer Use By-laws prohibit the discharge of engine oil into the sewer system for treatment at the City Waste Water Treatment Plants. There is a low limit of 15 ppm of mineral or synthetic oil. Engine oil is well over 15 ppm. Dumping of engine oil into catch basins directs engine oil to the water courses and waterfront of the City. When notified industrial waste control staff pump out catch basin sumps to remove engine oil.

 Bylaws Enforcement/Licensing

 The City Solicitor has been requested to confirm that municipalities have the power to pass a by-law under the Municipal Act governing waste oil burners. However, Legal staff have advised that, if a by-law is not consistent with provincial legislation or regulation, the provincial requirement supersedes the municipal by-law. Specifically if the province approves a waste oil burner, the operation of the waste oil burner cannot be prevented by a municipal by-law. If the Minister continues the hold on new approvals indefinitely, then a municipal by-law would govern. Regarding future approvals, a City By-law prohibiting waste oil burners would be a clear policy statement to the Minister not to allow the approval of additional waste oil burners in the municipality. Regulation of vehicle maintenance facilities for emissions protects neighbouring residents by establishing emission standards.

 Public Communication

 The public regularly receives a clear message not to dispose of waste oil in sanitary or storm sewers through City communications . For example, the newsletter, Water Watch, has included articles on water quality every year. Samples of communications materials available to the public include the booklet, ARecipes for a Cleaner Planet@, and advertisements that appear regularly in the daily newspapers. The public is invited to contact the Household Hazardous Waste Hotline at (416) 392-4330 to find out the location of the nearest depot accepting used oil and other household hazardous wastes.

 Smog Plan

 The Province, in cooperation with business, industry, government and the public, has proposed a Smog Plan earlier this year. The Smog Plan consists of many component initiatives all of which when added up will significantly reduce smog in Ontario.

 The elimination of the burning of waste oil where re-refining facilities are available will contribute to the overall reduction of smog precursors including NOx and fine particulate. The Minister should be requested to include in his Smog Plan the elimination of waste oil burners where re-refining exists.

 There is the broader issue that each of the approximately 1.1 million vehicles registered to Toronto residents has varying investments in pollution control equipment depending on model year. Burning of used oil in waste oil burners releases to the atmosphere contaminants in the crankcase oil. Organizations representing vehicle dealerships and maintenance facilities are promoting the early implementation of mandatory vehicle emissions testing and maintenance. The same group of businesses should be encouraged to discontinue the use of waste oil burners.

 Climate Change

 Councils have supported and promoted vehicle emissions testing and maintenance not only to reduce emissions that result in smog, but also to increase overall fleet fuel efficiency. Vehicle emissions testing and maintenance programs in other jurisdictions have realized overall fuel savings of approximately 10 percent. For individual vehicles the savings has exceeded 61 percent. Less fuel burned means less emissions of CO₂. The burning of waste oil increases CO₂ emissions and negates the gains from tune ups. The energy required to process oil from the ground is greater than to re-refine used engine oil. Use of re-refined engine oil reduces overall CO₂ emissions.

 Information Sources:

 Sources of information for the preparation of this report include the following organizations:

 City Solicitor=s Department

Medical Officer of Health=s Department

Works and Emergency Services: Interim Lead Commissioner, Fleet Management

Interim Functional Lead, By-law Enforcement/Licensing

Works and Emergency Services: Communications, Waste Management and Water and Waste Water

Ministry of the Environment: Approvals Branch and Waste Reduction Branch

Ontario Environmental Bill of Rights Registry

Provincial Ministries of Environment in Canada

Ontario Smog Plan Steering Committee

Canadian Petroleum Products Institute

Safety Clean Canada, Inc.

Recycling Council of Ontario

Canadian Institute for Environmental Law and Policy

Consultant: General Science Works Inc.

Consultant: Paul H. Scrivener and Associates

 Conclusions:

 Fleet managers specify re-refined engine oil for fleet vehicles subject to availability and cost. Fleet managers should return engine oil to be re-refined.

 There is a strong consensus in support of the proper management of used oil in Provinces across Canada. The Minister of the Environment should be requested to make permanent the hold on issuance of approvals for new waste oil burners in areas where access to re-refining facilities is available. The Minister of Environment should be requested to establish a sunset for the existing approvals of waste oil burners after a suitable cost recovery period.

 Businesses offering vehicle maintenance services that promote use of re-refined oil should be showcased as leaders in the industry. Automobile manufacturers that ship new vehicles with re-refined oil in the crankcase should be showcased as leaders in the industry. Automobile manufacturers that discourage the use of waste oil burners in their dealerships should be showcased.

The Public should be informed that approximately 75 million litres of used engine oil is unaccounted for each year in Ontario and that every effort should be made to direct used oil to re- refining.

 Contact Name:

 Kevin Loughborough, P. Eng. - Works and Emergency Services

Tel. No. (416) 392- 8845

Fax No. (416) 392-4540

        M.G. Thorne, P. Eng.

Interim Functional Lead

Water and Waste Water

       Barry H. Gutteridge

Commissioner

Works and Emergency Services

 wstoil.rpt

  Appendix

 Provincial Regulations for the Management of Used Oil in Canada