Phil Evans, commercial director at fuel manufacturing and waste oil company RE: Group, said: “It would be natural to think that garages would gain all-round from cheaper oil, but that is not the case.
“Charges for disposal look [likely to remain] for some considerable time.
“One upside is that the prices garages pay for highly refined replacement lubricating oil has reduced.”
Describing how falling oil prices have affected its operations, Evans said: “The price of our service to the industry has to reflect the fact that, upstream, we are competing with virgin fuels, whose price, as we all know, has come down at an extraordinary rate.
“We have now reached the point where the value of the recovered fuel is lower than the cost of recovery and, as such, waste producers are required to contribute to the recovery cost.”
The news will come as a bitter blow for many independent garages who will face significantly increase fees for the use of small waste oil burners.
GW reader, Shane Swift wrote: “The amount of emissions a wagon will use driving around to pick the fuel up will be far greater than what is produced by burning waste oil and as for DEFRA wanting over £3000 initial fee and over a £1000 annually, just goes to show this is more about the EE making money rather than over the quality of air just another reason we shouldn’t be part of the EU.
“The last thing a small business needs is another monthly bill, which in reality is about money they can make rather than air quality.”
Another reader, Caroline of VauxCare said: “So China then buy our waste oil, then they burn it there.
“More money making ideas from our government, nothing to do with pollution.”