Methodology · Waste-Oil → Carbon Credits
How re-refined waste oil generates verifiable carbon credits.
An end-to-end overview of the issuance pathway, applicable methodologies, audit requirements and the indicative economics every CarbonXFuture listing must satisfy.
tCO₂e avoided per metric tonne of waste oil re-refined
1.8 – 2.4
Typical project lifetime (issuance horizon)
7 yr
Average crediting price (2025 vintage)
$11 – 17 / tCO₂e
Methodologies accepted
VM0010 · AMS-III.AJ
Issuance pathway
01
Collection
Used motor oil, hydraulic, industrial lubricants collected from EPA-licensed generators, fleet operators, marine terminals.
02
Pre-treatment
Water/solids removal, chemical demulsification. Resulting feedstock typically 1-3% water, < 0.5% ash.
03
Re-refining
Vacuum distillation + hydrotreating to recover Group I / Group II base oil meeting API ratings, or upgraded to marine diesel blendstock.
04
Verification
Mass balance & GHG inventory audited per ISO 14064-2 and ISO 14040 (LCA). Third-party verifiers: SCS, DNV, TÜV SÜD.
05
Issuance
Credits issued under Verra VM0010 (combustion of waste oil to displaced energy) or CDM AMS-III.AJ.
06
Listing
Issued vintages listed on CarbonXFuture with full registry serials, batch IDs and verifier reports attached.
Eligibility checklist
- ▸ Feedstock must be a regulated waste stream (RCRA-listed Used Oil in the US; Annex I/II List Hazardous Waste in EU).
- ▸ Re-refining facility certified by ISCC, RSPO or equivalent for traceability.
- ▸ Baseline scenario must demonstrate disposal-via-incineration or low-grade fuel use absent the project.
- ▸ Monitoring plan validated by an UNFCCC-accredited DOE / VVB.
- ▸ Mass-balance reconciliation submitted quarterly; annual on-site audit.
- ▸ Buffer pool contribution: 12-18% of issued credits held in reserve for permanence.
References & standards
Have a waste-oil project to certify?
Our methodology desk can pre-screen your project documentation and indicate likely vintage / issuance volume in 5 business days.