Passenger Automobile and Light Truck Greenhouse Gas Emission Regulations (SOR/2010-201)

Marginal note:Merger

28.2 For the purposes of section 28.1, in the case of a company that merges with one or more companies after December 31, 2009, the total number of passenger automobiles and light trucks of the 2009 model year manufactured or imported for sale in Canada by the company is the sum of the number of passenger automobiles and light trucks of the 2009 model year manufactured or imported for sale in Canada by each of the merged companies.

Marginal note:Purchase

28.3 For the purposes of section 28.1, in the case of a company that purchases one or more companies after December 31, 2009, the total number of passenger automobiles and light trucks of the 2009 model year manufactured or imported for sale in Canada by the company is the sum of the number of passenger automobiles and light trucks of the 2009 model year manufactured or imported for sale in Canada by the company and all purchased companies.

Early Action Credits

Marginal note:Early action credits — 2008, 2009 and 2010 model years

• 29 (1) A company may obtain early action credits in respect of its fleets of passenger automobiles and light trucks of the 2008, 2009 and 2010 model years if the total number of credits calculated in respect of those fleets of the 2008, 2009 and 2010 model years is greater than the total number of deficits incurred for those model years and the company reports the credits in its 2011 model year report.

• Marginal note:Date of early action credits

  (2) The early action credits are obtained by a company on the day on which the report referred to in subsection (1) is submitted.

• Marginal note:Calculation

  (3) Early action credits obtained or deficits incurred in respect of the company’s fleets of passenger automobiles and light trucks of the 2008, 2009 and 2010 model years must be calculated in accordance with subsection 20(3), except that the fleet average CO₂ equivalent emission standard for the 2008, 2009 and 2010 model years, as determined for A, is the following:

  • (a) in the case of fleets of passenger automobiles, 323 grams/mile; and

  • (b) in the case of fleets of light trucks, either the quotient of 8,887 divided by the light truck fuel economy level for the applicable model year determined in accordance with section 5 of Title 49, subtitle B, chapter V, part 533, of the CFR, applicable to that model year, or

    • (i) 395 grams/mile for the 2008 model year,

    • (ii) 381 grams/mile for the 2009 model year, and

    • (iii) 376 grams/mile for the 2010 model year.

• Marginal note:Modification

  (4) For the purposes of paragraph (3)(b), the equation in Figure 1 set out in section 5 of Title 49, subtitle B, chapter V, part 533, of the CFR is modified as follows:

  • (a) “N” is the total number of passenger automobiles or light trucks in the fleet;

  • (b) “N_i” is the number of passenger automobiles or light trucks in each group “i” in the fleet; and

  • (c) “i” is a group of passenger automobiles or light trucks of the same model type and that have the same footprint.

• Marginal note:2008 model year — limitation

  (5) Early action credits obtained for a fleet of passenger automobiles or light trucks of the 2008 model year can only be used to offset a deficit incurred in respect of a fleet of passenger automobiles or light trucks of the 2011 model year, after which the credits are no longer valid.

• Marginal note:Time limit — credits for the 2009 model year

  (6) Early action credits obtained for a fleet of passenger automobiles or light trucks of the 2009 model year may be used in respect of any fleet of passenger automobiles or light trucks of the 2011 to 2014 model years, after which the credits are no longer valid.

• Marginal note:Time limit — credits for the 2010 model year

  (6.1) Early action credits obtained for a fleet of passenger automobiles or light trucks of the 2010 model year may be used in respect of any fleet of passenger automobiles or light trucks of the 2011 to 2021 model years, after which the credits are no longer valid.

• Marginal note:Use of early action credits

  (7) Subject to subsection (8) and paragraph 30(3)(b), the rules set out in sections 21 and 22 with respect to credits also apply to early action credits.

• Marginal note:Adjustment

  (8) If the early action credits are obtained in respect of fleets of the 2009 and 2010 model years that contain alcohol dual fuel vehicles or natural gas dual fuel vehicles, the number of early action credits that are available to offset a deficit incurred in respect of a fleet of passenger automobiles or light trucks of the 2012 or subsequent model years must be adjusted with the assumption that all alcohol dual fuel vehicles and natural gas dual fuel vehicles operate only on gasoline or diesel fuel.

Marginal note:Definitions

• 30 (1) For the purposes of this section

  • (a) heavy light-duty truck, light-duty vehicle, light light-duty truck and medium-duty passenger vehicle have the same meaning as in subsection 1(1) of the On-Road Vehicle and Engine Emission Regulations; and

  • (b) loaded vehicle weight means the curb weight of a vehicle plus 136.1 kg (300 pounds).

• Marginal note:Alternative fleet combination for early action credits

  (2) Instead of obtaining early action credits in respect of its fleets of passenger automobiles and light trucks of the 2008, 2009 and 2010 model years, a company may obtain early action credits in respect of its combined fleet of light-duty vehicles and light light-duty trucks that have a loaded vehicle weight of 1 701 kg (3,750 pounds) or less or its combined fleet of light light-duty trucks that have a loaded vehicle weight of more than 1 701 kg (3,750 pounds), heavy light-duty trucks and medium-duty passenger vehicles of the same model years.

• Marginal note:Fleet average CO₂ equivalent emission standard

  (3) Section 29 applies to the combined fleets referred to in subsection (2), except that

  • (a) the fleet average CO₂ equivalent emission standard provided for in subsection 29(3) is the following:

    • (i) in the case of the 2008 and 2009 model years, the fleets of light-duty vehicles and light light-duty trucks that have a loaded vehicle weight of 1 701 kg (3,750 pounds) or less, 323 grams/mile,

    • (ii) in the case of the 2008 and 2009 model years, the fleets of light light-duty trucks that have a loaded vehicle weight of more than 1 701 kg (3,750 pounds), heavy light-duty trucks and medium-duty passenger vehicles, 439 grams/mile,

    • (iii) in the case of the 2010 model year, the fleets of light-duty vehicles and light light-duty trucks that have a loaded vehicle weight of 1 701 kg (3,750 pounds) or less, 301 grams/mile, and

    • (iv) in the case of the 2010 model year, the fleets of light light-duty trucks that have a loaded vehicle weight of more than 1 701 kg (3,750 pounds), heavy light-duty trucks and medium-duty passenger vehicles, 420 grams/mile; and

  • (b) a company that obtains early action credits in respect of its combined fleet of the 2009 model year cannot transfer them to another company.

Combined Fleet Requirements — Zero-emission Vehicles

Interpretation

Marginal note:Definitions

• 30.1 (1) The following definitions apply in this section, in sections 30.11 to 30.21 and in subsections 33(4.1) to (5).

  combined fleet

  combined fleet means all automobiles of a specific model year that a company manufactures in Canada or imports into Canada for the purpose of sale of those automobiles to the first retail purchaser. (parc combiné)

  company

  company has the same meaning as in section 149 of the Act. (entreprise)

  ZEV requirement

  ZEV requirement means the minimum performance required with respect to zero-emission vehicles of a company’s combined fleet for a given model year, as set out in section 30.12. (exigence VZE)

  ZEV value

  ZEV value means the actual performance with respect to zero-emission vehicles of a company’s combined fleet for a given model year, calculated in accordance with section 30.13(1). (valeur VZE)

• Marginal note:Exclusion — emergency vehicles and fire fighting vehicles

  (2) Despite the definition combined fleet in subsection (1), a company may, for the purposes of sections 30.11 to 30.21, elect to exclude emergency vehicles and fire fighting vehicles from its combined fleet of any model year, if it reports that election in its end of model year report for that model year.

• Marginal note:Exclusion — automobile being exported

  (3) The definition combined fleet in subsection (1) does not include any automobile that is being exported and that is accompanied by written evidence establishing that it will not be sold or used in Canada.

General

Marginal note:Requirement respecting ZEV value

30.11 Subject to sections 30.14 to 30.21, a company must ensure that the ZEV value of its combined fleet, calculated in accordance with section 30.13, of the 2026 model year and subsequent model years meets or exceeds the ZEV requirement for the model year in question.

ZEV Requirement for Combined Fleet

Marginal note:ZEV requirement by model year

30.12 The ZEV requirement for a company’s combined fleet for a model year in column 1 of the following table is set out in column 2.

ZEV Value for Combined Fleet

Marginal note:Calculation of ZEV value

• 30.13 (1) A company must calculate, for the 2026 model year and subsequent model years, the ZEV value of its combined fleet using the following formula:

  (A ÷ B) + C

  where

  A

  is the total number of electric vehicles and fuel cell vehicles in the combined fleet;

  B

  is the total number of automobiles in the combined fleet; and

  C

  is, with respect to plug-in hybrid electric vehicles, the lesser of the following results:

  • (a) the contribution of these plug-in hybrid electric vehicles to the actual performance of a company’s combined fleet with respect to zero-emission vehicles, calculated using the following formula:

    (0.15 × A + 0.75 × B + C + D + 0.75 × E + F + 0.75 × G + H) ÷ I

    where

    A

    is, for the 2026 model year, the total number of plug-in hybrid electric vehicles in the combined fleet with an all-electric driving range of at least 35 km and not more than 49 km,

    B

    is, for the 2026 model year, the total number of plug-in hybrid electric vehicles in the combined fleet equipped with less than seven seats with an all-electric driving range of at least 50 km and not more than 64 km,

    C

    is, for the 2026 model year, the total number of plug-in hybrid electric vehicles in the combined fleet equipped with seven seats or more with an all-electric driving range of at least 50 km and not more than 64 km,

    D

    is, for the 2026 model year, the total number of plug-in hybrid electric vehicles in the combined fleet with an all-electric driving range of at least 65 km,

    E

    is, for the 2027 model year, the total number of plug-in hybrid electric vehicles in the combined fleet equipped with less than seven seats with an all-electric driving range of at least 50 km and not more than 79 km,

    F

    is, for the 2027 model year, the total number of plug-in hybrid electric vehicles in the combined fleet equipped with seven seats or more with an all-electric driving range of at least 50 km and not more than 79 km,

    G

    is, for the 2028 model year, the total number of plug-in hybrid electric vehicles in the combined fleet with an all-electric driving range of at least 50 km and not more than 79 km,

    H

    is, for the 2027 and subsequent model years, the total number of plug-in hybrid electric vehicles in the combined fleet with an all-electric driving range of at least 80 km, and

    I

    is the total number of automobiles in the combined fleet, and

  • (b) the allowable portion of the contribution of these plug-in hybrid electric vehicles to the ZEV requirement for a company’s combined fleet, calculated using the following formula:

    A × B

    where

    A

    is the ZEV requirement for the model year in question, and

    B

    is the allowable portion of that ZEV requirement, set out in column 2 of the following table, for the model year set out in column 1:

  Item	Column 1	Column 2
  	Model year	Allowable portion of ZEV requirement
  1	2026	0.45
  2	2027	0.30
  3	2028 and subsequent	0.20

• Marginal note:All-electric driving range

  (2) For the purposes of subsection (1), the all-electric driving range is calculated using the following formula, rounded to the nearest whole number or, if the number is equidistant between two consecutive whole numbers, to the higher number:

  A × 0.7

  where

  A

  is the actual charge-depleting range in kilometres, determined in accordance with section 311(j)(4)(i) of Title 40, chapter I, subchapter Q, part 600, subpart D of the CFR, rounded to the nearest tenth of a unit or, if the number is equidistant between two consecutive tenths of a unit, to the higher tenth.

Compliance Unit or Deficit System

Marginal note:Obtaining units

• 30.14 (1) As of the 2026 model year, a company obtains compliance units in respect of its combined fleet if its ZEV value is greater than the ZEV requirement for the model year in question and the company reports the compliance units in its end of model year report.

• Marginal note:Deficits

  (2) As of the 2026 model year, a company incurs a deficit in respect of its combined fleet if its ZEV value is less than the ZEV requirement for the model year in question.

• Marginal note:Calculation

  (3) A company must calculate the compliance units or deficit for its combined fleet of a given model year using the following formula:

  (A − B) × C

  where

  A

  is the ZEV value of its combined fleet of the model year;

  B

  is the ZEV requirement for the model year; and

  C

  is the total number of automobiles in the combined fleet.

• Marginal note:Date of units or deficit

  (4) A company obtains compliance units or incurs a deficit in respect of its combined fleet on the day on which the end of model year report for the model year in question is submitted.

• Marginal note:Use of units — time limit

  (5) Compliance units obtained for a combined fleet of any of the 2026 to 2034 model years may be used to offset a deficit incurred in respect of any combined fleet of up to three model years before the model year for which those units were obtained and, at the latest, of the earlier of

  • (a) the fifth model year after the model year for which the units were obtained; and

  • (b) the 2034 model year.

• Marginal note:End of validity

  (6) Compliance units are no longer valid after the day on which the company submits its end of model year report for the 2035 model year.