Fuel Charge Regulations

Marginal note:Charge — diversion by greenhouse operator

• 7 (1) For the purposes of section 26 of the Act, if at any time fuel that is qualifying greenhouse 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 greenhouse operator and an exemption certificate referred to in subsection 9(1) 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 subsection (6) to the extent that, at a later time, the fuel is

  • (a) used by the particular person in the listed province otherwise than in eligible greenhouse activities; 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 greenhouse 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 greenhouse operator

  (4) For the purposes of section 26 of the Act, if at any time fuel that is qualifying greenhouse 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 greenhouse operator, if an exemption certificate referred to in subsection 9(1) 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 greenhouse operator, the particular person must pay a charge in respect of the fuel and the listed province in the amount determined under subsection (6) 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:Amount of charge

  (6) For the purposes of section 26 of the Act, the amount of the charge payable under subsection (1) or (4) in respect of the fuel and the listed province is equal to the amount determined by the formula:

  A × B × 0.8

  where

  A

  is the quantity of the fuel in respect of which the charge becomes payable; and

  B

  is the rate in respect of fuel of that type for the listed province applicable at the time the charge becomes payable.