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2. Application

  1. Do the regulations apply to all diesel fuel?

    The limits in the regulations apply to diesel fuel for use in on-road vehicles. Diesel fuel that is not for use in on-road vehicles is not required to meet the compositional requirements of the regulations but is subject to reporting and record keeping.

    The regulations do not apply to:

    Diesel Fuel in Transit: The fuel is in transit through Canada, from a place outside Canada to another place outside Canada, and is accompanied by written evidence establishing that the fuel is in transit;

    Diesel Fuel for Export: The fuel is produced or sold for export and is accompanied by written evidence establishing that the fuel will be exported;

    Diesel Fuel to be further processed: The fuel being imported is for use in on-road vehicles, its concentration exceeds the sulphur limit and the fuel is accompanied by written evidence establishing that it will meet the requirements of the regulations before the fuel is used or sold;

    Persons seeking to avail themselves of these exemptions have to ensure that the diesel fuel is accompanied by written evidence establishing that it meets the defined criteria.

    The regulations also do not apply to:

    Diesel fuel in tank of vehicle: Diesel fuel in a fuel tank that is connected to the engine of a conveyance that is used for transportation by water, land or air.

  2. For the purposes of paragraphs 2 (a), (b) and (c) of the regulations, what is meant by "written evidence"?

    Paragraphs 2 (a), (b) and (c) set out circumstances under which the regulations do not apply. These provisions are copied from subsection 139(2) of CEPA 1999. Persons seeking to avail themselves of these exemptions have to ensure that the diesel fuel is accompanied by written evidence establishing that it meets the defined criteria. CEPA 1999 does not further define the requirements for written evidence. If there was an issue around the sufficiency of written evidence during a prosecution under the regulations, it would be decided by the court.

  3. What requirements apply to diesel fuel in transit between refineries in Canada and intended to be further processed, prior to being sold or transferred?

    The regulations do not differentiate diesel fuel in transit between refineries from other diesel fuel. Such fuel is therefore subject to all of the requirements of the regulations.

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2022-11-17

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