News Bit: Fryer Grease Hits the Black Market
Story by Samantha Neary, posted in TriplePundit.com on June 13, 2012.
“We know that oil consumption is a hot topic today, especially in this volatile economic climate. For example, biodiesel has taken center stage this week with reports of increased grease theft from restaurant kitchens nationwide, subsequently creating an underground frying oil market.
With green energy becoming evermore prevalent and effective, the demand for biodiesel has inspired many to cash in. Here is how it happens: restaurants store used cooking grease in barrels to be picked up by a collection company, “green” thieves steal the grease and resell it to recyclers who then process it and sell the processed biodiesel to someone in the transportation industry. Yes, all this effort is over lard.
For years, restaurants had to pay companies to haul away old grease, which was used mostly in animal feed. Some gave it away to locals who used it make biodiesel for their converted car engines. But with a demand for biofuel rising, fryer oil now trades on a booming commodities market, commanding around 40 cents per pound, about four times what it sold for 10 years ago. Many restaurants now have contracts with collection companies to sell their grease for about $300 per container. This boost in value is tempting for thieves, especially in hard times like we face today, so the renering industry has been trying to lock down the growing market from freeloaders. But barrels of grease are still slipping through the cracks. So instead of restaurants paying collection companies, they are not paying lawyers to persecute grease thieves.
It did take some time, however, for this type of larceny to be taken seriously in court. ‘The reception in municipal court is very uneven,’ said Steven T. Singer, a lawyer in New Jersey. ‘You’re reliant upon the prosecutors, so you got to get them to understand the seriousness of this, as well as the judge.’”
Go to the rest of the story and watch the video from a security cam of a grease thief slipping away with the goods HERE.