BILL 18 – 2008
GREENHOUSE GAS REDUCTION (CAP AND TRADE) ACT
HER MAJESTY, by and with the advice and
consent of the Legislative Assembly of the Province of British
Columbia, enacts as follows:
Part 1 — Introductory Provisions
Definitions
1 In this Act:
"accepted emission reduction project" means an emission reduction project that has been accepted by the director in accordance with section 9 [emission reduction projects: proposal, acceptance, verification and BCERU issuance] as a project in relation to which BCERUs may be issued;
"administrative authority" means, as applicable,
(a) for a compliance unit tracking system established under this Act, the administrative authority under section 15 [administrative authority for established system], or
(b) for a compliance unit tracking system designated under this Act, the authority responsible for administering the system;
"administrative penalty" means an administrative penalty under Part 6 [Administrative Penalties];
"appeal board" means the Environmental Appeal Board under the Environmental Management Act;
"attributable", in relation to greenhouse gas emissions, means attributable under the regulations
(a) to a regulated operation or reporting operation, or
(b) for the purposes of determining whether an operation is a regulated operation or reporting operation;
"BC Allowance Unit" or "BCAU" means a compliance unit issued under section 6 [BC Allowance Units];
"BC Emission Reduction Unit" or "BCERU" means a compliance unit issued under section 8 [BC Emission Reduction Units];
"cap" means the maximum number of
BCAUs that may be made available for a particular compliance period, as
prescribed under section 5 [cap on BCAUs for compliance period];
"carbon dioxide equivalent" means
the mass of carbon dioxide that would produce the same global warming
impact as a given mass of another greenhouse gas, as determined in
accordance with the regulations;
"compliance period" means the period prescribed for the purposes of section 2 [compliance obligations in relation to regulated operations];
"compliance report" means a report under section 3 [compliance reports];
"compliance unit" means
(a) a BCAU,
(b) a BCERU, or
(c) an RCU;
"compliance unit tracking system" means the compliance unit tracking system under section 14 [compliance unit tracking system];
"director" means the government employee designated in writing by the minister as the director for the purposes of this Act;
"emissions report" means a report required under section 4 [emissions reports];
"greenhouse gas" has the same meaning as in the Greenhouse Gas Reduction Targets Act;
"inspector" means
(a) a person designated as an inspector under
the regulations or a person in a class designated as inspectors under
the regulations, or
(b) a conservation officer as defined in the Environmental Management Act;
"operator", in relation to a
regulated operation or reporting operation, means the person considered
under the regulations to be the operator in relation to the operation;
"Recognized Compliance Unit" or "RCU" means a Recognized Compliance Unit under section 11 [Recognized Compliance Units];
"regulated operation" means an operation that is a regulated operation under the regulations;
"reporting operation" means an operation that is a reporting operation under the regulations;
"reporting period" means the period prescribed for the purposes of section 4 [emissions reports];
"retire" means,
(a) in relation to a BCAU or BCERU, the final
transfer of the compliance unit into a retirement account in the
compliance unit tracking system from which it may not be transferred,
and
(b) in relation to an RCU, retirement of the compliance unit in accordance with the regulations.
Part 2 — Regulated Operations
Compliance obligations in relation to regulated operations
2 (1) For each compliance period, the operator of a regulated operation must, in accordance with the regulations,
(a) determine the greenhouse gas emissions attributable to the regulated operation for the compliance period, and
(b) retire compliance units that, in total,
represent an amount of carbon dioxide equivalent emissions that is at
least equal to the amount of greenhouse gas emissions attributable to
the regulated operation for the compliance period.
(2) The operator of a regulated operation who
does not comply with subsection (1) (b) within the prescribed
time is subject to penalties as provided under this Act.
(3) For the purposes of complying with subsection
(1) (b), the operator of a regulated operation may not, as applicable,
retire more than
(a) the prescribed quantity of RCUs,
(b) the prescribed quantities of RCUs of specified types,
(c) the prescribed proportion of RCUs relative to the total compliance units required to be retired, or
(d) the prescribed proportions of specified types of RCUs relative to the total compliance units required to be retired.
(4) Unless otherwise permitted by regulation,
compliance units to be retired for the purposes of this section must be
compliance units that were issued before the end of the applicable
compliance period.
Compliance reports
3 (1) The
operator of a regulated operation must, in accordance with the
regulations, submit to the director a report respecting
(a) compliance with the obligations under section 2 [compliance obligations in relation to regulated operations], and
(b) any other matter prescribed for the purposes of this Act.
(2) The operator of a regulated operation must
submit a supplementary report to the director within the prescribed
period after the operator becomes aware that
(a) information in a previous report under this section did not completely and accurately disclose the required information, or
(b) information required to be reported in a previous report has changed.
(3) A supplementary report under this section
must be made in accordance with the regulations, or if no specific
direction is prescribed, in accordance with the regulations applicable
to the report under subsection (1).
(4) Reports under this section may cover more
than one regulated operation of the operator, but the required
information respecting attributable greenhouse gas emissions must be
provided separately for each operation covered by the report.
(5) The director may
(a) require a report under this section to be
audited in accordance with the directions of the director, or conduct
or authorize a person to conduct such an audit, and
(b) require an operator to provide additional information in support of a report under this section.
Part 3 — Emissions Reporting
Emissions reports
4 (1) For each
reporting period, the operator of a regulated operation or reporting
operation must, in accordance with the regulations, submit a report
respecting
(a) the greenhouse gas emissions attributable to the operation for the reporting period, and
(b) any other matter prescribed for the purposes of this Act.
(2) The operator of a regulated operation or
reporting operation must submit a supplementary report within the
prescribed period after the operator becomes aware that
(a) information in a previous report under this section did not completely and accurately disclose the required information, or
(b) information required to be reported in a previous report has changed.
(3) A supplementary report under this section
must be in accordance with the regulations, or if no specific direction
is prescribed, in accordance with the regulations applicable to the
report under subsection (1).
(4) Reports under this section may cover more
than one regulated operation or reporting operation of the same
operator, but the required information respecting greenhouse gas
emissions must be provided separately for each operation covered by the
report.
(5) The director may
(a) require a report under this section to be
audited in accordance with the directions of the director, or conduct
or authorize a person to conduct such an audit, and
(b) require an operator to provide additional information in support of a report under this section.
Part 4 — Compliance Units
Division 1 — BC Allowance Units
Cap on BCAUs for compliance period
5 (1) For the
purposes of limiting greenhouse gas emissions in a compliance period,
the Lieutenant Governor in Council may, by regulation, establish a cap
on the BCAUs that may be made available under this section for that
compliance period.
(2) For each compliance period, the director must
make BCAUs available in accordance with the regulations, subject to the
limit that the number of those units must not exceed the cap for the
compliance period.
BC Allowance Units
6 (1) BC Allowance Units may be issued only by the director or on direction by the director.
(2) Each issued BCAU represents one tonne of carbon dioxide equivalent emissions.
Transfer and retirement of BCAUs
7 A BCAU may
only be transferred or retired through the compliance unit tracking
system and, if applicable, in accordance with the regulations.
Division 2 — BC Emission Reduction Units
BC Emission Reduction Units
8 (1) BC Emission Reduction Units may be issued only by the director or on direction by the director.
(2) Each issued BCERU represents one tonne of carbon dioxide equivalent emissions.
Emission reduction projects: proposal, acceptance, verification and BCERU issuance
9 (1) The
director may, in accordance with the process established under the
regulations, issue or direct the issuance of BCERUs for
(a) reducing or avoiding greenhouse gas emissions into the atmosphere, or
(b) removing greenhouse gas from the atmosphere
as part of and in accordance with an accepted emission reduction project.
(2) The process established under the regulations for the purposes of this section must include the following elements:
(a) the process by which a proponent who meets
the prescribed eligibility criteria may submit to the director a
proposal, including a project plan and associated monitoring and
quantification protocol, for an emission reduction project that meets
the prescribed eligibility criteria;
(b) the process by which a project plan and
associated monitoring and quantification protocol that meet the
prescribed requirements may be approved by the director, at which point
the emission reduction project to which they relate becomes an accepted
emission reduction project with the crediting period established by
regulation;
(c) the process by which the proponent may apply
for the issuance of BCERUs in relation to an accepted emission
reduction project, including a requirement for the claimed greenhouse
gas emission reductions, avoidances or removals to be verified against
the project plan and the monitoring and quantification protocol;
(d) the issuance, in accordance with the
regulations, of BCERUs that the director is satisfied represent
verified reductions, avoidances or removals achieved during the
crediting period.
Transfer and retirement of BCERUs
10 A BCERU may
only be transferred or retired through the compliance unit tracking
system and, if applicable, in accordance with the regulations.
Division 3 — Recognized Compliance Units
Recognized Compliance Units
11 (1) Recognized Compliance Units are units from another system that are recognized as RCUs by regulation.
(2) Each RCU represents the amount of carbon
dioxide equivalent emissions that is prescribed for the applicable type
of compliance unit.
Transfer and retirement of RCUs
12 An RCU is
recognized as being transferred or retired for the purposes of this Act
if it is transferred or retired, as applicable, in accordance with the
regulations.
Division 4 — Compliance Units Generally
Compliance units
13 (1) A compliance unit that has been retired may no longer be used for the purposes of section 2 (1) (b) [retirement of compliance units to match emissions].
(2) A compliance unit expires as a compliance
unit in accordance with the regulations, and may then no longer be used
for the purposes of section 2 (1) (b) [retirement of compliance units to match emissions].
(3) A BCAU or BCERU is not a property right and
does not represent an authorization to do anything that is not
otherwise lawful.
Part 5 — Compliance Unit Tracking System
Compliance unit tracking system
14 (1) BCAUs
and BCERUs are to be recorded in the compliance unit tracking system as
established under this Act or as designated by regulation.
(2) The compliance unit tracking system must include the following elements:
(a) the system is to record ownership, transfers and retirements of BCAUs and BCERUs;
(b) each compliance unit recorded in the system must have a unique identifier that allows it to be tracked within the system;
(c) each operator of a regulated operation is
entitled to hold an account in the system in which compliance units may
be credited to the operator;
(d) the system must have one or more retirement
accounts, being an account into which compliance units may be
transferred but from which they may not be transferred;
(e) account holders may transfer compliance units to other account holders through the system;
(f) account holders may retire compliance units
from their accounts, in which case the administrative authority must
provide the applicable account holder with evidence of retirement of
those compliance units.
(3) A regulation establishing or designating the
compliance unit tracking system may provide that the system is linked
to or forms part of another system for tracking units comparable to
BCAUs or BCERUs, in which case transfers and retirements of BCAUs and
BCERUs through the other system are deemed for the purposes of this Act
to be transfers and retirements through the compliance unit tracking
system.
Administrative authority for established system
15 (1) If the
compliance unit tracking system is established under this Act, the
minister may designate an employee under the Public Service Act, another individual or an organization as its administrative authority.
(2) An administrative authority designated under
subsection (1) is responsible for administering the compliance unit
tracking system in accordance with this Act and the regulations.
(3) On request from the director, an
administrative authority designated under subsection (1) must provide
the director with information, or reports respecting information, in
the compliance unit tracking system as requested.
Issuance of units into system
16 On issuance
by or under the direction of the director in accordance with the
regulations, the administrative authority must credit the applicable
number of BCAUs or BCERUs to an account in the compliance unit tracking
system of the person to whom they are to be issued.
Part 6 — Administrative Penalties
Automatic administrative penalties: failure to retire compliance units
17 (1) If a report under section 3 [compliance reports]
indicates that the operator of the regulated operation has not complied
with the obligation under section 2 (1) (b) [retirement of compliance units to match emissions] within the prescribed time, the operator is subject to the administrative penalty established by the regulations.
(2) In the case of an administrative penalty that
is a monetary amount, the amount must be paid to the government on or
before the date on which the applicable report under section 3 [compliance reports] is due.
(3) In the case of an administrative penalty that
is an obligation to retire compliance units, the compliance units must
be retired in accordance with the regulations.
Imposed administrative penalties: failure to retire compliance units
18 (1) The director must take action under this section, in accordance with the regulations,
(a) if the director is satisfied on a balance of probabilities that
(i) the greenhouse gas emissions attributable
to a regulated operation for the compliance period were different from
those reported under section 3 [compliance reports] or 4 [emissions reports], and
(ii) as a consequence, the operator has not complied with the obligation under section 2 (1) (b) [retirement of compliance units to match emissions] within the prescribed time, or
(b) if
(i) the operator of a regulated operation fails to submit a compliance report in accordance with section 3 [compliance reports], and
(ii) the director is satisfied on a balance
of probabilities that the operator has not complied with the obligation
under section 2 (1) (b) [retirement of compliance units to match emissions] within the prescribed time.
(2) In the circumstances referred to in
subsection (1), the director must serve the operator with an
administrative penalty notice
(a) identifying the operator's non-compliance as determined by the director, and
(b) requiring the person to satisfy the administrative penalty established by the regulations and specified in the notice.
(3) An operator served with an administrative
penalty notice under subsection (2) is subject to an administrative
penalty as follows:
(a) if the operator admits, in writing, the
non-compliance and its extent as determined by the director, the
penalty indicated in the notice is imposed at the time of that
admission;
(b) if the time for appealing the determination of non-compliance or its extent under Part 7 [Appeals to Environmental Appeal Board]
has elapsed and no appeal has been commenced, the penalty indicated in
the notice is imposed at the end of the time for appealing;
(c) if the non-compliance or its extent as
determined by the director is appealed and, under the final
determination of the appeal, the operator is subject to an
administrative penalty, the penalty specified in the final
determination is imposed at the time of that final determination.
(4) In the case of an administrative penalty that
is a monetary amount, the amount must be paid to the government within
the prescribed time after the penalty is imposed and in accordance with
any other prescribed requirements.
(5) In the case of an administrative penalty that
is an obligation to retire compliance units, the compliance units must
be retired within the prescribed time and in accordance with any other
prescribed requirements.
Administrative penalties in relation to other matters
19 (1) The
director may take action under this section, in accordance with the
regulations, if the director is satisfied on a balance of probabilities
that a person has contravened a prescribed provision of this Act or the
regulations.
(2) In the circumstances referred to in
subsection (1), the director may serve the person with an
administrative penalty notice,
(a) identifying the person's non-compliance as determined by the director, and
(b) requiring the person to satisfy the administrative penalty specified in the notice.
(3) A person served with an administrative
penalty notice under subsection (2) is subject to an administrative
penalty as follows:
(a) if the person admits, in writing, the
non-compliance and its extent as determined by the director, the
penalty indicated in the notice is imposed at the time of that
admission;
(b) if the time for appealing the determination of non-compliance or its extent under Part 7 [Appeals to Environmental Appeal Board]
has elapsed and no appeal has been commenced, the penalty indicated in
the notice is imposed at the end of the time for appealing;
(c) if the non-compliance or its extent as
determined by the director is appealed and, under the final
determination of the appeal, the person is subject to an administrative
penalty, the penalty specified in the final determination is imposed at
the time of that final determination.
(4) In the case of an administrative penalty that
is a monetary amount, the amount must be paid to the government within
the prescribed time after the penalty is imposed and in accordance with
any other prescribed requirements.
(5) In the case of an administrative penalty that
is an obligation to retire compliance units, the compliance units must
be retired within the prescribed time and in accordance with any other
prescribed requirements.
Administrative penalties do not relieve from retirement obligation
20 Compliance
units required to be retired as an administrative penalty are in
addition to the compliance units required to be retired under
section 2 (1) (b) [retirement of compliance units to match emissions] in relation to which the administrative penalty was imposed.
Recovery of penalties and other debts due
21 (1) An administrative penalty that is a monetary amount may be recovered as a debt due to the government.
(2) If a person does not satisfy an
administrative penalty that is an obligation to retire compliance units
within the specified time,
(a) the government may acquire and retire compliance units equal to the amount needed to satisfy the obligation, and
(b) the costs of acquiring and retiring the compliance units may be recovered from the person as a debt due to the government.
(3) If a person
(a) fails to pay an administrative penalty as required under this Act, or
(b) fails to pay an amount owing under subsection (2) (b) within 30 days of notice of the debt being served on the person,
the director may file a certificate in a court
that has jurisdiction and, on filing, the certificate has the same
force and effect, and all proceedings may be taken on it, as if it were
a judgment of the court with which it is filed.
(4) A certificate under subsection (3) may be in the prescribed form, must be signed by the director and must contain
(a) the name of the person who is liable for the administrative penalty or debt,
(b) particulars of the administrative penalty or debt, and
(c) the amount of the monetary penalty under subsection (1) or the government's costs under subsection (2) (b).
Part 7 — Appeals to Environmental Appeal Board
What decisions may be appealed, who may appeal, the process of appeal
22 (1) For the purposes of this Part, "decision" means any of the following:
(a) the determination of non-compliance under section 18 [imposed administrative penalties: failure to retire compliance units] or of the extent of that non-compliance, as set out in an administrative penalty notice;
(b) the determination of non-compliance under section 19 [administrative penalties in relation to other matters],
of the extent of that non-compliance or of the amount of the
administrative penalty, as set out in an administrative penalty notice;
(c) a prescribed decision or a decision in a prescribed class.
(2) A person who is served with
(a) an administrative penalty notice referred to in subsection (1) (a) or (b), or
(b) a document evidencing a decision referred to in subsection (1) (c).
may appeal the applicable decision to the appeal board.
(3) Subject to this Act, Division 1 of Part 8 [Appeals] of the Environmental Management Act applies in relation to appeals under this Act.
Part 8 — Offences
Division 1 — Offences and Penalties
Offences against Act and corresponding penalties
23 (1) An operator of a regulated operation who contravenes section 2 (1) (b) [retirement of compliance units to match emissions] commits an offence.
(2) An operator of a regulated operation or reporting operation who does any of the following commits an offence:
(a) contravenes section 3 (1), (2) or (3) [compliance reports];
(b) contravenes section 4 (1), (2) or (3) [emissions reports].
(3) A person who does either of the following commits an offence:
(a) obstructs or resists the director or an inspector exercising powers or performing duties under this Act;
(b) fails to comply with a direction given or requirement imposed under this Act by the director or an inspector.
(4) A person convicted of an offence under this
section is liable to a fine of not more than $1 000 000 or
imprisonment for a term of not more than 6 months, or both.
Offences of providing false or misleading
information and penalties
24 (1) A person
who knowingly provides false or misleading information when required
under this Act to provide information commits an offence and is liable
on conviction to a fine of not more than $1 000 000 or
imprisonment for a term of not more than 6 months, or both.
(2) A person who provides false or misleading
information when required under this Act to provide information, other
than a person described in subsection (1), commits an offence and is
liable on conviction to a fine of not more than $500 000 or
imprisonment for a term of not more than 6 months, or both.
(3) A person is not guilty of an offence under
subsection (2) if the person establishes that, at the time the
information was provided, the person did not know that it was false or
misleading and exercised reasonable care and diligence in providing the
information.
Continuing offences
25 If an offence under section 23 [offences against Act and corresponding penalties]
continues for more than one day, separate fines, each not exceeding the
maximum fine for the offence, may be imposed for each day the offence
continues.
Liability of directors, officers and agents
26 (1) If a
corporation commits an offence under this Act, an officer, director or
agent of the corporation who authorized, permitted or acquiesced in the
offence commits the offence.
(2) Subsection (1) applies whether or not the corporation is prosecuted for or convicted of the offence.
Relationship between administrative penalties and offences
27 (1) A person
may be prosecuted under this Act for a contravention or failure in
relation to which an administrative penalty has been imposed.
(2) In imposing a sentence for an offence under
this Act, the court may consider an administrative penalty imposed in
relation to the same matter.
(3) An administrative penalty may not be imposed
on a person for a contravention or failure in relation to which the
person has been convicted of an offence under this Act.
Other provisions relating to offences
28 (1) Section 5 of the Offence Act does not apply to this Act or the regulations.
(2) The time limit for laying an information for an offence under this Act is
(a) 3 years after the date that the facts on which the information is based arose, or
(b) if the minister completes a certificate
described in subsection (3), 18 months after the date that the facts on
which the information is based first came to the knowledge of the
minister.
(3) A document purporting to have been issued by
the minister, certifying the date on which the minister became aware of
the facts on which the information is based, is proof of the certified
facts.
Division 2 — Public Requests for Investigation
Chief conservation officer
29 In this Division, "chief conservation officer" has the same meaning as in the Environmental Management Act.
Application for investigation
30 (1) An
individual who is resident in British Columbia and at least 18 years of
age may apply to the chief conservation officer for an investigation of
any offence under this Act that the individual alleges has occurred or
is occurring.
(2) An application under this section must include a solemn affirmation or declaration
(a) stating the name and address of the applicant,
(b) stating that the applicant is at least 18 years of age and a resident of British Columbia,
(c) stating the nature of the alleged offence
and the name of each person alleged to have done something, or failed
to have done something, in contravention of this Act or the
regulations, and
(d) containing a concise statement of the evidence supporting the allegations of the applicant.
(3) If a form of application has been prescribed
for the purposes of this section, an application under this section
must be made in the prescribed form.
Investigation by chief conservation officer
31 After receiving an application under section 30 [application for investigation], the chief conservation officer must
(a) acknowledge its receipt, in accordance with the regulations, within 20 days, and
(b) investigate all matters that the chief
conservation officer considers necessary to determine the facts
relating to the alleged offence.
Progress reports
32 (1) Subject
to subsection (3), after acknowledging receipt of an application under
section 30, the chief conservation officer must report in
accordance with the regulations to the applicant every 90 days on the
progress of the investigation and the action, if any, that the chief
conservation officer has taken.
(2) A report under this section must include an estimate of the time required to complete the investigation.
(3) A report under this section is not required
if the investigation is discontinued before the end of a 90-day period
referred to in subsection (1).
Evidence may be sent to Criminal Justice Branch and director
33 At any stage of an investigation, the chief conservation officer may send any documents or other evidence
(a) to the Assistant Deputy Attorney General,
Criminal Justice Branch, for consideration of whether an offence under
this Act has been committed, or
(b) to the director for consideration of administrative action under Part 6 [Administrative Penalties].
Discontinuation of investigation
34 (1) The
chief conservation officer may discontinue an investigation if the
chief conservation officer is of the opinion that
(a) the alleged offence does not require further investigation, or
(b) the investigation does not substantiate the alleged offence.
(2) If an investigation is discontinued, the chief conservation officer must
(a) prepare a written statement of the reasons for the discontinuation, and
(b) in accordance with the regulations, send a
copy of the statement to the applicant and to any person whose conduct
was investigated.
(3) A copy of the statement sent to a person
whose conduct was investigated must not disclose the name or address of
the applicant or any other personal information about the applicant.
Part 9 — General
Notice and service under this Act
35 (1) Any notice under this Act may be given by registered mail sent to the last known address of the person.
(2) Any notice or other thing that, under this
Act, must be served on a person may be served by registered mail sent
to the last known address of the person.
(3) If a notice or other thing under this Act is
sent by registered mail to the last known address of the person, the
notice or other thing is deemed to be served on the person to whom it
is addressed on the 14th day after deposit with Canada Post unless the
person received actual service before that day.
Confidentiality
36 (1) Subject to subsection (2), for the purposes of section 21 (1) (b) of the Freedom of Information and Protection of Privacy Act, information that is in the custody or under the control of the government and that was obtained under this Act
(a) from the operator of a regulated operation or reporting operation,
(b) from the proponent of a proposed or accepted emission reduction project, or
(c) in the course of an inspection authorized under section 43 [regulations in relation to inspections],
whether or not the information was supplied to the
government, is deemed to have been supplied to the government
implicitly or explicitly in confidence, if it is
(d) information with respect to a trade secret, within the meaning of the Freedom of Information and Protection of Privacy Act, of the operator or proponent or of another person, or
(e) commercial, financial, labour relations,
scientific or technical information of the operator or proponent or of
another person.
(2) Subsection (1) does not apply to
(a) determinations of greenhouse gas emissions
attributable to a regulated operation or reporting operation, including
determinations of emissions by major source category, or
(b) information that is required or authorized to be published under this Act.
General regulation powers
37 (1) The Lieutenant Governor in Council may make regulations referred to in section 41 of the Interpretation Act.
(2) Without limiting any other provision of this Act, the Lieutenant Governor in Council may make regulations as follows:
(a) prescribing information that must or may be published under this Act;
(b) establishing criteria that must be applied by the director in making decisions under this Act;
(c) defining words or expressions used but not defined in this Act;
(d) respecting any other matter for which regulations are contemplated by this Act.
(3) A regulation under this Act may do any or all of the following:
(a) delegate a matter to a person;
(b) confer a discretion on a person;
(c) make different regulations in relation to
(i) different classes of regulated operations or reporting operations,
(ii) different classes of emission reduction projects, and
(iii) different classes of compliance units,
as established by regulation.
(4) A regulation under this Act may adopt by
reference, in whole, in part or with any changes considered
appropriate, a regulation, code, standard or rule
(a) enacted as or under a law of another jurisdiction, including a foreign jurisdiction, or
(b) set by a provincial, national or international body or any other code, standard or rule making body,
as the regulation, code, standard or rule stands
at a specific date, as it stands at the time of adoption or as amended
from time to time.
Regulations in relation to regulated operations and reporting operations
38 Without limiting any other provision of this Act, the Lieutenant Governor in Council may make regulations as follows:
(a) establishing regulated operations and reporting operations for the purposes of this Act by
(i) prescribing
(A) classes of activities,
(B) classes of activities that meet a
prescribed level of activity or a prescribed level of attributable
greenhouse gas emissions, or
(C) facilities where activities referred to in
clause (A) or (B) occur, including facilities that are not limited to a
single location,
as regulated operations or reporting operations, or
(ii) designating a particular set of
activities or a particular facility, including a facility that is not
limited to a single location, as a regulated operation or reporting
operation;
(b) respecting who is to be considered the operator of a regulated operation or reporting operation;
(c) establishing the greenhouse gas emissions
that are deemed to be attributable to a regulated operation or
reporting operation, or to an operation for the purposes of determining
whether it is a regulated operation or reporting operation, including,
without limitation,
(i) deeming greenhouse gas emissions that occur outside British Columbia to be attributable, and
(ii) in relation to electricity, deeming
greenhouse gas emissions associated with the generation and
transmission of the electricity until the point at which the
electricity is received by the British Columbia electricity grid to be
attributable;
(d) respecting the methodology by which
greenhouse gas emissions attributable to a regulated operation or
reporting operation are to be determined;
(e) prescribing limits on
(i) the quantity or proportion of RCUs, or
(ii) the quantity or proportion of specified types of RCUs,
or both, that may be retired for the purposes of complying with section 2 (1) (b) [retirement of compliance units to match emissions] for a compliance period;
(f) providing authority for exceptions to the restriction under section 2 (4) [compliance units that may be retired] by
(i) authorizing the director, in prescribed
circumstances, to permit the operator of a regulated operation who is
subject to an administrative penalty for failure to comply with the
obligation under section 2 (1) (b) to use more recent
compliance units for the purposes of complying with that obligation, and
(ii) establishing conditions for the use of
such a permission, including, without limitation, requiring operators
to retire additional compliance units to achieve the compliance.
Regulations in relation to compliance units
39 Without
limiting any other provision of this Act, the Lieutenant Governor in
Council may make regulations respecting compliance units as follows:
(a) respecting the BCAU distribution system under section 5 [cap on BCAUs for compliance period],
including, without limitation, respecting how, how many, when, with
what frequency and to whom BCAUs are to be made available and providing
that BCAUs may be made available directly to the operators of regulated
operations, with or without an associated fee or charge, or by auction,
other sale or other disposition;
(b) establishing the processes for approving
projects as accepted emission reduction projects and issuing BCERUs in
relation to accepted emission reduction projects, including, without
limitation,
(i) establishing a time limit within which
the first application for the issuance of BCERUs in relation to an
accepted emission reduction project must be made, after which time, if
no application has been made, the project ceases to be an accepted
emission reduction project,
(ii) respecting requirements that must be met
in relation to an application for the issuance of BCERUs and criteria
for such an issuance,
(iii) requiring a verification in relation to
an accepted emission reduction project to be certified by a recognized
evaluator, and
(iv) respecting the qualifications required to be a recognized evaluator for verifications;
(c) recognizing units from another authority,
including an authority that is in a jurisdiction outside Canada and
including an authority established under the auspices of a
multijurisdictional organization such as the Western Climate Initiative;
(d) respecting the retirement or expiration of compliance units.
Regulations in relation to compliance unit tracking system
40 Without
limiting any other provision of this Act, the Lieutenant Governor in
Council may make regulations respecting the compliance unit tracking
system as follows:
(a) establishing the compliance unit tracking system referred to in section 14 [compliance unit tracking system]
or designating a system as the compliance unit tracking system,
including a system that is administered by an authority in a
jurisdiction outside Canada and including a system administered by an
authority established under the auspices of a multijurisdictional
organization such as the Western Climate Initiative;
(b) respecting a compliance unit tracking system established under paragraph (a), including, without limitation,
(i) respecting who, in addition to operators of regulated operations, may hold accounts in the system,
(ii) respecting the nature of the evidence that must be provided in relation to the retirement of compliance units,
(iii) respecting the fees that may be established by the administrative authority in relation to its services, and
(iv) conferring powers on the administrative
authority to regulate participation in the compliance unit tracking
system, including, without limitation, powers to suspend or cancel an
account holder's participation in the system other than to transfer
compliance units into a retirement account;
(c) if the compliance unit tracking system is
changed, or if it is linked to or forms part of another system, making
any provisions that the Lieutenant Governor in Council considers
necessary or advisable to effect or facilitate the transition.
Regulations in relation to administrative penalties
41 Without
limiting any other provision of this Act, the Lieutenant Governor in
Council may make regulations for the purposes of Part 6 [Administrative Penalties] as follows:
(a) prescribing the administrative penalties, or
the manner of calculating the administrative penalties, that are or
must be imposed under
(i) section 17 [automatic administrative penalties: failure to retire compliance units], and
(ii) section 18 [imposed administrative penalties: failure to retire compliance units],
which may include either or both of a monetary
amount to be paid to the government and an obligation to retire
compliance units as prescribed;
(b) in relation to administrative penalties under section 18 [imposed administrative penalties: failure to retire compliance units] or 19 [administrative penalties in relation to other matters],
(i) prescribing a limitation period for
imposing an administrative penalty and evidentiary matters in relation
to that period, and
(ii) prescribing procedures to be applied by the director in making a determination of non-compliance;
(c) in relation to administrative penalties under section 19 [administrative penalties in relation to other matters],
(i) prescribing a maximum or minimum amount
of a monetary administrative penalty that may be imposed generally, or
for specified contraventions, or the manner of calculating those
amounts,
(ii) prescribing the maximum or minimum
number of compliance units that may be required to be retired for
specified contraventions, or the manner of calculating those numbers,
(iii) prescribing provisions of this Act and the regulations in relation to which an administrative penalty may be imposed,
(iv) authorizing administrative penalties to be imposed on a daily basis for continuing contraventions or failures,
(v) prescribing matters that must be considered by the director in imposing the penalty in a particular case, and
(vi) prescribing whether an administrative
penalty notice must be cancelled if the person on whom it was served
demonstrates to the satisfaction of the director that the person
exercised due diligence to prevent the specified contravention or
failure;
(d) establishing the required content of administrative penalty notices;
(e) establishing procedures for providing a
person on whom an administrative penalty notice has been served with an
opportunity to make representations, which may include opportunities
that do not involve an oral hearing;
(f) respecting the time limit, manner and process for satisfying an administrative penalty;
(g) prescribing the consequences of failing to
satisfy an administrative penalty, which may include, but are not
limited to, imposing additional administrative penalties;
(h) providing for the publication of information respecting the imposition of an administrative penalty.
Regulations in relation to appeals
42 (1) Without
limiting any other provision of this Act, the Lieutenant Governor in
Council may make regulations respecting appeals under Part 7 [Appeals to Environmental Appeal Board], including, without limitation, regulations as follows:
(a) prescribing decisions or classes of decisions as being appealable under that Part;
(b) prescribing
(i) time limits and procedures in relation to appeals,
(ii) the powers of the appeal board in conducting, hearing and deciding appeals, and
(iii) whether an appeal operates as a stay in relation to a decision or a class of decisions;
(c) exercising authority equivalent to that under section 105 of the Environmental Management Act or adopting regulations under that section.
(2) Regulations under subsection (1) may provide that specified provisions of the Environmental Management Act
in relation to appeals apply in relation to appeals under this Act with
the changes the Lieutenant Governor in Council considers necessary or
advisable.
Regulations in relation to inspections
43 (1) Without
limiting any other provision of this Act, the Lieutenant Governor in
Council may make regulations respecting inspections for the purposes of
ensuring compliance with this Act and the regulations, including,
without limitation, regulations as follows:
(a) authorizing the director to designate
persons or classes of persons as inspectors and issue identification to
those inspectors;
(b) prescribing inspection and seizure powers,
including, without limitation, and as is necessary for the purposes of
inspection, the authority to
(i) enter land or premises,
(ii) inspect, analyze, measure, sample or test anything,
(iii) use or operate anything or require the use or operation of anything, under conditions specified by the inspector,
(iv) take away samples,
(v) make or take away copies of records, photographs or audio or video records,
(vi) take, with the inspector, other persons or equipment, and
(vii) require a person who is the subject of
an inspection or who is or was a director, receiver, receiver manager,
officer, employee, banker or agent of such a person to produce records
for examination or copying or to provide information;
(c) limiting inspection and seizure powers of an inspector who is not an employee under the Public Service Act and requiring that the limitations be set out in identification provided by the director;
(d) requiring that an inspector exercising powers under this Act provide identification on request.
(2) Regulations under subsection (1) may provide that specified provisions of the Environmental Management Act
in relation to inspections or seizures apply in relation to inspections
or seizures under this Act with the changes the Lieutenant Governor in
Council considers necessary or advisable.
Regulations in relation to other matters
44 Without limiting any other provision of this Act, the Lieutenant Governor in Council may make regulations as follows:
(a) respecting reports under this Act,
including, without limitation, prescribing requirements respecting to
whom the reports are to be submitted and the timing, form, content,
supporting evidence, verification, certification and manner of
submission of the reports;
(b) establishing requirements and standards
respecting quality assurance of the information provided in the reports
under this Act and the data that support the reports, including,
without limitation, requirements and standards respecting
(i) monitoring protocols and equipment,
(ii) sampling protocols and equipment, and
(iii) analytical protocols and equipment
that must be used for the purposes of reports under this Act;
(c) establishing requirements respecting the
retention of records supporting reports and information required to be
provided to the director under this Act;
(d) establishing fees and charges that are to be
paid in respect of any matter for which the government provides a
service or performs a duty under this Act;
(e) prescribing for the contravention of a regulation a fine not exceeding $200 000;
(f) respecting the chief conservation officer's obligation under section 31 [investigation by chief conservation officer] to acknowledge receipt of applications or that official's reporting obligation under section 32 [progress reports] or 34 (2) [discontinuation of investigation],
including, without limitation, regulations limiting or modifying those
obligations if the chief conservation officer receives more than the
prescribed number of applications in respect of the same alleged
offence.
Consequential Amendment
Hydro and Power Authority Act
45
Section 32 (7) of the Hydro and Power Authority Act, R.S.B.C.
1996, c. 212, is amended by adding the following paragraph:
(c.2) the Greenhouse Gas Reduction (Cap and Trade) Act; .
Commencement
46 This Act comes into force by regulation of the Lieutenant Governor in Council.
Explanatory Note
This Bill:
- requires operations that are prescribed as regulated
operations to match their greenhouse gas emissions with compliance
units permitted under the Act;
- requires reports respecting greenhouse gas emissions
attributable to operations that are prescribed as regulated operations
or reporting operations;
- provides for the issuance or recognition of compliance units, including
(a) BC Allowance Units, which are subject to a prescribed cap on the
number that may be issued under the Act for a compliance period,
(b) BC Emission Reduction Units, which are issued for verified
greenhouse gas emission reductions, avoidances or removals in relation
to emission reduction projects accepted under the Act, and
(c) Recognized Compliance Units, which are units from other systems;
- provides for the establishment or designation of a
compliance unit tracking system for the compliance units issued under
the Act;
- provides for the administration and enforcement of the Act,
including administrative and other penalties for contraventions of the
Act.
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