• Rates

    Each PSO category of recycled oil has a benefit rate. The benefit rates are based on the extent of processing and the end product. The more sophisticated the treatment the higher the benefit rate.

    Table 1: Benefit rates from 1 July 2014

    Category number

    Category description

    Benefit rate (cents per litre)

    1

    Re-refined base oil (for use as a lubricant or a hydraulic or transformer oil) that meets the criteria mentioned in Schedule 1 of the Product Stewardship (Oil) Regulations 2000

    50

    2

    Other re-refined base oils (for example, chain bar oil)

    10

    3

    Diesel fuels that comply with the Fuel Standard (Automotive Diesel) Determination 2001

    7

    4

    Diesel extenders:

    • that are filtered, de-watered and de-mineralised, and
    • that, if combined with diesel fuels, would produce a combined fuel that complies with the Fuel Standard (Automotive Diesel) Determination 2001 
     

    5

    5

    High grade industrial burner oils (filtered, de-watered and de-mineralised)

    5

    6

    Low grade industrial burner oils (filtered and de-watered).

    3#

    7

    Industrial process oils and lubricants, including hydraulic and transformer oils (re-processed or filtered, but not re-refined)

    0*

    8

    Gazetted oil consumed in Australia for a gazetted use

    8.5**

    #From 23 April 2013 there is no benefit payable under category 6 (low grade industrial burner oils) as a result of a decision handed down by the Administrative Appeals Tribunal in 2013 (Cooper Bros Holdings Pty Ltd trading as Triple R Waste Management v Commissioner of Taxation).

    *The benefit amount for category 7 oil is nil. The reason industrial process oils and lubricants (including hydraulic and transformer oils) that are reprocessed or filtered but not re-refined are included in category 7 is to ensure they are not captured under another category. The result being that excise paid oils that are used and then cleaned but not re-refined and then re-used for the same use don't attract additional excise duty and don't create a PSO benefit.

    **The benefit rate for category 8 increased on 1 July 2014. When claiming category 8 benefits prior to 1 July 2014, use 5.449 cents per litre. Benefit rates for other categories have not changed.

    Table 2: Closed category

    Category number

    Category description

    Benefit rate (cents per litre)

    9

    Category 9 closed on 30 June 2006. Lodgment of claims for this category closed on 30 June 2009.

    N/A

    Last modified: 25 May 2015QC 44554