Tyre Pyrolysis Plant: A Simple Guide to Starting One in India - A tyre pyrolysis plant is a type of Waste to Energy (WTE) project. It converts used tyres into pyrolysis oil, gas, and carbon black through a heating process carried out in the absence of oxygen. Along with scrap tyres, the same technology can also process waste plastic and other rubber waste to produce useful fuel oil and diesel-like products.

Because India generates huge amounts of tyre and plastic waste every year, WTE plants are gaining popularity. Environmental authorities actively support these projects as they help reduce landfill waste while producing energy and generating income.

Why Tyre Pyrolysis Is a Good Business Opportunity

Tyre pyrolysis is widely accepted because it solves two major problems at once—waste disposal and fuel generation.

  • It safely disposes of hazardous waste like tyres, plastic, oil, and rubber
  • It produces valuable by-products such as fuel oil, syngas, and carbon black
  • Pyrolysis oil has high calorific value, low sulphur content, low ash, and minimal residue
  • The process reduces dependence on landfills and open dumping
  • The generated oil can be used in boilers, furnaces, construction activities, and industrial heating

With environmental benefits and strong profit potential, a tyre pyrolysis plant can be a lucrative long-term investment.

Step-by-Step Process to Start a Tyre Pyrolysis Plant in India

Step 1: Conduct Market Research

Before investing, study the local market carefully. You should understand:

  • Demand for pyrolysis oil and carbon black
  • Availability and cost of waste tyres
  • Presence of competitors
  • Potential buyers for the final products

This research helps you assess profitability and reduce business risks.

Step 2: Arrange Funding

Starting a pyrolysis plant requires capital for machinery, land, installation, and initial operations. Funding can be arranged through:

  • Bank loans
  • Private investors
  • Venture capital
  • Self-investment

A clear project report will help you secure financing easily.

Step 3: Choose the Right Location

Select a location with:

  • Easy road access for transporting tyres and products
  • Adequate electricity and water supply
  • Compliance with local zoning and environmental rules

Industrial areas are usually preferred for setting up such plants.

Step 4: Purchase Required Machinery

You will need specialized equipment for the pyrolysis process, such as:

  • Pyrolysis reactor
  • Condenser and cooling system
  • Gas scrubber
  • Oil storage tanks

Additional equipment like tyre shredders, conveyors, and handling tools may also be required.

Step 5: Hire Skilled Staff

A tyre pyrolysis plant needs trained manpower, including:

  • Plant manager
  • Machine operators
  • Maintenance staff
  • Administrative and safety personnel

Skilled staff ensures smooth operations and compliance with safety norms.

Step 6: Obtain Necessary Licenses and Approvals

Running a pyrolysis plant legally requires several registrations and permissions:

1. Business Registration

You must legally register your business (Proprietorship, LLP, or Company) to operate a manufacturing or recycling unit.

2. Pollution Control Board (SPCB/PCC) Consent

Tyre pyrolysis plants fall under the Red Category due to air emissions and water usage. You must apply through the OCCMS portal for:

  • Consent to Establish (CTE)
  • Consent to Operate (CTO)

Common documents include:

  • Plant layout plan
  • Process flow diagram
  • DG set details (if applicable)
  • Waste and emission analysis reports
  • Pollution control equipment details
  • Air quality monitoring reports
  • Water requirement details
  • Consent fees
  • Environmental Clearance (if required)
  • CGWA NOC (if groundwater is used)

3. Factory License

This license is issued by the State Labour Department. Documents usually required include:

  • Plant and machinery details
  • Manufacturing process description
  • Site location details
  • Land ownership or lease documents

4. MSME (Udyam) Registration

Registering under MSME provides benefits like subsidies and easier access to loans. Classification depends on investment and turnover limits. PAN and GST are mandatory for registration.

5. Hazardous Waste Management Authorisation

Since tyres are classified as hazardous waste, you must obtain authorization and follow CPCB guidelines for safe handling, storage, and recycling.

6. EPR Registration for Waste Tyres

Under the Hazardous Waste Management Amendment Rules, 2022, EPR registration is mandatory for tyre recyclers and processors.

  • Registration is done on the CPCB’s centralised EPR portal
  • CPCB issues a registration certificate valid for two years
  • Renewal is required every two years
  • Reporting of tyre quantities processed is mandatory

Without EPR registration, operating a tyre pyrolysis plant is not permitted.

Starting a tyre pyrolysis plant in India is both environment-friendly and financially rewarding. With rising waste generation, strong government oversight, and growing fuel demand, this business model offers long-term sustainability. By following the proper steps, obtaining approvals, and complying with environmental norms, entrepreneurs can build a successful Waste to Energy venture.