Clean Fuel Regulations — 75
Low-carbon-intensity fuel 75 (1) The carbon intensity of a low-carbon-intensity fuel, other than hydrogen produced from a fossil fuel, and the carbon intensity of a material input that is a renewable natural gas, biogas, renewable propane or hydrogen, other than hydrogen produced from a fossil fuel, is, at the election of the registered creator or foreign supplier, (a) the default carbon intensity referred to in section 1 of Schedule 6; or (b) determined by the formula CI f + CI p + CI cl + CI e + CI td + CI c where CI f is the quantity of CO 2 e emissions set out in section 2 of Schedule 6 that represents the quantity of CO 2 e that is associated with the extraction or production, as the case may be, of the feedstock from which the fuel or material input is produced, per megajoule of energy produced, CI p is the quantity of CO 2 e emissions set out in section 3 of Schedule 6 that represents the quantity of CO 2 e that is released during the production of the fuel or material input from the feedstock, the transportation of the feedstock and intermediary products used to produce the fuel or material input and the distribution of the fuel or material input to end users, per megajoule of energy produced, CI cl is the quantity of CO 2 e emissions set out in section 4 of Schedule 6 that represents the quantity of CO 2 e that is released during the compression or liquefaction of the fuel or material input, per megajoule of energy produced, CI e is the quantity of CO 2 e emissions set out in section 5 of Schedule 6 that represents the additional quantity of CO 2 e that is associated with the production of electricity used during the production of the fuel or material input, per megajoule of energy produced, CI td is the quantity of CO 2 e emissions set out in section 6 of Schedule 6 that represents the additional quantity of CO 2 e that is released during the transportation of the feedstock and intermediary products used to produce the fuel or material input and the distribution of the fuel or material input to end users, per megajoule of energy produced, in the case of a total transportation distance of no less than 1500 km, and CI c is the quantity of CO 2 e emissions set out in section 7 of Schedule 6 that represents the quantity of CO 2 e that is released during the combustion of the fuel or the use of the material input, per megajoule of energy produced. Use limited to 12 months (2) The default carbon intensity referred to in paragraph (1)(a) must not be used to create compliance credits for a period of more than 12 consecutive months or more than 12 months during two consecutive compliance periods, unless the Minister, at the written request of the registered creator, approves the use of that carbon intensity for any longer period specified by the Minister. Use pending approval (3) However, in the case of an application under subsection 80 (1) for the approval of a carbon intensity determined in accordance with paragraph (1)(b) or subsection 76 (1), the applicant may use the default carbon intensity referred to in paragraph (1)(a) to create compliance credits during the period beginning on the day on which the application is made and ending on the day on which the carbon intensity is approved under subsection 85 (1), even if that period is longer than 12 consecutive months. Input data for less than three months (4) A registered creator or foreign supplier may elect to use the carbon intensity referred to in paragraph (1)(b) if they have input data, for a period of less than three consecutive months, derived from the activities referred to in the definition carbon intensity in subsection 1 (1) that are carried out over the life cycle of the fuel or the life cycle of the material input, as the case may be. Use limited to three compliance periods (5) The carbon intensity referred to in paragraph (1)(b) must not be used to create credits other than for a period of no more than three consecutive compliance periods. Fossil fuels (6)