Introduction
Aluminium is one of the most recyclable and valuable materials in the world.
It can be recycled many times without losing its quality, which makes it essential for India's circular economy. Aluminium waste originates from various sources, including beverage cans, foil, packaging, electrical wires, car parts, construction materials, and industrial scraps.
To avoid environmental harm caused by improper handling of scrap, such as unsafe melting, illegal dumping, or unregulated trading, the Government of India has imposed regulations through pollution control laws, the statutory waste management regulations along with the EPR mechanism.” Any business that deals with aluminium scrap, recycling, or packaging must comply with these laws.
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Who Needs to Register for Aluminium Recycling
Registration is required for all businesses engaged in handling aluminium waste.
These include:
1. Aluminium Recyclers
Businesses that melt scrap aluminium and produce it into ingots, sheets, rods, or other usable raw materials.
2. Scrap Processors and Dismantlers
Organisations that sort, crush, shred, or prepare aluminium waste for recycling.
3. Scrap Traders and Dealers
Businesses that store or sell aluminium scrap in bulk.
4. Importers of Aluminium Scrap
Companies that bring scrap into India for recycling or resale.
5. Producers Using Aluminium Packaging
Manufacturers that use aluminium cans, foil, or containers are required to follow EPR guidelines.
Legal Framework for Aluminium Recycling
Aluminium recycling is governed by several laws and rules, including:
- Environment (Protection) Act, 1986
- Solid Waste Management Rules, 2016
- EPR Rules for non-ferrous metals
- Guidelines issued by the State Pollution Control Board (SPCB)
Although aluminium itself is non-hazardous, the process of melting and handling dross can produce harmful emissions and waste, so environmental clearance is necessary.
Aluminium Recycling Registration Process
Step 1 – Business Registration
The recycler must be registered as a proprietorship, partnership, Limited Liability Partnership (LLP), or private limited company with a PAN, GST, and registered office address.
Step 2 – Factory Setup
The unit must have:
- A designated area for storing scrap
- Melting equipment, such as a furnace
- Pollution control systems, like chimneys, filters, and scrubbers
- Fire and safety measures in place
Step 3 – Consent to Establish (CTE)
The business must apply for CTE with the State Pollution Control Board (SPCB) before setting up the machinery.
Step 4 – Install Plant and Pollution Controls
After receiving approval, the unit should install the required equipment and pollution control devices.
Step 5 – Consent to Operate (CTO)
Following installation, the business must apply for CTO.
The SPCB will inspect the site before granting permission.
Step 6 – Recycler Authorization
Once the CTO is approved, the business is officially registered as an authorised aluminium recycler.
Documents Required
- Certificate of incorporation or firm registration
- PAN and GST registration
- Proof of factory or land ownership/lease
- Site layout and plant design
- Manufacturing and recycling process details
- Pollution control system information
- Electricity bill
- Fire safety certificate
- Aadhaar or ID of directors or partners
Government Registration Fees
| Unit Type | Approximate Government Fee |
|----------------------|----------------------------|
| Small recycler | ₹5,000 – ₹15,000 |
| Medium recycler | ₹15,000 – ₹50,000 |
| Large plant | ₹50,000 – ₹1,00,000+ |
Fees may vary by state and based on the plant's capacity.
EPR Compliance for Aluminium Packaging
Under India’s EPR framework for non-ferrous metals, producers using aluminium packaging are responsible for managing the waste they generate.
Who Must Comply
- Beverage can manufacturers
- Aluminium foil and packaging producers
- Importers and brand owners selling products in aluminium packaging
What EPR Requires
- Registration on the CPCB EPR Portal
- Achieving annual recycling targets
- Using a minimum percentage of recycled aluminium
- Submitting regular compliance reports
- Purchasing EPR recycling certificates from approved recyclers when required
Failure to meet EPR targets can result in penalties and restrictions on business operations.
Import and Export Compliance for Aluminium Scrap
Importing Aluminium Scrap
To bring aluminium scrap into India, the importer must:
- Have been issued an Import Export Code (IEC) by DGFT.
- Obtain pollution control approval from the SPCB
- Ensure the scrap is free from radioactive or hazardous contamination
- Complete customs clearance and provide proper documentation
- Obtain a pre-shipment inspection certificate for certain shipments
Exporting Aluminium Scrap
For exporting aluminium scrap, the exporter must:
- Have an IEC Code
- Follow DGFT's Foreign Trade Policy
- Submit customs shipping bills and proper classification
- Provide quality and weight certification
Illegal or contaminated shipments are not allowed and may result in rejection and penalties.
Checklist for Setting Up an Aluminium Recycling Plant
Business & Legal
- Company / LLP / Firm registration
- PAN, GST, and bank account
- IEC (if importing or exporting scrap)
Land & Infrastructure
- Industrial land or factory
- Area for scrap storage
- Melting furnace and machinery
- Pollution control systems
- Fire safety equipment
Approvals
- Consent to Establish (from SPCB)
- Consent to Operate (from SPCB)
- Recycler registration
- EPR registration (if applicable)
Operations
- Waste handling plan
- Emission and residue management
- Worker safety and training
- Record keeping and reporting
Conclusion
Aluminium recycling plays a crucial role in strengthening India’s circular economy by conserving natural resources, reducing energy consumption, and minimizing environmental pollution. However, because recycling involves melting, emissions, and handling of industrial scrap, it is closely regulated under India’s environmental and waste management framework. From obtaining Consent to Establish and Consent to Operate from the State Pollution Control Board to securing recycler authorisation and complying with EPR obligations, every stage of an aluminium recycling business must follow a structured legal process.
For businesses dealing with aluminium packaging, EPR adds another layer of responsibility by ensuring that producers, importers, and brand owners take accountability for the end-of-life management of their products. Likewise, importers and exporters of aluminium scrap must strictly follow DGFT, customs, and pollution control norms to prevent illegal trade and environmental harm.
In short, while aluminium recycling offers strong commercial and sustainability opportunities, success in this sector depends on proper registration, environmental compliance, transparent operations, and timely reporting. Companies that align their operations with India’s regulatory framework not only avoid penalties but also build long-term credibility and contribute meaningfully to a cleaner and more resource-efficient economy.
FAQs – Aluminium Recycling in India: Registration, EPR & Compliance (CORPZO)
Q1. What is Aluminium Recycling compliance in India?
Answer: Aluminium recycling compliance in India involves obtaining mandatory registrations, EPR authorization, and fulfilling regulatory obligations under CPCB and SPCB guidelines.
Q2. Is EPR registration mandatory for aluminium recycling businesses?
Answer: Yes, EPR registration is mandatory for producers, importers, brand owners, and authorised recyclers dealing with aluminium waste in India.
Q3. Who is required to obtain Aluminium EPR registration in India?
Answer: Manufacturers, importers, brand owners (PIBOs), and aluminium recyclers must obtain EPR registration as per environmental regulations.
Q4. Which authority regulates Aluminium Recycling and EPR compliance in India?
Answer: Aluminium recycling and EPR compliance are regulated by the Central Pollution Control Board (CPCB) and respective State Pollution Control Boards (SPCBs).
Q5. What documents are required for Aluminium Recycling registration?
Answer: Required documents include company incorporation certificates, PAN, GST, recycling capacity details, consent certificates, and environmental clearances.
Q6. What is the validity period of Aluminium EPR registration?
Answer: The validity of Aluminium EPR registration is issued for a specific period and must be renewed in accordance with CPCB guidelines.
Q7. What are the penalties for non-compliance with Aluminium Recycling rules?
Answer: Non-compliance may result in financial penalties, suspension or cancellation of registration, and legal action under environmental laws.
Q8. Is annual reporting required under Aluminium EPR compliance?
Answer: Yes, aluminium recyclers and PIBOs must file periodic and annual EPR returns through the CPCB EPR portal.
Q9. Can Aluminium Recycling compliance be managed by professional consultants?
Answer: Yes, professional consultants like CORPZO provide complete support for EPR registration, filings, reporting, and ongoing compliance.
Q10. How does CORPZO help with Aluminium Recycling registration and compliance?
Answer: CORPZO offers end-to-end services including documentation, EPR portal registration, CPCB coordination, return filings, and compliance management.
