MOTOR OIL MATTERS API Campaign to Promote Quality Motor Oils Lubricants Group November 2011 1220 L Street, NW Washington, DC 20005-4070 www.api.org 1
API Motor Oil Matters Status API version of MOM site Developed but waiting for IT-related steps to be completed Expect to launch any day Distributor and installer licensing database Initiated t design phase Database expected to feature o On-line application function o Secure, licensee-accessible portal that stores licensingrelated information and audit results o Distributor and installer licensee directories that provide information on licenses, updateable information from licensees, and licensee locations 1220 L Street, NW Washington, DC 20005-4070 www.api.org 2
API Motor Oil Matters Objectives Educate marketers, distributors, and installers on importance of oil quality Give credibility to marketers manufacturing quality motor oils, distributors delivering those oils, and installers adding those oils to cars and trucks Identify quality products from point of manufacture to installation (brands accurately represented) Explain how use of quality oils limits or prevents liability claims Demonstrate that off-specification oils are masquerading as quality oils identify off-spec oils to expose unlevel playing field 1220 L Street, NW Washington, DC 20005-4070 www.api.org 3
API Motor Oil Matters Web Site Launch imminent 1220 L Street, NW Washington, DC 20005-4070 www.api.org 4
Licensing: Chain of Custody Standard Proposed new standard: API 1525A, Bulk Engine Oil Chain of Custody and Quality Documentation Marketer/blenders, distributors, and installers document brand, viscosity grade, API performance level through supply chain Developed in cooperation with marketer/blenders, distributors, and installers Installers provide brand, viscosity grade, and API performance level on printed customer receipts 1220 L Street, NW Washington, DC 20005-4070 www.api.org 5
API 1525A Licensing: Aftermarket Audit Expand API aftermarket audit to cover licensed distributors and installers Distributor & installer motor oil documentation examined Motor oil from distributor tanks sampled and tested Motor oil delivered to distributor s customers/installers subject to random testing 1220 L Street, NW Washington, DC 20005-4070 www.api.org 6
Legs & Regs: Weights and Measures Goal: ensure information motor oil installers and consumers receive for bulk oil = information on motor oil bottles Brand name Viscosity grade Performance level l Participated in four regional weights and measures association meetings and interim and national meetings Vote at July 2011 national meeting not enough to pass, but enough to return to committee Western states concerned about requiring disclosure of brand Others concerned about time needed to implement change 1220 L Street, NW Washington, DC 20005-4070 www.api.org 7
Legs & Regs: Changing NIST 130 Message to National Conference on Weights & Measures (NCWM) Motor oil quality varies API experienced with monitoring quality of motor oils Making improvements Good grip on packaged oils Cancellation list will improve program Need NCWM to approve revision to NIST130 with proposed July 1, 2013 effective date for invoices or receipts Viscosity grade, API performance standard, and brand will improve API s ability to enforce its standards when sampling bulk motor oils API already sampling packaged and bulk oils, but need revised NIST130 language to more effectively enforce findings on bulk Consumers deserve to know what they are buying and only real way to do this is by knowing brand, viscosity, and API performance 1220 L Street, NW Washington, DC 20005-4070 www.api.org 8
Key Changes to NIST 130 Current wording limited to label on vehicle motor oil container Adding receptacle, dispenser, or storage tank and invoice from service on engine that includes installation of vehicle motor oil dispensed from receptacle, dispenser, or storage tank Asking for brand, trademark, or trade name of vehicle motor oil to be included too Tank cars used to transport oil exempt as long as information in bill of lading Asking that requirements for invoices or receipts enforceable effective July 1, 2013 1220 L Street, NW Washington, DC 20005-4070 www.api.org 9
Motor Oil Matters Anticipated Results Level playing field established Distributors, installers and consumers understand that high- quality motor oils protect engines and preserve warranties Installers and consumers more aware of OEM recommendations and need to ask for viscosity grade and performance standard DIFMers realize off-specification oils are masquerading as quality oils and learn that API licensing protects them Consumers ask for quality oils and written proof of motor oil s viscosity grade, brand, and performance standard Consumers, distributors and installers learn to rely on MOM site that t directs them to licensed installers, distributors, ib t and marketers 1220 L Street, NW Washington, DC 20005-4070 www.api.org 10
Next Steps Authorize 1525A ballot API to complete steps for certifying distributors and installers 1220 L Street, NW Washington, DC 20005-4070 www.api.org 11