Marine Spark-Ignition Engine, Vessel and Off-road Recreational Vehicle Emission Regulations (SOR/2011-10)

Fleet Average Emission Credits and Deficits for Vehicles

Marginal note:Obtaining credits

• 30 (1) For the purposes of subparagraph 162(1)(b)(i) of the Act, a company obtains fleet average emission credits in relation to a given emission type in respect of a fleet of vehicles referred to in subparagraph 11(1)(d)(ii) for a given model year when

  • (a) the fleet average emission value for the fleet for that emission type, determined under section 29, is less than the applicable standard in respect of the fleet for that emission type; and

  • (b) the company reports those credits in its end of model year report under section 33.

• Marginal note:Result of excluding EPA certified vehicles

  (2) A company that excludes vehicles in accordance with subsection 24(4) from a fleet of vehicles for a given model year

  • (a) is ineligible to obtain fleet average emission credits in respect of that fleet; and

  • (b) forfeits all fleet average emission credits, obtained in respect of previous model years, in respect of that fleet.

• Marginal note:Determination of fleet average emission credits

  (3) The fleet average emission credits in respect of a fleet of vehicles in relation to a given emission type for a given model year, expressed in grams, are determined in accordance with the following formula:

  

  where

  A

  is the applicable standard for the fleet in relation to the given emission type for the given model year;

  B

  is the fleet average emission value in relation to the given emission type, determined in accordance with section 29, for the given model year;

  TOT

  is the total number of emission families in the fleet;

  “i”

  is the i^th emission family in the fleet, where “i” goes from 1 to TOT;

  Y_i

  is, in the case of exhaust emissions, the number of vehicles in the fleet that are in the emission family “i” and, in the case of evaporative emissions, the number of vehicles in the fleet that are in the emission family “i” multiplied by the average internal surface area of the vehicles’ fuel tanks expressed in square metres; and

  Z_i

  is the useful life applicable to the emission family “i” as described for Z_i in the formula set out in subsection 29(1).

• Marginal note:Rounding

  (4) If the fleet average emission credits determined in accordance with subsection (3) results in a fraction, the fraction is to be expressed in decimal form and rounded to one decimal place, the digit at that first decimal place being increased by one if the digit at the second decimal place is 5 or more.

Marginal note:Deficit

• 31 (1) If a company’s fleet average emission value in respect of an emission type for a fleet of vehicles exceeds the applicable standard in respect of the fleet for that emission type, the company’s fleet average emission deficits is the negative number determined in accordance with the formula set out in subsection 30(3).

• Marginal note:Offsetting of the deficit

  (2) Any fleet average emission deficits must be offset with an equivalent number of fleet average emission credits obtained by the company or transferred to it by another company. The deficits and credits must be in respect of the same type of fleet, the same emission type and the same standard, expressed in the same units.

• Marginal note:Remaining credits

  (3) A company may bank any remaining credits to offset future deficits in accordance with subsection (2) or transfer them to another company.

• Marginal note:Period for offsetting

  (4) A company must offset any fleet average emission deficit for a fleet for a given model year

  • (a) in the case of a fleet for the 2012 model year and in relation to exhaust emissions, no later than the day on which the company submits the end of model year report in respect of that fleet for the 2014 model year;

  • (b) in the case of a fleet for the 2012 model year and in relation to fuel tank permeation emissions, no later than the day on which the company submits the end of model year report in respect of that fleet for the 2014 model year;

  • (c) in the case of a fleet for the 2013 and subsequent model years and in relation to exhaust emissions, no later than the day on which the company submits the end of model year report in respect of that fleet for that model year; and

  • (d) in the case of a fleet for the 2013 and subsequent model years and in relation to fuel tank permeation emissions, no later than the day on which the company submits the end of model year report in respect of that fleet for that model year.

Corporate Changes

Marginal note:Acquisition or merger

• 32 (1) A company that acquires another company or that results from the merger of companies is responsible for offsetting any outstanding deficits of the acquired or merged companies.

• Marginal note:Ceasing activities

  (2) If a company ceases to manufacture, import or sell engines or vehicles, it must, before submitting its last end of model year report, offset any outstanding deficits for its fleets.

Reports

Marginal note:Model year reports

• 33 (1) A company must submit to the Minister an end of model year report, signed by a person who is authorized to act on the company’s behalf, no later than June 1 of the calendar year after the model year for which in the report is made.

• Marginal note:Choice of option for conformity

  (2) The end of model year report must indicate the model year for which the report is made and include a statement that

  • (a) all of its engines, vessels or vehicles of a given class for the model year in question conform, as the case may be, to one of paragraphs 11(1)(a) to (c), along with an indication as to which one of those paragraphs they conform to; or

  • (b) all of its engines or vehicles, other than those of a class referred to in paragraph (a), are grouped into one or more fleets that conform to paragraph 11(1)(d), along with an indication of which fleets they are grouped into and whether, for each of those fleets, any of those engines or vehicles were excluded under subsection 24(4).

• Marginal note:Contents of report — fleets

  (3) The end of model year report must contain the following information for each fleet that conforms under paragraph 11(1)(d):

  • (a) the applicable standards;

  • (b) for each emission type, other than an emission type for which the company has made an election under subsection 25(4) or 28(3), as the case may be,

    • (i) for a fleet of engines and for that emission type,

      • (A) the sum determined under subsection 26(1) and each of the family emission credits or deficits for each emission family used to determine that sum, and

      • (B) for each model of engine in each of those emission families, the value of each of the elements referred to in the formula set out in subsection 26(2), and

    • (ii) for a fleet of vehicles and for that emission type,

      • (A) the fleet average emission value determined in accordance with section 29,

      • (B) for each model of vehicle in each of the emission families used to determine that fleet average emission value, the value of each of the elements referred to in the formula set out in section 29, and

      • (C) the number determined in accordance with the formula set out in subsection 30(3);

  • (c) the number of engines or vehicles in the fleet;

  • (d) the number of fleet average emission credits transferred to the company from another company or transferred by the company to another company since the previous end of model year report was submitted, along with the following information:

    • (i) the name, email address, telephone number, civic address and, if different, the mailing address of the other company, and

    • (ii) a signed statement from a person who is authorized to act on the other company’s behalf indicating the number of credits transferred to or from the company submitting the report, the type of fleet and emission type in respect of which those credits are transferred, the units in which the family emission limit is expressed in respect of those credits, the model years in which the credits are transferred and the dates of the transfer;

  • (e) the number of fleet average emission credits to be banked at the end of the model year;

  • (f) if applicable, the number of fleet average emission deficits in relation to the 2012 model year to be offset under paragraph 27(3)(a) or 31(4)(a) or (b); and

  • (g) for any election that the company has made under subsection 25(4) or 28(3), a statement indicating for which emission type the election was made.

• Marginal note:Engines or vehicles that conform to paragraph 11(1)(b)

  (4) If every engine or vehicle within a given class, as the case may be, conforms to paragraph 11(1)(b) for a given model year and the end of model year report for that model year contains the statement set out in paragraph (2)(a), the company must include in that report the information referred to in paragraphs (3)(b) and (c) as if those engines or vehicles were a fleet. However, that information is not required to be included in that report if the company imports less than 100 engines or vehicles, as the case may be, for that model year.

• Marginal note:Additional information for excluded engines and vehicles

  (5) If the engines or vehicles are excluded from a fleet under subsection 24(4) for a given model year, the company must also include in the end of model year report for that model year the information referred to in paragraphs (3)(b) and (c) separately as if those engines or vehicles were included in the fleet.

• Marginal note:Manufactured before the coming into force date

  (6) If the main assembly of every vehicle, or the manufacture of every engine, for the 2012 model year is completed before the coming into force of this section, the company may, instead of complying with subsections (2) to (5), include a statement to that effect in the end of model year report for the 2012 model year.

Emission-related Maintenance Instructions

Marginal note:Provision to first retail purchaser

• 34 (1) A company must ensure that written instructions respecting emission-related maintenance are provided to the first retail purchaser of every engine, vessel or vehicle.

• Marginal note:Language of instructions

  (2) The instructions must be provided in English, French or both official languages, as requested by that purchaser.

Records

Evidence of Conformity

Marginal note:EPA certificates

• 35 (1) For the purposes of paragraph 153(1)(b) of the Act, in the case of an engine or vehicle referred to in paragraph 11(1)(b) and of a vessel or outboard referred to in paragraph 11(1)(c), evidence of conformity in respect of a company consists of

  • (a) a copy of the EPA certificates covering the engine, the vehicle or the fuel lines and fuel tanks installed in the vessel or outboard, as the case may be;

  • (b) a document demonstrating that those engines, vehicles and vessels are sold concurrently in Canada and the United States;

  • (c) a copy of the records submitted to the EPA in support of the application, and any amended application, for the issuance of those EPA certificates; and

  • (d) an emission control information label that is permanently affixed in the form and location set out in

    • (i) sections 135(b) to (f) of subpart B of CFR 1045, for an engine,

    • (ii) sections 135(a) to (e) of subpart B of CFR 1060, for a vessel or, if applicable, an outboard, and

    • (iii) sections 135(b) to (e) of subpart B of CFR 1051, for a vehicle.

• Marginal note:No EPA certificates

  (2) For the purposes of paragraph 153(1)(b) of the Act, in the case of an engine or vehicle, other than one referred to in paragraph 11(1)(b), or of a vessel or outboard, other than one referred to in paragraph 11(1)(c), evidence of conformity must be obtained and produced by the company in a form and manner satisfactory to the Minister.

• Marginal note:When to submit evidence of conformity

  (3) For greater certainty, the company must submit the evidence of conformity referred to in subsection (2) to the Minister before applying a national emissions mark to the engine, vehicle or vessel or importing the engine, vehicle or vessel.

Maintenance and Retention of Records

Marginal note:Period

• 36 (1) A company must maintain a record, in writing or in a readily readable electronic or optical form, that contains the following information and retain the record for the following periods:

  • (a) the end of the model year report referred to in section 33, for a period of eight years after the model year in question;

  • (b) the evidence of conformity referred to subsection 35(1) or (2), as the case may be, for a period of eight years

    • (i) after the manufacture of the engine is complete, or

    • (ii) after the main assembly of the vehicle or the vessel;

  • (c) for each model year and for each engine or vehicle of each of its fleets, for a period of eight years after the model year in question,

    • (i) the model and emission family,

    • (ii) the name and civil address of the plant where the engine or vehicle was manufactured,

    • (iii) the engine or vehicle identification number,

    • (iv) the family emission limit to which the engine or vehicle conforms,

    • (v) the name and civil address, or mailing address, of the first retail purchaser of the engine or vehicle in Canada, and

    • (vi) for a company that, under subsection 24(4), excludes from its fleet the engines or vehicles referred to in that subsection, a document that demonstrates that the number of engines or vehicles sold in the United States during a given period that are covered by an EPA certificate exceeds the number of those engines or vehicles sold in Canada during that period that are covered by the same EPA certificate; and

  • (d) for a company referred to in subsection 33(4) that imports less than 100 engines or vehicles for a given model year, the number of engines or vehicles imported, for a period of eight years after the model year in question.

• Marginal note:Records retained on company’s behalf

  (2) If the records referred to in subsection (1) are retained on a company’s behalf, the company must keep a record of the name and civic address and, if different, the mailing address of the person who retains those records.

• Marginal note:Deadline to submit records when requested

  (3) If the Minister makes a written request for a record referred to in subsection (1) or (2), the company must submit it to the Minister in either official language

  • (a) within 40 days after the day on which the request is made to the company; or

  • (b) within 60 days after the day on which the request is made to the company, if the record must be translated from a language other than French or English.

Importation Requirements and Documents

Marginal note:Importer’s declaration

• 37 (1) Subject to subsections (2) and (3), for the purposes of paragraph 153(1)(b) of the Act, any person importing an engine, vessel or vehicle into Canada must submit, prior to importation, a declaration to the Minister, signed by that person or their duly authorized representative, that contains the following information:

  • (a) the importer’s name, email address, telephone number, civic address and, if different, their mailing address;

  • (b) the manufacturer’s name, the number of engines, vessels or vehicles, as the case may be, to be imported and the make, model, model year and class of each of those engines, vessels and vehicles;

  • (c) the day on which they are expected to be imported;

  • (d) if the importer is a company,

    • (i) the business number assigned to the company by the Minister of National Revenue, and

    • (ii) a statement that each of those engines, vessels or vehicles bears the national emissions mark or that the company is able to produce the evidence of conformity referred to in subsection 35(1) or has produced the evidence of conformity in accordance with subsection 35(2), as the case may be; and

  • (e) if the importer is not a company,

    • (i) a statement from the importer that each of those engines, vessels or vehicles bears

      • (A) the national emissions mark,

      • (B) the emission control information label referred to in paragraph 35(1)(d) that indicates, as the case may be, that

        • (I) the engine conformed to the emission standards of the EPA in effect when its manufacture was completed,

        • (II) the fuel lines and fuel tanks installed in the vessel or the outboard conformed to the emission standards of the EPA in effect at the time of the completion of its main assembly, or

        • (III) the vehicle conformed to the emission standards of the EPA in effect at the time of the completion of its main assembly, or

      • (C) a label that indicates that the engine conformed to the emission standards of the California Air Resources Board in effect at the time of its manufacture or the vehicle conformed to the emission standards of the California Air Resources Board in effect at the time of the completion of its main assembly, as the case may be, or

    • (ii) a statement from the manufacturer or their duly authorized representative that, as the case may be,

      • (A) the engine conformed to the standards set out in these Regulations, or to the standards referred to in subclause (i)(B)(I) or clause (i)(C), when its manufacture was completed,

      • (B) each of the fuel lines and fuel tanks installed in the vessel or the outboard, as the case be, conformed to the standards set out in these Regulations, or to the standards referred to in subclause (i)(B)(II), at the time of the completion of the main assembly of the vessel or the manufacture of the outboard, or

      • (C) the vehicle conformed to the standards set out in these Regulations, or to the standards referred to in subclause (i)(B)(III) or clause (i)(C), at the time of the completion of its main assembly.

• Marginal note:Exception

  (2) A person who is not a company who, in a calendar year, imports at most 10 of any combination of engines, vessels and vehicles is not required to make the declaration referred to in subsection (1).

• Marginal note:Alternative declaration

  (3) For the purposes of paragraph 153(1)(b) of the Act, a company that, in a calendar year, imports at least 500 of any combination of engines, vessels and vehicles into Canada may submit the information referred to in subsection (1) in a form and manner that is satisfactory to the Minister.