On-Road Vehicle and Engine Emission Regulations (SOR/2003-2)

Calculation of Fleet Average Evaporative Emission Values

• 24.11 (1) Subject to section 25.3, for each of a company’s fleets referred to in section 24.10, the company shall calculate the average evaporative emission value in accordance with the following formula:

  [Σ (A × B)]/C

  where

  A

  is the family emission limit for each evaporative emission family;

  B

  is the number of vehicles in the fleet that conform to the family emission limit for the evaporative emission family in question; and

  C

  is the total number of vehicles in the fleet.

• (2) The average evaporative emission value for the fleet shall be rounded to one decimal place.

Election Not to Calculate Fleet Average

• 25 (1) A company may elect not to calculate an average NOx value for a fleet of a specific model year if every vehicle in that fleet conforms to a full useful life emission bin that has a NOx standard equal to or less than the applicable fleet average NOx standard for that model year that is set out in section 21, 22 or 23.

• (2) For the purposes of section 26, subparagraph 32(2)(a)(ii) and paragraph 37(1)(c), the average NO_X value in respect of a fleet of a model year for which a company makes an election under subsection (1) shall be the fleet average NO_X standard applicable to the fleet for which the election was made.

• 25.1 (1) A company may elect not to calculate an average NMOG + NO_X value for a fleet of a specific model year if every vehicle in that fleet conforms to a full useful life emission bin that has a NMOG + NO_X standard equal to or less than the applicable fleet average NMOG + NO_X standard for the model year in question that is referred to in section 24.1 or 24.2.

• (2) For the purposes of section 26.1, subparagraph 32(2)(b)(ii) and paragraph 37(1)(c), the average NMOG + NO_X value in respect of a fleet of a model year for which a company makes an election under subsection (1) shall be the fleet average NMOG + NO_X standard applicable to the fleet for which the election was made.

• 25.2 (1) A company may elect not to calculate an average cold NMHC value for a fleet of a specific model year if every vehicle in that fleet conforms to a cold NMHC family emission limit that is equal to or less than the applicable fleet average cold NMHC standard for the model year in question that is referred to in section 24.6 or 24.7.

• (2) For the purposes of section 26.2, subparagraph 32(2)(c)(ii) and paragraph 37(1)(c), the average cold NMHC value in respect of a fleet of a model year for which a company makes an election under subsection (1) shall be the fleet average cold NMHC standard applicable to the fleet for which the election was made.

• 25.3 (1) A company may elect not to calculate an average evaporative emission value for a fleet of a specific model year if every vehicle in that fleet conforms to a family emission limit for an evaporative emission family and that family emission limit is equal to or less than the applicable fleet average evaporative emission standard for the model year in question referred to in section 24.10.

• (2) For the purposes of section 26.3, subparagraph 32(2)(d)(ii) and paragraph 37(1)(c), the average evaporative emission value in respect of a fleet of a model year for which a company makes an election under subsection (1) shall be the fleet average evaporative emission standard applicable to the fleet for which the election was made.

Emission Credits

NO_X Emission Credits

• 26 (1) For the purposes of subparagraph 162(1)(b)(i) of the Act, a company shall obtain NO_X emission credits for its fleets of the 2017 and earlier model years if the average NO_X value in respect of a fleet of a specific model year is lower than the fleet average NO_X standard for the model year in question and the company reports the credits in its end of model year report.

• (2) NOx emission credits, expressed in units of vehicle-grams per mile, shall be calculated using the following formula, rounding the result to the nearest whole number:

  (A - B) x C

  where

  A

  is the fleet average NOx standard

  B

  is the average NOx value in respect of the fleet, and

  C

  is the total number of vehicles in the fleet.

• (3) The NOx emission credits for a specific model year are credited on the last day of that model year.

NMOG + NO_X Emission Credits

• 26.1 (1) For the purposes of subparagraph 162(1)(b)(i) of the Act, a company shall obtain NMOG + NO_X emission credits for its fleets of the 2017 and later model years if the average NMOG + NO_X value in respect of a fleet of a specific model year is lower than the fleet average NMOG + NO_X standard for the model year in question and the company reports the credits in its end of model year report.

• (2) NMOG + NO_X emission credits, expressed in units of vehicle-grams per mile, shall be calculated using the following formula, rounding the result to the nearest whole number:

  (A – B) × C

  where

  A

  is the fleet average NMOG + NO_X standard;

  B

  is the average NMOG + NO_X value in respect of the fleet; and

  C

  is the total number of vehicles in the fleet.

• (3) The NMOG + NO_X emission credits for a specific model year are credited on the last day of the model year in question.

Cold NMHC Emission Credits

• 26.2 (1) For the purposes of subparagraph 162(1)(b)(i) of the Act, a company shall obtain cold NMHC emission credits for its fleets of the 2017 and later model years if the average cold NMHC value in respect of a fleet of a specific model year is lower than the fleet average cold NMHC standard for the model year in question and the company reports the credits in its end of model year report.

• (2) Cold NMHC emission credits, expressed in units of vehicle-grams per mile, shall be calculated using the following formula, rounding the result to the nearest whole number:

  (A – B) × C

  where

  A

  is the fleet average cold NMHC standard;

  B

  is the average cold NMHC value in respect of the fleet; and

  C

  is the total number of vehicles in the fleet.

• (3) The cold NMHC emission credits for a specific model year are credited on the last day of the model year in question.

Evaporative Emission Credits

• 26.3 (1) For the purposes of subparagraph 162(1)(b)(i) of the Act, a company shall obtain evaporative emission credits for its fleets of the 2017 and later model years if the average evaporative emission value in respect of a fleet of a specific model year is lower than the fleet average evaporative emission standard for the model year in question and the company reports the credits in its end of model year report.

• (2) Evaporative emission credits, expressed in units of vehicle-grams per mile, shall be calculated using the following formula, rounding the result to the nearest whole number:

  (A – B) × C

  where

  A

  is the fleet average evaporative emission standard;

  B

  is the average evaporative emission value in respect of the fleet; and

  C

  is the total number of vehicles in the fleet.

• (3) The evaporative emission credits for a specific model year are credited on the last day of the model year in question.

Early Action NMOG + NO_X Emission Credits

• 26.4 (1) A company may obtain early action credits in respect of its fleet that is composed of all of its light-duty vehicles and light-duty trucks 1 of the 2015 or 2016 model year if the average NMOG + NO_X value in respect of the fleet of the model year in question is lower than 0.16 grams per mile and the company reports the credits in its 2017 end of model year report.

• (2) Early action credits obtained in respect of the fleet are calculated in accordance with subsection 26.1(2), except that the fleet average NMOG + NO_X standard in the description of A is 0.16 grams per mile.

• (3) Early action credits obtained for the 2015 and 2016 model years are credited on the day on which the company’s 2017 end of model year report is submitted.

• (4) Early action credits obtained for the 2015 and 2016 model years may be used as of the 2017 model year but only in respect of a fleet that is composed of all of the company’s light-duty vehicles and light-duty trucks 1 of any of the five model years after the model year in respect of which the credits were credited, after which the credits are no longer valid.

• 26.5 (1) A company may obtain early action credits in respect of its fleet that is composed of all of its light-duty trucks 2, heavy light-duty trucks and medium-duty passenger vehicles of the 2016 or 2017 model year if the average NMOG + NO_X value in respect of the fleet of the model year in question is lower than 0.16 grams per mile and the company reports the credits in its 2018 end of model year report.

• (2) Early action credits obtained in respect of the fleet are calculated in accordance with subsection 26.1(2), except that the fleet average NMOG + NO_X standard in the description of A is 0.16 grams per mile.

• (3) Early action credits obtained for the 2016 and 2017 model years are credited on the day on which the company’s 2018 end of model year report is submitted.

• (4) Early action credits obtained for the 2016 and 2017 model years may be used as of the 2018 model year but only in respect of a fleet that is composed of all of the company’s light-duty trucks 2, heavy light-duty trucks and medium-duty passenger vehicles of any of the five model years after the model year in respect of which the credits were credited, after which the credits are no longer valid.

• 26.6 (1) A company may obtain early action credits in respect of its fleet that is composed of all of its Class 2B vehicles or all of its Class 3 vehicles of the 2016 or 2017 model year if the average NMOG + NO_X value in respect of a fleet of the model year in question is lower than the applicable fleet average NMOG + NO_X standard for the model year in question set out in Table 4 of section 1816 of Title 40, chapter I, subchapter C, part 86, subpart S, of the CFR and the company reports the credits in its 2018 end of model year report.

• (2) Early action credits obtained in respect of the fleet are calculated in accordance with subsection 26.1(2).

• (3) Early action credits obtained for the 2016 and 2017 model years are credited on the day on which the company’s 2018 end of model year report is submitted.

• (4) Early action credits obtained for the 2016 and 2017 model years may be used as of the 2018 model year but only in respect of a fleet that is composed of all of the company’s Class 2B vehicles or all of its Class 3 vehicles of any of the five model years after the model year in respect of which the credits were credited, after which the credits are no longer valid.

Emission Deficit

• 27 (1) Subject to subsection (2), NO_X, NMOG + NO_X, cold NMHC or evaporative emission credits, as the case may be, obtained in respect of a fleet of a specific model year shall be used by the company to offset any NO_X, NMOG + NO_X, cold NMHC or evaporative emission deficit, as the case may be, referred to in section 28, and any remaining credits may be used to offset a future deficit or, except in the case of early action credits, may be transferred to another company.

• (2) NO_X emission credits obtained in respect of a fleet of a specific model year may only be used to offset a NO_X emission deficit for the 2017 model year or an earlier model year.

28 Subject to section 31 or 31.1, if a company’s average NO_X, NMOG + NO_X, cold NMHC or evaporative emission value, as the case may be, in respect of a fleet of a specific model year is higher than the fleet average NO_X, NMOG + NO_X, cold NMHC or evaporative emission standard for the model year in question, the company shall calculate the value of the NO_X, NMOG + NO_X, cold NMHC or evaporative emission deficit incurred in that model year using the formula set out in subsection 26(2), 26.1(2), 26.2(2) or 26.3(2), as the case may be.

• 29 (1) Subject to subsection 27(2), a company shall offset a NO_X emission deficit no later than the date on which the company submits the end of model year report for the third model year after the model year in which the deficit was incurred.

• (2) Subject to subsection (3), a company may offset a NOx emission deficit with an equivalent number of NOx emission credits obtained in accordance with section 26 or obtained from another company.

• (3) If any part of a NOx emission deficit for a specific model year is outstanding following the submission of the end of model year report for the second model year after the model year in which the deficit was incurred, the number of NOx emission credits required to offset that outstanding deficit in the next model year is 120% of the deficit.