On-Road Vehicle and Engine Emission Regulations — 31.1
31.1 (1) Subject to subsection (8), a company may elect to exclude the group of vehicles in a fleet that are covered by an EPA certificate and that are sold concurrently in Canada and the United States from the requirement to meet the standards set out in sections 24.1 to 24.4, 24.6, 24.7 and 24.10, as applicable, and from the NMOG + NO X , cold NMHC or evaporative emission deficit calculations, as the case may be, in respect of a fleet under section 28. (2) Subject to subsection (3), a company shall include in the group referred to in subsection (1) all of the vehicles of a fleet that are covered by an EPA certificate and that are sold concurrently in Canada and the United States. (3) A company shall not include in the group referred to in subsection (1) any vehicle that is covered by an EPA certificate and (a) in respect of which the total number of units sold in Canada exceeds the total number of units sold in the United States that are covered by the same EPA certificate; and (b) that conforms, as applicable, to (i) a full useful life emission bin having a NMOG + NO X standard that is greater than the applicable fleet average NMOG + NO X standard for the model year in respect of which the election is made, or (ii) a family emission limit for cold NMHC or evaporative emissions, as the case may be, that is greater than the applicable fleet average cold NMHC or evaporative emission standard for the model year in respect of which the election is made. (4) Subject to subsection (5), if a company makes an election under subsection (1), it shall calculate an average NMOG + NO X , cold NMHC or evaporative emission value in accordance with section 24.5, 24.8 or 24.11, as the case may be, with the necessary modifications, in respect of (a) the group that is subject to the election; and (b) the vehicles in the fleet that are not part of the group referred to in paragraph (a), if any. (5) A company may elect not to make the calculations referred to in subsection (4) for a group of vehicles described in paragraph (4)(a) or (b) if every vehicle in the group conforms to (a) a full useful life emission bin having a NMOG + NO X standard that is equal to or less than the fleet average NMOG + NO X standard that would otherwise apply under sections 24.1 to 24.4; or (b) a family emission limit for cold NMHC or evaporative emissions, as the case may be, that is equal to or less than the fleet average cold NMHC or evaporative emission standard that would otherwise apply under section 24.6, 24.7 or 24.10. (6) If a company makes an election under subsection (5), the average NMOG + NO X , cold NMHC or evaporative emission value, as the case may be, for the group of vehicles of a fleet for which the election was made shall be the applicable fleet average NMOG + NO X , cold NMHC or evaporative emission standard. (7) If a company makes the election referred to in subsection (1) and the average NMOG + NO X , cold NMHC or evaporative emission value, as the case may be, for the group that is subject to the election, calculated under paragraph (4)(a), exceeds the fleet average NMOG + NO X , cold NMHC or evaporative emission standard that would otherwise apply under section 24.1, 24.2, 24.3, 24.4, 24.6, 24.7 or 24.10, the company shall (a) forfeit any NMOG + NO X , cold NMHC or evaporative emission credits, as the case may be, obtained for previous model years; and (b) not obtain any NMOG + NO X , cold NMHC or evaporative emission credits, as the case may be, for the model year in respect of which the election was made. (8) A company shall not make an election referred to in subsection (1) in respect of any of the following emission standards for a model year in respect of which it has transferred emission credits to another company if (a) in the case of NMOG + NO X standards, the average NMOG + NO X value, calculated under paragraph (4)(a) for the group that is subject to the election, exceeds the fleet average NMOG + NO X standard that would otherwise ap