Production and marketing of recycled lubricants in Bolivia Note: This project has been cancelled, because of difficulties within the partnership.The amount of vehicles in Bolivia is increasing approximately with 12% a year. It results in an increasing demand for lubricants, however also in an increasing supply of used car oil. Currently, only 15% to 20% of nearly 40 million litres used oil per year is collected and recycled by three companies in Bolivia. The remainder is burned or dumped at road sides causing serious pollution of water sources and soils. Some people even use it as insecticide in agricultural crops. Currently, Jake Oil Lubric SRL in Santa Cruz is the largest of the total of three waste oil recycling companies in Bolivia. All companies in Bolivia work with outdated oil recycling technology. In order to be able to increase the volume of used oil recycling and to work according to international standards, Jake Oil Lubric SRL will start a joint venture company with their German partner Meinken Engineering GmbH & Co.KG. At the current location of Jake Oil Lubric SRL in the industrial zone of Santa Cruz a new waste oil recycling plant will be built based on hot contact distillation and fractionation technology of Meinken Engineering GmbH. The company will increase the sourcing of at least 16 small-scale collection companies and hundreds of car service stations, training them in responsible and environmentally friendly oil recycling techniques. The ISO 9001 certified joint venture will be the first company in Bolivia introducing a locally manufactured recycled lubricant.Corporate Social Responsibility (CSR)The joint venture will apply the same social benefits for its employees as the local partner Jake Oil does. The latter has very good internal policies on safety of employees, environmental protection, chain responsibility and HRM. His policy towards its suppliers and clients is focussed on distributing the rentability in the chain in order to achieve a profitable business for all players. However, the working conditions for all employees of local partner and joint venture will be improved substantially through the application of the new technology, which implies working in closed processes. The joint venture will develop its own CSR policy. The joint venture will use a hydrogen generator, implying less air pollution as compared to a diesel generator.Impact•	Employment and working conditionsWorking conditions and fringe benefits are very good. The company will pay living wages to all employees. The company has good internal policies on workplace safety, environmental protection and HRM. It provides lunch and coffee break snacks to its employees free of charge in its canteen, personal protection equipment, long-term credit opportunities, payment of overtime higher than the legal provisions, extra health insurance and risk insurance.•	Innovation/Transfer of knowledgeThere are only three companies in Bolivia involved in used oil recycling of which Jake Oil Lubric SRL is the largest company. All companies work with the conventional acid-clay technology. With the innovative technology of using bleaching clay and hot contact distillation and fractionation a better and constant quality product is obtained, the capacity can be increased, efficiency will be improved, residual waste will be reduced and the process will be environmentally friendly. The joint venture will introduce locally manufactured recycled lubricants.•	Chain effectsImpact on local suppliersThe main suppliers of the project are the sixteen used oil collection companies in Santa Cruz; their collection volume will increase during the project. They will be trained in environmentally responsible handling of waste oils and integral management systems of used oils and lubricants including OHSAS 18001 (working health and safety).Impact on local customers or consumersThe project will result in a supply of good quality locally recycled lubricants at the market at lower prices for the consumers. For the clients of the joint venture it will mean an increased access to good quality base oil in the first two years, after which an interesting supply of good quality locally recycled lubricants will follow, creating other opportunities for these small-scale enterprises. In addition the clients will be trained.•	Impact on the sectorThe joint venture will create a foundation to implement training and awareness raising programmes in the sector and towards the society at large. It will promote environmental protection and recycling of used materials. The joint venture will actively lobby with the government to develop legislation concerning the recycling of lubricants. The company will closely work together with universities and provide opportunities for traineeships for students. It will cooperate with local NGOs to develop the awareness raising and training programmes for the foundation.•	EnvironmentThe project resolves an environmental problem. Currently, the major part of the waste oil is dumped in the environment. The project will directly increase the amount of recycled waste oil. At the same time it will create better consciousness among owners and employees of service stations and workshops on the environmental impact of illegal oil dumping. By training ten people of the Ministry of Environment and Water it is expected that national legislation will be designed concerning recycling of lubricants. For these purposes a foundation will be created to organise the training and general awareness raising programmes on the importance of recycling. In future the company will design a recycling programme for the plastic oil bottles. In order to decrease pollution a hydrogen generator will be bought instead of a diesel. By implementing this project the activities of Jake Oil Lubric SRL will become much more environmentally friendly as the technology involves a close circuit system and there is no need any more to use sulphuric acid. Further, by recycling used oil there is less need for import of new lubricated oils. Regarding the direct impact of Jake Oil Lubric SRL, the company has already implemented an Environmental Impact Assessment (EIA) and the implementation of the project is according to its recommendations. Already since 2005, it has made a fluid-proof layer below the company, its drainage water is cleaned and recycled and afterwards cleaned again at the waste water treatment plant of the industrial zone.•	Position of womenDue to the heavy work in Jake Oil Lubric SRL nearly all employees are male. In the joint venture however, the heavy part of the work is changed in a semi-automatic process providing opportunities for women engineers. The project will employ four women out of a total of twelve employees of which three female engineers. To start a modern, environmentally friendly waste oil recycling plant, based on hot contact distillation and fractionation in order to produce and market recycled lubricants in Bolivia.