To facilitate the recycling of used lubricating oil materials in Alberta, the Alberta Used Oil Management Association (AUOMA) collects funds from companies that sell or import oil, oil filters, and oil containers into the Alberta market. These funds, called Environmental Handling Charges (EHCs), are used to fund AUOMA’s used oil recycling materials program, which uses the funds to encourage the collection and recycling of used oil materials.
To encourage the recycling of used oil materials, AUOMA pays a financial recycling incentive called a Return Incentive (RI) to companies that register with it and are approved by the Government of Alberta to process used oil materials. These companies are called registered processors, and they are responsible for working with and paying any companies that they have agreements with to collect and bring used oil materials to their facilities. In other words, AUOMA pays registered processors for the materials that they recycle, and these processors in turn pay registered collectors for the materials that they collect and bring to them for recycling.