Greenhouse Gas Pollution Pricing Act (S.C. 2018, c. 12, s. 186)

Marginal note:Meaning of administration or enforcement of this Part

• 4 (1) For greater certainty, a reference in this Part to the administration or enforcement of this Part includes the collection of any amount payable under this Part.

• Marginal note:Regulations under this Part

  (2) For greater certainty, a reference to “this Part” in section 3, subsection 4(1) or sections 5 to 168 is to be read as a reference to “this Part or regulations made under this Part”.

Marginal note:Covered facility of a person

5 For the purposes of this Part, a covered facility is a covered facility of a person if

• (a) a covered facility certificate in respect of the covered facility has been issued to the person by the Minister of the Environment under section 171; or

• (b) the person is a prescribed person, a person of a prescribed class or a person meeting prescribed conditions in respect of the covered facility.

Marginal note:Arm’s length

• 6 (1) For the purposes of this Part,

  • (a) related persons are deemed not to deal with each other at arm’s length; and

  • (b) it is a question of fact whether persons not related to each other are, at any particular time, dealing with each other at arm’s length.

• Marginal note:Related persons

  (2) For the purposes of this Part, persons are related to each other if they are related persons within the meaning of subsection 6(2) of the Excise Act, 2001.

Marginal note:Exclusive economic zone and continental shelf

7 For greater certainty, an area, for the purposes of this Part, may include all or part of the exclusive economic zone of Canada or the continental shelf of Canada.

General Rules of Application

Marginal note:Determining quantities — litres

• 8 (1) Unless any of subsections (5), (6) and (8) apply, for the purpose of determining a quantity of fuel of a certain type under this Part, if the rate in respect of that type of fuel is expressed in $/litre, the quantity of fuel is the number of litres that the fuel would occupy at 15°C.

• Marginal note:Determining quantities — cubic metres

  (2) Unless subsection (7) or (8) applies, for the purpose of determining a quantity of fuel of a certain type under this Part, if the rate in respect of that type of fuel is expressed in $/cubic metre, the quantity of fuel is the number of cubic metres that the fuel would occupy at 15°C and 101.325 kPa.

• Marginal note:Determining quantities — coal

  (3) Unless subsection (8) applies, for the purpose of determining a quantity of high heat value coal or low heat value coal under this Part, the quantity of coal is the weight of the coal measured in tonnes and normalized to

  • (a) 7.7% moisture by weight in the case of high heat value coal; or

  • (b) 19% moisture by weight in the case of low heat value coal.

• Marginal note:Determining quantities — coke

  (4) Unless subsection (8) applies, for the purpose of determining a quantity of coke under this Part, the quantity of coke is the weight of the coke measured in tonnes and, if a moisture content is prescribed, normalized to the prescribed moisture content.

• Marginal note:Gasoline with proportion of biogasoline exceeding 10%

  (5) Unless subsection (8) applies, if a quantity of gasoline contains a particular proportion of biogasoline (expressed as a percentage) that exceeds 10%, the quantity of gasoline is deemed, for the purpose of this Part, to be the number of litres determined by the formula

  A × (100% – B)/95%

  where

  A

  is the number of litres that the gasoline would occupy at 15°C; and

  B

  is the particular proportion.

• Marginal note:Light fuel oil with proportion of biodiesel exceeding 5%

  (6) Unless subsection (8) applies, if a quantity of light fuel oil contains a particular proportion of biodiesel (expressed as a percentage) that exceeds 5%, the quantity of light fuel oil is deemed, for the purpose of this Part, to be the number of litres determined by the formula

  A × (100% – B)/98%

  where

  A

  is the number of litres that the light fuel oil would occupy at 15°C; and

  B

  is the particular proportion.

• Marginal note:Natural gas that contains biomethane

  (7) Unless subsection (8) applies, if a quantity of marketable natural gas or non-marketable natural gas contains a particular proportion of biomethane (expressed as a percentage), for the purpose of this Part, the quantity of marketable natural gas or non-marketable natural gas is deemed to be the number of cubic metres determined by the formula

  A × (100% – B)

  where

  A

  is the number of cubic metres that the marketable natural gas or non-marketable natural gas would occupy at 15°C and 101.325 kPa; and

  B

  is the particular proportion.

• Marginal note:Determining quantities — prescribed type of fuel

  (8) For the purpose of determining a quantity under this Part of a prescribed type of fuel, the quantity of fuel of that type is determined in prescribed manner if prescribed conditions are met.

Marginal note:Determining quantities

9 Any determination of a quantity of fuel under this Part is to be made in a manner satisfactory to the Minister.

Marginal note:Fuel brought into a listed province

• 10 (1) For the purposes of this Part, if a particular person is transporting fuel on behalf of another person and the fuel is, at a particular time, brought into a listed province in the course of being transported to a location in the listed province, the other person and not the particular person is deemed to have brought the fuel into the listed province at the particular time.

• Marginal note:Fuel removed from a listed province

  (2) For the purposes of this Part, if a particular person is transporting fuel on behalf of another person and the fuel is, at a particular time, removed from a listed province in the course of being transported to a location outside the listed province, the other person and not the particular person is deemed to have removed the fuel from the listed province at the particular time.

Marginal note:Fuel in transit through a listed province

11 For the purposes of this Part, if a person at a particular time brings a quantity of fuel into a listed province from a place in Canada, if the fuel is being brought into the listed province in the course of the transportation of the fuel to a place outside the listed province, if the fuel is transported without being stored in the listed province (otherwise than in a manner that is solely incidental to the transportation) and if the person is a registered emitter or is registered under Division 4 of this Part in respect of that type of fuel otherwise than only as a road carrier, then the fuel is deemed not to have been brought into the listed province at the particular time.

Marginal note:Fuel imported in a listed province

12 For the purposes of this Part, if a person at a particular time imports a quantity of fuel at a location in a listed province, if the fuel is imported in the course of the transportation of the fuel to a place outside the listed province, if the fuel is transported without being stored in the listed province (otherwise than in a manner that is solely incidental to the transportation) and if the person is a registered emitter or is registered under Division 4 of this Part in respect of that type of fuel otherwise than only as a road carrier, then the fuel is deemed not to have been imported at a location in the listed province at the particular time.

Marginal note:Importer

13 For the purposes of this Part, the person that is considered to import fuel is the importer, owner or other person that is liable under the Customs Act to pay duty levied under section 20 of the Customs Tariff on the fuel or that would be liable to pay that duty on the fuel if the fuel were subject to that duty.

Marginal note:Delivery of marketable natural gas — distribution system

14 For the purposes of this Part, if marketable natural gas is delivered to a particular person by means of a distribution system, the person that is considered to deliver the marketable natural gas is

• (a) unless paragraph (b) applies, the person that measures, on a regular basis and for the purpose of billing the particular person or providing the particular person’s billing information to a third party, the particular person’s consumption or usage of marketable natural gas that is delivered by means of the distribution system; or

• (b) if prescribed circumstances exist or prescribed conditions are met, the person that is a prescribed person, a person of a prescribed class or a person meeting prescribed conditions.

Marginal note:Substance marketed as fuel

15 If a substance, material or thing is not fuel but is sold, represented or marketed as fuel of a particular type, the substance, material or thing is deemed, for the purposes of this Part, to be fuel of the particular type, except if the substance, material or thing is prepackaged in a factory sealed container of 10 L or less, is combustible waste or is a prescribed substance, material or thing.

Marginal note:Mixtures

• 16 (1) A mixture is deemed to be fuel of the type that is present in the highest proportion in the mixture.

• Marginal note:Prescribed mixtures

  (2) Despite subsection (1), if prescribed conditions are met in respect of a mixture, the mixture is deemed to be fuel of a prescribed type.

• Marginal note:Non-application

  (3) This section does not apply to a substance, material or thing that would be fuel in the absence of subsections (1) and (2).

DIVISION 2Application of Charge

SUBDIVISION AGeneral Application of Charge to Fuel and Combustible Waste

Marginal note:Charge — delivery by registered distributor

• 17 (1) Subject to this Part, a particular registered distributor in respect of a type of fuel that delivers, at a particular time, fuel of that type in a listed province to another person must pay to Her Majesty in right of Canada a charge in respect of the fuel and the listed province in the amount determined under section 40. The charge becomes payable at the particular time.

• Marginal note:Charge not payable

  (2) The charge under subsection (1) is not payable if

  • (a) the particular registered distributor delivers the fuel in the listed province to another person that is

    • (i) in respect of that type of fuel, a registered distributor, a registered specified air carrier, a registered specified marine carrier, a registered specified rail carrier or a registered user,

    • (ii) a registered emitter,

    • (iii) a farmer, if the fuel is a qualifying farming fuel,

    • (iii.1) a fisher, if the fuel is a qualifying fishing fuel and the listed province is prescribed, or

    • (iv) a prescribed person, a person of a prescribed class or a person meeting prescribed conditions, if prescribed circumstances exist; and

  • (b) an exemption certificate applies in respect of the delivery in accordance with section 36.

• Marginal note:Charge not payable — ships’ stores

  (3) The charge under subsection (1) is not payable if the fuel is, in accordance with the Ships’ Stores Regulations, designated as ships’ stores for use on board a conveyance of a class prescribed under those regulations.

Marginal note:Charge — use by registered distributor

• 18 (1) Subject to this Part, every registered distributor in respect of a type of fuel that uses, at a particular time, fuel of that type in a listed province must pay to Her Majesty in right of Canada a charge in respect of the fuel and the listed province in the amount determined under section 40. The charge becomes payable at the particular time.

• Marginal note:Deemed use — supply tank

  (2) For the purposes of subsection (1), if a registered distributor in respect of a type of fuel transfers fuel of that type at a particular time into a supply tank of a vehicle (other than a specified commercial vehicle) of the registered distributor at a particular location and

  • (a) if the particular location is in a listed province, the registered distributor is deemed to use the fuel at the particular time in the listed province; and

  • (b) if the particular location is not in a listed province, the registered distributor is deemed to use the fuel at the particular time otherwise than in a listed province.

• Marginal note:Exception

  (3) Subsection (2) does not apply if the registered distributor is also a registered emitter and the particular location is a covered facility of the registered distributor.

• Marginal note:Charge not payable — used at a covered facility

  (4) The charge under subsection (1) is not payable to the extent that the fuel is used by the registered distributor at a covered facility of the registered distributor if the registered distributor is also a registered emitter.

• Marginal note:Charge not payable — used in a non-covered activity

  (5) The charge under subsection (1) is not payable to the extent that the fuel is used in a non-covered activity.

Marginal note:Charge — bringing into a listed province

• 19 (1) Subject to this Part, every person that brings, at a particular time, fuel into a listed province from a place in Canada must pay to Her Majesty in right of Canada a charge in respect of the fuel and the listed province in the amount determined under section 40 if the person is a registered emitter or is, in respect of that type of fuel, a registered user, a registered importer, a registered air carrier, a registered marine carrier or a registered rail carrier. The charge becomes payable at the particular time.

• Marginal note:Charge — importation

  (2) Subject to this Part, every person that imports, at a particular time, fuel at a location in a listed province must pay to Her Majesty in right of Canada a charge in respect of the fuel and the listed province in the amount determined under section 40 if the person is a registered emitter or is, in respect of that type of fuel, a registered user, a registered importer, a registered air carrier, a registered marine carrier or a registered rail carrier. The charge becomes payable at the particular time.

• Marginal note:Non-application

  (3) Subsections (1) and (2) do not apply, in respect of a type of fuel, to a person that is a registered distributor in respect of that type of fuel.

• Marginal note:Charge not payable — supply tanks

  (4) The charge under subsection (1) or (2) is not payable if the fuel is brought in or imported in a supply tank of a vehicle and the fuel is for use in the operation of

  • (a) the vehicle;

  • (b) an auxiliary component of the vehicle; or

  • (c) an auxiliary component of another vehicle attached to the vehicle.

• Marginal note:Exception

  (5) Subsection (4) does not apply to fuel that is brought into a listed province, or imported at a location in a listed province, by a person

  • (a) if the fuel is transported in a supply tank of a specified commercial vehicle of the person, the fuel is a type of qualifying motive fuel and the person

    • (i) is a registered emitter or is, in respect of that type of fuel, a registered importer or a registered user, and

    • (ii) is required to be registered under Division 4 of this Part as a road carrier in respect of that type of fuel but is not so registered;

  • (b) if the fuel is brought in or imported in a supply tank of a locomotive and the person is an interjurisdictional rail carrier in respect of that type of fuel and is not, in respect of that type of fuel, registered as an air carrier, marine carrier or rail carrier;

  • (c) to the extent that the fuel is brought in or imported in a supply tank of an aircraft for use in a covered air journey in respect of the listed province, if the person is an interjurisdictional air carrier in respect of that type of fuel and is not, in respect of that type of fuel, registered as an air carrier, marine carrier or rail carrier; or

  • (d) to the extent that the fuel is brought in or imported in a supply tank of a vessel for use in a covered marine journey in respect of the listed province, if the person is an interjurisdictional marine carrier in respect of that type of fuel and is not, in respect of that type of fuel, registered as an air carrier, marine carrier or rail carrier.