Roles & Operations: Processors

Processors play an important role in Ontario’s economy and environment, accepting used tires that may have gone toward burning and landfilling, and recycling these used tires into a range of tire-derived products that can be used to manufacture products such as water troughs, traffic cone bases, drainage beds and quieter, safer roads. The Program will invest in Ontario’s scrap tire Processors, contributing to their growth and economic well-being by providing incentives for selling Tire Derived Products (TDPs).

These incentives will help create a favourable business environment that helps Processors capitalize on the economic growth opportunities created by the Program. In the first year alone, $22 million in processing incentives will be invested in the Ontario tire recycling industry, stimulating a wider range of products and increasing capacity. Higher-value added products will receive the higher incentives.

Roles and Requirements of Processors

Once registered with the Ontario Tire Stewardship OTS and the Used Tires Program, Processors are responsible for meeting the following:

  • Registering with the Used Tires Program and sign the Processor Agreement with OTS

  • Providing proof of sale of Tire Derived Products (TDPs)

  • Accepting tires from all registered Haulers for no charge where capacity permits (only applies to the types of tires that the Processor is registered to accept)

  • Providing proof of end use of the TDPs sold and demonstrating that these materials are being used by their customers in a manner compliant with the diversion objectives of the program. This will be reviewed regularly by OTS.

Incentives for Processors

Registered Processors that meet the above Used Tires Program requirements are eligible for the following benefits and incentives:

  • Applicable Processing Incentives (see chart below)

    • In order to encourage the production of higher-value added products, an incentive ranking system will be used for the following product categories, with crumb rubber receiving the highest incentive level:

      • Crumb Rubber
      • Shred
      • Fabricated Products
      • Manufactured Products
    • This list of approved end-uses may be amended by OTS from time to time as new processing options become available in Ontario.

    • Incentives are fixed for Year 1 and will be updated annually

  • Payment within 35 days of OTS receiving the required proof of sales of Tire-Derived Products (TDP)

  • Your name posted on the OTS website as a registered Processor

Processor Incentive Chart

 OTS  Product  Type    Material  Source    Feedstock  (Y/N)    Eligible  Product  Code    Description    Eligible Rates per  Metric Tonne of  TDP  
 TDP1  Off  Y  TDP1FF  TDP1,  Off-the-Road,  Feedstock  175.00
 TDP1  Off  N  TDP1FT  TDP1,  Off-the-Road,  Whole Tires  337.50
 TDP1  On  Y  TDP1NF  TDP1,  On-the-Road,  Feedstock  140.00
 TDP1  On  N  TDP1NT  TDP1,  On-the-Road,  Whole Tires  270.00
 TDP2  Off  Y  TDP2FF  TDP2,  Off-the-Road,  Feedstock  143.75
 TDP2  Off  N  TDP2FT  TDP2,  Off-the-Road,  Whole Tires  287.50
 TDP2  On  Y  TDP2NF  TDP2,  On-the-Road,  Feedstock  115.00
 TDP2  On  N  TDP2NT  TDP2,  On-the-Road,  Whole Tires  230.00
 TDP3  Off  Y  TDP3FF  TDP3,  Off-the-Road,  Feedstock  81.25
 TDP3  Off  N  TDP3FT  TDP3,  Off-the-Road,  Whole Tires  193.75
 TDP3  On  Y  TDP3NF  TDP3,  On-the-Road,  Feedstock  65.00
 TDP3  On  N  TDP3NT  TDP3,  On-the-Road,  Whole Tires  155.00
 TDP4  Off  N  TDP4FT  TDP4,  Off-the-Road,  Whole Tires  81.25
 TDP4  On  N  TDP4NT  TDP4,  On-the-Road,  Whole Tires  65.00
 TDP5  Off  N  TDP5FT  TDP5,  Off-the-Road,  Whole Tires  150.00
 TDP5  On  N  TDP5NT  TDP5,  On-the-Road,  Whole Tires  55.00

Reporting Schedule

Processors must submit their claims monthly as per the following schedule. Claims submitted after the reporting deadline for a period may not be accepted by OTS.

 Reporting Data Period  Reporting Deadline  
 September 1 to September 30, 2009   December 31, 2009
 October 1 to October 31, 2009  January 31, 2010
 November 1 to November 30, 2009  February 28, 2010
 December 1 to December 31, 2009  March 31, 2009
 January 1 to January 31, 2010  April 30, 2010
 February 1 to February 28, 2010  May 31, 2010
 March 1 to March 31, 2010  June 30, 2010
 April 1 to April 30, 2010  July 31, 2010
 May 1 to May 31, 2010  August 31, 2010
 June 1 to June 30, 2010  September 30, 2010
 July 1 to July 31, 2010  October 31, 2010
 August 1 to August 31, 2010  November 30, 2010
 September 1 to September 30, 2010  December 31, 2010
 October 1 to October 31, 2010  January 31, 2011

Processor Resources

Attached is the material that was covered during the Processor conference call held Friday, May 28, 2010. This material includes procedures for completing OTS forms for out of province deliveries including how to file claims for Transportation and Processing Incentives for mixed loads: PLT, MT, OTR tires.

  • Out of province Processors should use these these new procedures for completing claims for mixed loads. Completing these forms is a shared responsibility with the haulers.
  • Conference calls were held June 2 to communicate the new procedures to Haulers
  • The new procedures are interim while the Processing Incentive claim worksheet is being updated. OTS will announce when the updated worksheet is available.

Processor Opening Inventory Declaration Form
Registered Processors must declare their used tires inventory. Use the link above to access your declaration form. Forms must be received by OTS on or before September 8th, 2009.

Information Session by Role – Processors
Access a prerecorded Webinar session and learn what roles and requirements a registered Processor has under the Used Tires Program.

Processor Forms – Note that the document(s) below are samples only. Please contact OTS at Processor@ontarioTS.ca or 1-888-OTS-2202 to request copies of any of the form(s).

  1. Processor Tire Receipt Form

Operational Registrant’s Guidebook

This Guidebook explains your requirements and incentives under the Program. It includes:

  • Role description, requirements and incentives for Processors
  • Processor Agreement
  • Instructions on how to register, including help with completing your application form

Find a Registered Participant
Find a Registered Steward, Collector, Hauler, Processor and Recycled Product Manufacturer (RPM) operating in your area!

Marketing Materials
Access Ontario Tire Stewardship Promotional and educational point of sale materials.