Energy Administration Act (R.S.C., 1985, c. E-6)

Marginal note:Administration

55 The Regulator shall administer this Part on behalf of the Minister and shall perform such other duties and functions as the Minister may assign to it.

PART VPetroleum Compensation Charge

Marginal note:Definitions

56 In this Part,

domestic petroleum

domestic petroleum means petroleum from a natural reservoir in Canada and petroleum produced, extracted, recovered or manufactured in Canada otherwise than from a natural reservoir; (pétrole domestique)

foreign petroleum

foreign petroleum means petroleum other than domestic petroleum; (pétrole étranger)

import

import has the same meaning as it has for the purposes of the Customs Act; (importer)

petroleum

petroleum means any hydrocarbon or mixture of hydrocarbons other than gas; (pétrole)

petroleum product

petroleum product means a product that is designated as a petroleum product by regulations under paragraph 64(a). (produit pétrolier)

Marginal note:Imposition of charge

• 57 (1) There shall be imposed, levied and collected on

  • (a) each cubic metre of domestic petroleum received for processing or consumption in Canada, and

  • (b) each cubic metre of foreign petroleum or petroleum product imported into Canada for processing, consumption, sale or other use in Canada,

  in any month or part of a month a charge in such amount not exceeding seventy-five dollars per cubic metre as may be prescribed in a tariff of charges for that month or part of a month made by order of the Governor in Council on the recommendation of the Minister and the Minister of Finance.

• Marginal note:Tariff of charges

  (2) A tariff of charges under subsection (1) may set out the charge applicable in respect of any or all of the various kinds or qualities of petroleum, or petroleum products, petroleum or petroleum products from any source, any or all destinations for petroleum or petroleum products and such other factors or circumstances as are specified in the tariff.

Marginal note:By whom charge payable

• 58 (1) A charge imposed under this Part is payable to the Minister by

  • (a) the processor or consumer, as the case may be, in the case referred to in paragraph 57(1)(a); or

  • (b) the importer, in the case referred to in paragraph 57(1)(b).

• Marginal note:Tariff continues

  (2) Where a tariff of charges on petroleum or petroleum products is prescribed in respect of any month or part of a month under subsection 57(1), that tariff of charges shall continue in respect of each subsequent month until changed pursuant to subsection 57(1) by order of the Governor in Council in respect of a subsequent month or part of a month.

Marginal note:Monthly return

• 59 (1) Every person required by this Part to pay a charge shall make each month a true return, in such form and containing such information as the regulations require, of his

  • (a) receipt of domestic petroleum for processing or consumption in Canada, or

  • (b) importation of foreign petroleum and petroleum products,

  or both, as the case may be, for the last preceding month.

• Marginal note:Date of filing and payment

  (2) The return required by this section shall be filed with the Minister and the charge payable shall be paid to him not later than the last day of the first month succeeding that in which

  • (a) the domestic petroleum was received for processing or consumption in Canada, or

  • (b) the foreign petroleum or petroleum product was imported,

  as the case may be.

• Marginal note:Penalty on default

  (3) On default in payment of the charge or any portion thereof payable under this Part within the time prescribed by subsection (2), there shall be paid in addition to the amount of the default a penalty equal to the greater of

  • (a) one per cent of the amount of default, and

  • (b) the percentage, if any, prescribed by regulations made under section 64, of the amount of default,

  in respect of each month or part of a month during which the default continues.

• Marginal note:Extension of time

  (4) The Minister may, before or after the day prescribed by subsection (2), specify in writing a later day for the filing of a return or the payment of the charge or any portion thereof and in that case,

  • (a) no penalty shall accrue or shall be deemed to have accrued under subsection (3) prior to the later day in respect of default in payment of the charge or portion thereof for the payment of which the later day was specified; and

  • (b) failure to pay, on or before the later day, the charge or portion thereof for the payment of which a later day was specified constitutes a default for the purposes of subsection (3).

Marginal note:Debts to Her Majesty

• 60 (1) All charges payable under this Part and any penalties payable in respect thereof are debts due to Her Majesty and recoverable as such in any court of competent jurisdiction.

• Marginal note:Recovery of charges and penalties

  (2) All charges and penalties payable under this Part may be recovered in the same manner as any amount payable under the Excise Tax Act and for that purpose sections 82 to 93 of that Act apply, with any modifications that the circumstances require, and any reference in those sections to the Minister of National Revenue shall be construed as a reference to the Minister of Natural Resources.

Marginal note:Deductions and refunds

• 61 (1) A deduction from, or refund of, a charge or penalty imposed by this Part may be granted where an overpayment has been made or where the charge or penalty was paid in error.

• Marginal note:Payments

  (2) Where

  • (a) petroleum or a petroleum product in respect of which charges imposed by this Part have been paid, or

  • (b) a petroleum product that is derived from petroleum in respect of which charges imposed by this Part have been paid,

  is sent out of Canada by a person for use outside Canada, a payment may be made to that person in an amount not exceeding the charges paid.

• Marginal note:Application for deduction, etc.

  (3) No deduction from, refund of, or payment in respect of the charges imposed by this Part shall be granted or made unless application therefor is made in writing in accordance with regulations made under section 64 by the person entitled thereto within two years after the time when the deduction, refund or payment first became payable under this Part or any regulations made thereunder.

• Marginal note:Exemption or reduction

  (4) Where it is shown to the Governor in Council by the Minister that it is in the public interest to do so, the Governor in Council may, by order, conditionally or unconditionally, retroactively or prospectively, and either generally or in respect of a single transaction,

  • (a) exempt any petroleum or petroleum product from the charge imposed thereon in respect of a month or part of a month under this Part; or

  • (b) reduce any charge imposed in respect of any month or part of a month under this Part.

Marginal note:Records and books

• 62 (1) Every person required by or pursuant to this Part to pay any charges shall keep records and books of account at his place of business in Canada in such form and containing such information as will enable the amount of the charges or other sums that should have been paid or collected to be determined.

• Marginal note:Retention of records

  (2) Every person required by subsection (1) to keep records and books of account shall retain those records and books of account and every account and voucher necessary to verify the information contained therein until the expiration of six years from the end of the calendar year in respect of which those records and books of account are kept.

• Marginal note:Inspection

  (3) Every person required by subsection (1) to keep records and books of account shall, at all reasonable times, make the records and books of account and every account and voucher necessary to verify the information therein available to the Minister and other persons authorized by the Minister and give them every facility necessary to inspect the records, books, accounts and vouchers.

Marginal note:Appeal

63 If any difference arises or any doubt exists as to whether a charge is payable or as to the amount of a charge that is payable on any petroleum or petroleum product, the Canadian International Trade Tribunal established by the Canadian International Trade Tribunal Act may declare what amount of charge is payable on it, if any, and for that purpose sections 104 and 105 of the Excise Tax Act apply, with any modifications that the circumstances require, and any reference in those sections to the Commissioner of Revenue shall be construed as a reference to the Deputy Minister of Natural Resources.

Marginal note:Regulations

64 The Governor in Council may, by regulation,

• (a) designate as a petroleum product any substance resulting from the processing or refining of hydrocarbons or coal if that substance

  • (i) is asphalt or a lubricant, or

  • (ii) is a suitable source of energy by itself or when it is combined or used in association with something else;

• (b) prescribe the form and content of the monthly return referred to in subsection 59(1); and

• (c) provide for such other matters or things as may be necessary to carry out the provisions of this Part.

PART VICanadian Ownership Provisions

DIVISION ISpecial Charge and Taxation

Marginal note:Definitions

65 All words and expressions used in this Division have the same meanings as in Part V.

Marginal note:Charge on petroleum

• 66 (1) There shall be imposed, levied and collected on

  • (a) each cubic metre of domestic petroleum received for processing or consumption in Canada, and

  • (b) each cubic metre of foreign petroleum or petroleum product imported into Canada for processing, consumption, sale or other use in Canada,

  in any month or part of a month a special charge in such amount not exceeding seven dollars and twenty-five cents per cubic metre as may be prescribed in a tariff of charges for that month or part of a month made by order of the Governor in Council on the recommendation of the Minister and the Minister of Finance.

• Marginal note:Application of certain provisions

  (2) Subsection 57(2) and sections 58 to 64 apply, with such modifications as the circumstances require, in respect of a special charge imposed under subsection (1).

• Marginal note:Transitional

  (3) Effective May 1, 1981, the amount of seven dollars and twenty-five cents per cubic metre on

  • (a) domestic petroleum received for processing or consumption in Canada, and

  • (b) foreign petroleum or petroleum product imported into Canada for processing, consumption, sale or other use in Canada,

  shall be deemed to have been the amount prescribed in a tariff of charges for the month of May, 1981 by order of the Governor in Council pursuant to subsection (1) and that amount shall continue to be the amount of the charge in respect of each subsequent month until it is changed pursuant to subsection (1) by order of the Governor in Council in respect of a subsequent month or part of a month.