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

Act current to 2019-06-20 and last amended on 2019-04-01. Previous Versions

PART 2Industrial Greenhouse Gas Emissions (continued)

DIVISION 1Pricing Mechanism for Greenhouse Gas Emissions (continued)

Reporting, Compensation and Compliance Units (continued)

Marginal note:Errors and omissions

  •  (1) If, within five years after a report has been submitted under section 173 in respect of a covered facility, the Minister is of the opinion that there is an error or omission in the report, the Minister may require a person responsible for the covered facility to submit a corrected report and may require the person to cause it to be verified by a third party.

  • Marginal note:Compliance

    (2) If the Minister requires a person to submit a corrected report or to submit a corrected report and cause it to be verified by a third party, the person must do so in accordance with the regulations.

Marginal note:Change in obligations

  •  (1) If, as a result of a corrected report referred to in section 176 or 177, the difference between the quantity of the greenhouse gases emitted by a covered facility during a compliance period and the emissions limit that applied to the covered facility during that compliance period changes,

    • (a) a person that is responsible for the covered facility must, in accordance with the regulations, provide any compensation that is determined in accordance with the regulations; or

    • (b) the Minister may, in accordance with the regulations, issue to a person that is responsible for the covered facility a number of surplus credits that is determined in accordance with the regulations.

  • Marginal note:Compensation

    (2) For the purposes of paragraph (1)(a), the rate for each CO2e tonne must not exceed four compliance units or four times the excess emissions charge set out in column 2 of Schedule 4, for the calendar year in which the compliance period falls.

Marginal note:Retirement of compliance units

 A compliance unit that is remitted under section 174, paragraph 178(1)(a) or subsection 181(2) or that is withdrawn under section 182 must not be used in any subsequent transaction and the Minister must ensure, in accordance with the regulations, that it is retired from circulation.

Marginal note:Suspension or revocation of compliance units

  •  (1) The Minister may, in accordance with the regulations, suspend or revoke compliance units.

  • Marginal note:Voluntary cancellation of compliance units

    (2) If the holder of an account in the tracking system referred to in section 185 requests, in accordance with the regulations, that a compliance unit in the account be cancelled, the Minister must cancel it.

  • Marginal note:No indemnification

    (3) A person is not entitled to be indemnified for a suspended, revoked or cancelled compliance unit.

Marginal note:Issuance error or invalidity

  •  (1) If the Minister determines that compliance units were issued in error or are no longer valid, the Minister may, in accordance with the regulations, require a person to remit the number of compliance units in question to the Minister or a person specified in the regulations in lieu of the Minister.

  • Marginal note:Compliance

    (2) If the Minister requires a person to remit compliance units, the person must do so by a deadline specified by the Minister.

  • Marginal note:Payment in lieu

    (3) In lieu of remitting compliance units, the person may make a payment to Her Majesty in right of Canada that is equal to the number of compliance units multiplied by the excess emissions charge set out in column 2 of Schedule 4, for the calendar year in which the Minister requires the person to remit the compliance units.

Recovery of Compensation

Marginal note:Ministerial power

 If a covered facility emits greenhouse gases in excess of its emissions limit during a compliance period and compensation is not provided in full by the applicable deadline under section 174 or paragraph 178(1)(a), the Minister may, in accordance with the regulations, withdraw the balance owing in compliance units from any account in the tracking system referred to in section 185 that is linked to the covered facility.

Marginal note:Debts to Her Majesty

  •  (1) The monetary value of the compensation owed for each CO2e tonne emitted by a covered facility in excess of its emissions limit during a compliance period for which no compensation was provided by the applicable deadline under section 174 or paragraph 178(1)(a) and for which no withdrawals were made under section 182 constitutes a debt due to Her Majesty in right of Canada and may be recovered in any court of competent jurisdiction.

  • Marginal note:Limitation period

    (2) No proceedings to recover the debt may be instituted more than five years after the day on which the debt becomes payable.

Marginal note:Certificate

  •  (1) The Minister may issue a certificate certifying the unpaid amount of any debt referred to in subsection 183(1).

  • Marginal note:Registration

    (2) Registration in a court of competent jurisdiction of a certificate issued under subsection (1) has the same effect as a judgment of that court for a debt of the amount specified in the certificate and all related registration costs.

Tracking System

Marginal note:Establishment and maintenance

 If at least one province or area is set out in Part 2 of Schedule 1, the Minister must establish and maintain a system that tracks

  • (a) the issuance by the Minister of compliance units;

  • (b) the transfer, retirement, suspension, revocation and cancellation of those compliance units;

  • (c) excess emissions charge payments made under section 174 or 178 and payments made under subsection 181(3); and

  • (d) any other transaction specified in the regulations.

Marginal note:Accounts

  •  (1) A person that is responsible for a covered facility must open and maintain in the tracking system any accounts required by the regulations. Any other person may open and maintain accounts in the system in accordance with the regulations.

  • Marginal note:Ministerial powers

    (2) The Minister may specify the time and manner for opening or closing an account, the information to be provided for those purposes and the conditions of use for accounts.

  • Marginal note:Closing of accounts

    (3) The Minister may, in accordance with the regulations, close an account.

Records

Marginal note:Keeping records

  •  (1) A person that is responsible for a covered facility or any other person that opens and maintains an account in the tracking system must keep and retain all records that are necessary to determine whether the person has complied with this Division.

  • Marginal note:Minister may specify information

    (2) The Minister may specify the form a record is to take and any information that the record is to contain.

  • Marginal note:Language and location of record

    (3) A record must be kept and retained in Canada in accordance with the regulations and, unless otherwise authorized by the Minister, must be kept in English or in French.

  • Marginal note:Electronic records

    (4) If a record is kept or retained in electronic form, the person that keeps the record must ensure that information in it is readable or perceivable so as to be usable for subsequent reference during the retention period required for the record.

  • Marginal note:General period for retention

    (5) Records must be retained for a period of seven years after the end of the year to which they relate or for any other period specified in the regulations.

  • Marginal note:Demand by Minister

    (6) If the Minister is of the opinion that it is necessary to do so, the Minister may, by registered letter or by a demand served personally, require a person referred to in subsection (1) to retain any records for a period that is specified by the Minister and the person must do so as required.

  • Marginal note:Permission for earlier disposal

    (7) The Minister may, in writing, authorize a person referred to in subsection (1) to dispose of any records before the end of the period during which they are required to be retained.

Revenues

Marginal note:Distribution — charge payments

  •  (1) The Minister of National Revenue must distribute revenues from excess emissions charge payments that are made under section 174 or 178 in relation to covered facilities that are located in a province or area. The Minister of National Revenue may distribute the revenues to

    • (a) that province;

    • (b) persons that are specified in the regulations or that meet criteria set out in the regulations; or

    • (c) a combination of both.

  • Marginal note:Distribution — subsection 181(3) payments

    (2) The Minister of National Revenue may distribute revenues from payments that are made under subsection 181(3) to persons that are specified in the regulations or that meet criteria set out in the regulations.

  • Marginal note:Amount

    (3) The amount of any revenues to be distributed under subsection (1) or (2) is to be calculated in the manner determined by the Minister of National Revenue.

  • Marginal note:Time and manner

    (4) A distribution of revenues under subsection (1) or (2) is to be made, subject to the regulations, at the times and in the manner that the Minister of National Revenue considers appropriate and may, in accordance with the regulations, be made out of the Consolidated Revenue Fund.

 
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