Income Tax Act — I-3.3 (a)
waste biomass electricity generation equipment means property that (a) is part of a system that meets the following conditions (i) the system is used solely for the purpose of generating electrical energy, or a combination of electrical energy and heat energy, determined without reference to the recovery of chemicals from spent pulping liquor, (ii) the system consumes material all or substantially all of the energy content (expressed as the higher heating value of the material) of which is specified waste material, as determined on an annual basis, (iii) the system is on a single site, or on contiguous sites or adjacent sites that function as a single integrated site, at which the activities described in subparagraphs (i) and (ii) are carried out, and (iv) the system meets the following heat rate on an annual basis A ≥ (2 × B + C) ÷ (D + E ÷ F) where A is 13,000 BTU per kilowatt-hour, B is the energy content of fossil fuel (expressed as the higher heating value of the fuel) consumed by the system in BTU, C is the energy content of eligible bioenergy fuel or any other fuel other than fossil fuel (expressed as the higher heating value of the fuel) consumed by the system in BTU, D is the gross electrical energy produced by the system in kilowatt-hours, E is the net useful energy in the form of heat exported from the system to a thermal host in BTU, and F is 3,412 BTU per kilowatt-hour; (b) is (i) electrical generating equipment, (ii) heat generating equipment used primarily for the purpose of producing heat energy to operate equipment described in subparagraph (i), determined without reference to the recovery of chemicals from spent pulping liquor, (iii) equipment that generates both electrical and heat energy, (iv) heat recovery equipment used primarily for the purpose of conserving energy, or reducing the requirement to acquire energy, by extracting for reuse thermal waste that is generated by equipment described in this paragraph, (v) equipment that (A) is used to produce solid biofuel, liquid biofuel or gaseous biofuel used solely to operate equipment described in any of subparagraphs (i) to (iii) or (vi), from material all or substantially all of the energy content (expressed as the higher heating value of the material) of which is specified waste material, as determined on an annual basis, and (B) is described in any of subparagraphs (d)(xi), (xiii), (xvi) or (xx) of Class 43.1 in Schedule II to the Income Tax Regulations , (vi) equipment that is used to upgrade the combustibility of specified waste material used all or substantially all to operate equipment described in this subparagraph or in any of subparagraphs (i) to (iii) or (v), (vii) equipment for the distribution of heat energy within the system, (viii) equipment that is physically and functionally integrated with equipment described in any of subparagraphs (i) to (vii) and that is ancillary equipment (such as control equipment) used primarily to support the functioning of equipment described in any of subparagraphs (i) to (vii), or (ix) described in any of subparagraphs (i) to (viii) that is incorporated into a system that would not otherwise be described in paragraph (a) if the incorporation causes the system to satisfy the description in paragraph (a); and (c) is not (i) a building or other structure, (ii) transmission equipment, (iii) distribution equipment, (iv) equipment used to export heat energy from the system, (v) equipment for the storage of feedstock or fuel, (vi) pollution abatement equipment, (vii) a vehicle, or (viii) property described in Class 57 or 58 of Schedule II to the Income Tax Regulations . ( matériel générateur d’électricité à partir de déchets de biomasse )