Fuel Charge Regulations (2018, c. 12, s. 187)

Marginal note:Amount of charge — adjustment day

10 For the purposes of the fuel charge system and of applying subsection 38(1) of the Act in respect of fuel that is a qualifying greenhouse fuel and that is held at the beginning of an adjustment day in a listed province by a person that is a greenhouse operator, the formula in that subsection and the descriptions in that formula are adapted as follows:

[A − (0.8 × B)] × (C − D)

where

A

is the quantity of the fuel;

B

is the quantity of the fuel that was delivered to the person by a registered distributor in respect of that type of fuel and in respect of which an exemption certificate referred to in subsection 9(1) of the Fuel Charge Regulations applies in respect of the delivery in accordance with section 36;

C

is the rate in respect of fuel of that type for the listed province applicable on the adjustment day; and

D

is

• (a) zero, if

  • (i) the adjustment day is commencement day,

  • (ii) the adjustment day is July 1, 2019 and the listed province is Yukon or Nunavut,

  • (iii) the adjustment day is January 1, 2020 and the listed province is Alberta, or

  • (iv) the adjustment day is July 1, 2023 and the listed province is Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

• (b) the rate in respect of fuel of that type for the listed province applicable on the day before the adjustment day, in any other case.

Marginal note:Registration — delivery to greenhouse operator

11 For the purposes of paragraph 55(3)(c) of the Act, a person may apply under subsection 55(3) of the Act to be registered as a distributor in respect of a type of fuel that is a qualifying greenhouse fuel if the person carries on the business of selling, delivering or distributing fuel of that type and, in the ordinary course of that business, delivers fuel of that type in a listed province to a greenhouse operator.

PART 6Remote Power Plant Operators

Marginal note:Charge not payable — remote power plant operator

12 For the purposes of subparagraph 17(2)(a)(iv) of the Act, a charge is not payable in respect of fuel that is a qualifying power plant fuel if the fuel is delivered by a registered distributor in respect of that type of fuel to a remote power plant operator and an exemption certificate applies in respect of the delivery in accordance with section 36 of the Act.

Marginal note:Charge — diversion by remote power plant operator

• 13 (1) For the purposes of section 26 of the Act, if at any time fuel that is a qualifying power plant fuel is delivered in a listed province by a registered distributor in respect of that type of fuel to a particular person that is a remote power plant operator and an exemption certificate applies in respect of the delivery in accordance with section 36 of the Act, the particular person must pay a charge in respect of the fuel and the listed province in the amount determined under section 40 of the Act to the extent that, at a later time, the fuel is

  • (a) used by the particular person in the listed province otherwise than in the operation of a remote power plant or otherwise than at the location of a remote power plant; or

  • (b) delivered by the particular person to another person unless the other person is a registered distributor in respect of that type of fuel and an exemption certificate applies in respect of the delivery in accordance with section 36 of the Act.

• Marginal note:When charge payable

  (2) For the purposes of section 26 of the Act, the charge referred to in subsection (1) becomes payable at the later time referred to in that subsection.

• Marginal note:Charge not payable

  (3) For the purposes of section 27 of the Act, the charge referred to in subsection (1) is not payable if the particular person is not, at the later time referred to in that subsection, a remote power plant operator or if a charge is payable under section 37 of the Act in respect of the fuel.

• Marginal note:Charge — ceasing to be a remote power plant operator

  (4) For the purposes of section 26 of the Act, if at any time fuel that is a qualifying power plant fuel is delivered in a listed province by a registered distributor in respect of that type of fuel to a particular person that is a remote power plant operator, if an exemption certificate applies in respect of the delivery in accordance with section 36 of the Act and if the particular person ceases, at a later time, to be a remote power plant operator, the particular person must pay a charge in respect of the fuel and the listed province in the amount determined under section 40 of the Act to the extent that, at the later time, the fuel is held in the listed province by the particular person. The charge becomes payable at the later time.

• Marginal note:Charge not payable

  (5) For the purposes of section 27 of the Act, the charge referred to in subsection (4) is not payable if

  • (a) at the later time referred to in that subsection, the particular person is registered as a distributor in respect of that type of fuel;

  • (b) at the later time referred to in that subsection, the particular person is a registered emitter, but only to the extent that, at the later time, the fuel is held at, or is in transit to, a covered facility of the particular person; or

  • (c) a charge is payable under section 37 of the Act in respect of the fuel.

Marginal note:Charge not payable — remote power plant operator

14 For the purposes of section 27 of the Act, no charge is payable under subsection 18(1) of the Act in respect of fuel used by a person if the person is a remote power plant operator, the fuel is a qualifying power plant fuel and the fuel is used at the location of a remote power plant in the operation of the remote power plant.

Marginal note:Exemption certificate — remote power plant operator

15 For the purposes of subparagraph 36(1)(b)(viii) of the Act, a remote power plant operator is a prescribed person and the prescribed circumstances are that the fuel is for use exclusively at the location of a remote power plant in the operation of the remote power plant.

Marginal note:Amount of charge — adjustment day

16 For the purposes of the fuel charge system and of applying subsection 38(1) of the Act in respect of fuel that is a qualifying power plant fuel and that is held at the beginning of an adjustment day in a listed province by a person that is a remote power plant operator, the formula in that subsection and the descriptions in that formula are adapted as follows:

(A − B) × (C − D)

where

A

is the quantity of the fuel;

B

is the quantity of the fuel that was delivered to the person by a registered distributor in respect of that type of fuel and in respect of which an exemption certificate applies in respect of the delivery in accordance with section 36;

C

is the rate in respect of fuel of that type for the listed province applicable on the adjustment day; and

D

is

• (a) zero, if

  • (i) the adjustment day is commencement day,

  • (ii) the adjustment day is July 1, 2019 and the listed province is Yukon or Nunavut,

  • (iii) the adjustment day is January 1, 2020 and the listed province is Alberta, or

  • (iv) the adjustment day is July 1, 2023 and the listed province is Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

• (b) the rate in respect of fuel of that type for the listed province applicable on the day before the adjustment day, in any other case.

Marginal note:Registration — delivery to remote power plant operator

17 For the purposes of paragraph 55(3)(c) of the Act, a person may apply under subsection 55(3) of the Act to be registered as a distributor in respect of a type of fuel that is a qualifying power plant fuel if the person carries on the business of selling, delivering or distributing fuel of that type and, in the ordinary course of that business, delivers fuel of that type in a listed province to a remote power plant operator.

PART 7Farmers

Marginal note:Travel between farms and cardlock facilities

18 For the purposes of paragraph (c) of the definition eligible farming activity in section 3 of the Act, a prescribed activity is the operation of eligible farming machinery for the purposes of travelling between a farm and a cardlock facility to obtain qualifying farming fuel.

Marginal note:Exemption certificate — delivery at cardlock facilities

19 For the purposes of subparagraph 36(1)(b)(viii) of the Act, a farmer is a prescribed person and the prescribed circumstances are that the location at which the fuel is delivered is a cardlock facility, that the fuel is for use exclusively in the operation of eligible farming machinery or of an auxiliary component of eligible farming machinery and that all or substantially all of the fuel is for use in the course of eligible farming activities.

Marginal note:Registration — delivery to farmer at cardlock

20 For the purposes of paragraph 55(3)(c) of the Act, a person may apply under subsection 55(3) of the Act to be registered as a distributor in respect of a type of fuel that is a qualifying farming fuel if the person carries on the business of selling, delivering or distributing fuel of that type and, in the ordinary course of that business, delivers fuel of that type in a listed province to a farmer at a cardlock facility.

PART 8Annual Net Fuel Adjustment — Rail Carriers

Marginal note:Definition of specified year

21 For the purposes of sections 33, 35, 40, 47 and 52 of the Act, as adapted by section 22, specified year means a period of 12 months beginning on April 1st.

Marginal note:Adaptation — timing of adjustment

22 For the purposes of the fuel charge system,

• (a) section 33 of the Act is adapted so that a reference to “calendar year” in that section is to be read as “specified year”;

• (b) section 35 of the Act is adapted so that

  • (i) a reference to “calendar year” in that section is to be read as “specified year”, and

  • (ii) the reference to “June 30” in that section is to be read as “September 30”;

• (c) paragraph (a) of the description of B in subsection 40(1) of the Act is adapted so that

  • (i) a reference to “calendar year” in that paragraph is to be read as “specified year”, and

  • (ii) the reference to “December 31” in that paragraph is to be read as “March 31”;

• (d) section 47 of the Act is adapted so that

  • (i) the reference to “calendar year” in subsection (1) is to be read as “specified year”, and

  • (ii) the reference to “December 31 of the calendar year” in the description of B in subsection (2) is to be read as “March 31 of the specified year”; and

• (e) paragraph 52(c) of the Act is adapted so that

  • (i) the reference to “calendar year” in the portion of that paragraph before subparagraph (i) is to be read as “specified year”, and

  • (ii) a reference to “June 30 of the year following the particular calendar year” in subparagraphs (i) and (ii) is to be read as “September 30 of the specified year following the particular specified year”.