jswizzle3737/ontario_laws_and_regs huggingface dataset:
2 (1) Recognizing the critical environmental and economic challenge of climate change that is facing the global community, the purpose of this Act is to create a regulatory scheme, (a) to reduce greenhouse gas in order to respond to climate change, to protect the environment and to assist Ontarians to transition to a low-carbon economy; and (b) to enable Ontario to collaborate and coordinate its actions with similar actions in other jurisdictions in order to ensure the efficacy of its regulatory scheme in the context of a broader international effort to respond to climate change. Same (2) The cap and trade program is a market mechanism established under this Act that is intended to encourage Ontarians to change their behaviour by influencing their economic decisions that directly or indirectly contribute to the emission of greenhouse gas.
3 For greater certainty, nothing in this Act shall be construed so as to abrogate or derogate from the protection provided for the existing aboriginal and treaty rights of the aboriginal peoples of Canada as recognized and affirmed in section 35 of the Constitution Act, 1982.
4 This Act binds the Crown. Greenhouse Gas
5 This Act applies with respect to the following types of greenhouse gas and such other contaminants as may be prescribed as greenhouse gas by the regulations: 1. Carbon dioxide. 2. Methane. 3. Nitrous oxide. 4. Hydrofluorocarbons. 5. Perfluorocarbons. 6. Sulphur hexafluoride. 7. Nitrogen trifluoride.
6 (1) The following targets are established for reducing the amount of greenhouse gas emissions from the amount of emissions in Ontario calculated for 1990: 1. A reduction of 15 per cent by the end of 2020. 2. A reduction of 37 per cent by the end of 2030. 3. A reduction of 80 per cent by the end of 2050. Increase (2) The Lieutenant Governor in Council may, by regulation, increase the targets specified in subsection (1). Interim targets (3) The Lieutenant Governor in Council may, by regulation, establish interim targets for the reduction of greenhouse gas emissions. Temperature goals (4) When increasing the targets specified in subsection (1) or establishing interim targets for the reduction of greenhouse gas emissions, the Lieutenant Governor in Council shall have regard to any temperature goals recognized by the Conference of the Parties established under Article 7 of the United Nations Framework Convention on Climate Change. Baseline (5) For the purposes of this section, the amount of greenhouse gas emissions in Ontario calculated for 1990 is the amount specified as such by the Minister.  The Minister may, as he or she considers appropriate, recalculate the specified amount from time to time. Public notice of baseline (6) The Minister shall inform the public about the amount specified under subsection (5) by making notice of the amount available to the public on a website of the Government or in such other manner as may be prescribed by the regulations. Non-application (7) Part III (Regulations) of the Legislation Act, 2006 does not apply with respect to the decisions of the Minister under subsections (5) and (6).
7 (1) The Government of Ontario shall prepare a climate change action plan that sets out actions under a regulatory scheme designed to modify behaviour that will enable Ontario to achieve its targets for the reduction of greenhouse gas emissions. Traditional ecological knowledge (2) If a First Nation or Métis community offers its traditional ecological knowledge to the Minister, the Minister shall take into consideration the role of traditional ecological knowledge with respect to the action plan. Impact on low-income households (3) The action plan must consider the impact of the regulatory scheme on low-income households and must include actions to assist those households with Ontario’s transition to a low-carbon economy. Contents of plan (4) For each of the actions set out in the action plan, the plan shall establish a timetable for taking the action. Same (5) The action plan shall include the following information: 1. The potential reduction in greenhouse gas resulting from the action. 2. An assessment of the cost per tonne of the potential reduction in greenhouse gas. 3. If an action could be funded, in whole or in part, using the amounts in the Greenhouse Gas Reduction Account, the estimated amount of any funding from the Account that may be contemplated. Public notice (6) The Minister shall, before January 1, 2017, lay the action plan before the Assembly and make it available to the public on a website of the Government or in such other manner as may be prescribed by the regulations. Periodic revision and review (7) The action plan may be revised at any time and must be reviewed at least every five years or as otherwise prescribed. Public notice after review (8) If the action plan is revised following a review, the Minister shall, at the earliest reasonable opportunity, lay the revised action plan before the Assembly and make it available to the public on a website of the Government or in such other manner as may be prescribed by the regulations. Status (9) For greater certainty, the action plan and any revisions to it are not undertakings within the meaning of the Environmental Assessment Act.
8 (1) The Minister shall prepare a report at least once every year, or as otherwise prescribed, and the report must describe the status of the actions set out in any climate change action plan prepared in respect of the reporting period. Public notice (2) The Minister shall, at the earliest reasonable opportunity, lay the report before the Assembly and make it available to the public on a website of the Government or in such other manner as may be prescribed by the regulations. Duty to quantify emissions
9 (1) Each of the following persons shall quantify the amount of greenhouse gas that is emitted during the person’s prescribed activities at its prescribed facility in Ontario during a prescribed period: 1. The owner or operator of a prescribed facility who satisfies such other criteria as may be prescribed by regulation. 2. Such other persons who satisfy such criteria, or are in such circumstances, as may be prescribed by regulation. Same (2) The person shall, in accordance with the regulations, quantify the amount of greenhouse gas that is emitted during prescribed activities at a prescribed facility and shall keep the records required by regulation. Emissions associated with activities (3) Each of the following persons shall calculate the amount of the greenhouse gas emissions that are determined, in accordance with the regulations, to be associated with the person’s prescribed activities in Ontario during a prescribed period: 1. A person who imports electricity into Ontario during the period and who satisfies such other criteria as may be prescribed by regulation. 2. A person who distributes natural gas in Ontario and who satisfies such other criteria as may be prescribed by regulation. 3. A person who supplies petroleum products for consumption in Ontario and who satisfies such other criteria as may be prescribed by regulation. 4. Such other persons who satisfy such criteria, or are in such circumstances, as may be prescribed by regulation. Same, direct and indirect links (4) The greenhouse gas emissions that are determined, in accordance with the regulations, to be associated with a person’s prescribed activity may be greenhouse gas emitted by the person during its prescribed activity and may include greenhouse gas emissions of another person (“third party”), if there is a direct or indirect link between the person and the third party and a direct link between the prescribed activity and the greenhouse gas emissions of the third party. Calculation (5) The person shall, in accordance with the regulations, calculate the amount of the greenhouse gas emissions that are associated with the person’s prescribed activity and shall keep the records required by regulation. Duty to report
10 (1) This section applies, in such circumstances as may be prescribed, to a person who is required by subsection 9 (1) to quantify the amount of greenhouse gas that is emitted during a prescribed activity at a prescribed facility during a prescribed period. Emissions associated with activities (2) This section applies, in such circumstances as may be prescribed, to a person who is required by subsection 9 (3) to calculate the amount of the greenhouse gas emissions that are associated with a prescribed activity during a prescribed period. Duty to report (3) The person shall give the Director one or more reports, as required by regulation, with respect to the greenhouse gas emissions during the period and shall do so before the prescribed deadline. Revised reports (4) The person shall revise a report and give the revised report to the Director in the following circumstances: 1. The Director is of the opinion that the report has not been prepared in accordance with this Act or the regulations. 2. Such other circumstances as may be prescribed by regulation. Contents, etc. (5) A report under this section shall contain such information as may be prescribed, and such additional information as the Director may request, and shall be prepared and submitted in accordance with this Act and the regulations.
11 (1) This section applies, in such circumstances as may be prescribed, to a person who is required by section 10 to give the Director one or more reports with respect to greenhouse gas emissions relating to a prescribed activity during a prescribed period. Same (2) The person shall have prescribed reports under section 10 verified in accordance with the regulations by a person who is authorized by regulation to do so.
12 (1) The Director may ask a person to provide information described in subsection (2) to the Director for the purposes of, (a) assessing whether a person may be required to comply with section 9, 10 or 11; (b) reviewing any record required to be kept or submitted for the purposes of section 9, 10, 11 or 13 or that is required to be prepared in relation to any of those sections; or (c) making a determination under subsection 13 (2). Information (2) The information that may be requested under subsection (1) is such information as may be specified in the regulations or as may be specified by the Director. Duty to comply with request (3) The person shall comply with the Director’s request, in the manner and within the period specified by the Director. Duty to provide assistance (4) Subsections 42 (8) and 43 (1) and (2) apply, with necessary modifications, with respect to a request by the Director under this section.
13 (1) For the purposes of this Act, the amount of greenhouse gas emissions relating to a prescribed activity during a prescribed period that is attributed to a person is the amount prescribed by the regulations or determined in accordance with the regulations. Same (2) Despite subsection (1), in prescribed circumstances, the amount of greenhouse gas emissions shall be determined by the Director in accordance with the regulations. Opportunity to be heard (3) If the Director proposes to determine the amount of greenhouse gas emissions to be attributed to a person, the Director shall give the person notice of the proposal in accordance with the regulations and shall, in accordance with the regulations, give the person an opportunity to be heard. The Cap and Trade Program
15 (1) A person who satisfies such criteria as may be prescribed by regulation is required to register as a mandatory participant in the cap and trade program under this Act. Facility, etc. (2) If the regulations so authorize, a person may be required to register only with respect to one or more activities at a facility. Registration process (3) The person shall give the Director such information as may be required by regulation and such additional information as may be required by the Director for the purposes of registering, and shall do so in accordance with the regulations. Director’s duty to register (4) Upon receiving the information and any applicable fee, the Director shall register the person as a mandatory participant in the cap and trade program if the Director is satisfied that the person satisfies the criteria described in subsection (1).
16 (1) A person who satisfies such criteria as may be prescribed by regulation may apply to the Director in accordance with the regulations for registration as a voluntary participant in the cap and trade program under this Act. Facility, etc. (2) For greater certainty, a person who is required to register as a mandatory participant under section 15 with respect to one or more activities at a facility may apply for registration under this section as a voluntary participant with respect to other activities or other facilities. Registration process (3) The applicant shall give the Director such information as may be required by regulation and such additional information as may be required by the Director for the purposes of the application. Director’s duty to register (4) Upon receiving the application, information and any applicable fee, the Director shall register the applicant if the Director determines that the applicant satisfies the eligibility criteria referred to in subsection (1) and such additional requirements as may be prescribed by regulation. Refusal of registration (5) Despite subsection (4), the Director may refuse to register the applicant if the Director is of the opinion that the applicant should not be registered, having regard to such circumstances as may be prescribed and such other matters as the Director considers appropriate. Opportunity to be heard (6) If the Director proposes to refuse to register an applicant, the Director shall give the applicant notice of the proposal in accordance with the regulations and shall, in accordance with the regulations, give the applicant an opportunity to be heard.
17 (1) A person who satisfies such eligibility criteria as may be prescribed may apply to the Director in accordance with the regulations for registration as a market participant in the cap and trade program under this Act. Same (2) The applicant shall give the Director such information as may be required by regulation and such additional information as may be required by the Director for the purposes of the application. Director’s duty to register (3) Upon receiving the application, information and any applicable fee, the Director shall register the applicant if the Director determines that the applicant satisfies the eligibility criteria referred to in subsection (1). Refusal of registration (4) Despite subsection (3), the Director may refuse to register the applicant if the Director is of the opinion that the applicant should not be registered, having regard to such circumstances as may be prescribed and such other matters as the Director considers appropriate. Opportunity to be heard (5) If the Director proposes to refuse to register an applicant, the Director shall give the applicant notice of the proposal in accordance with the regulations and shall, in accordance with the regulations, give the applicant an opportunity to be heard.
18 (1) Conditions of registration may be established by regulation for mandatory participants, voluntary participants and market participants, respectively. Duty to audit (2) Without limiting the generality of subsection (1), the conditions of registration may include a requirement that the registrant cause an audit to be undertaken, in such circumstances as may be prescribed, of any of the matters specified by regulation, and the audit shall comply with such requirements as may be prescribed. Other duties (3) Without limiting the generality of subsection (1), the conditions of registration as a mandatory or voluntary participant may include a requirement to give reports to the Director and have the reports verified in accordance with the regulations by a person who is authorized by regulation to do so. Conditions imposed by the Director (4) When registering a mandatory participant, voluntary participant or market participant, the Director may impose conditions with respect to the registration of the participant. Same (5) The Director may change, or cancel, any of the conditions imposed by the Director with respect to a registration. Hearing (6) Section 60 applies if the Director imposes, or changes, conditions with respect to the registration of a registered participant.
19 (1) A registered participant shall comply with the conditions of registration established by regulation and the conditions imposed on the participant by the Director. Same (2) A mandatory participant who is not registered shall comply with the conditions of registration established by regulation for mandatory participants. Cancellation of registration
20 (1) Upon request, the Director may cancel the registration of a mandatory participant, in accordance with the regulations, if the registrant ceases to satisfy the criteria referred to in subsection 15 (1) for such a registration and if the prescribed criteria for cancellation are satisfied. Other participants, on request (2) Upon request, the Director may cancel the registration of a voluntary participant or a market participant in accordance with the regulations if the prescribed criteria for cancellation are satisfied. Opportunity to be heard (3) If the Director proposes to refuse a participant’s request under subsection (1) or (2), the Director shall give the applicant notice of the proposal in accordance with the regulations and shall, in accordance with the regulations, give the applicant an opportunity to be heard. Deemed registration (4) Upon request, a person who ceases to be registered as a mandatory participant under subsection (1) and who satisfies the eligibility criteria for registration as a voluntary participant is deemed to have applied for registration under section 16 as a voluntary participant and is automatically registered as such. Same (5) Upon request, a person who ceases to be registered as a mandatory participant under subsection (1) or as a voluntary participant under subsection (2) and who satisfies the eligibility criteria for registration as a market participant is deemed to have applied for registration under section 17 as a market participant and is automatically registered as such. Cancellation by Director (6) The Director may cancel a registration, in accordance with the regulations, in such other circumstances as may be prescribed. Conditions (7) The Director may impose conditions on the cancellation of a participant’s registration under this section. Hearing (8) Section 60 applies if the Director cancels a participant’s registration otherwise than on request, or imposes conditions on the cancellation. Cap and Trade Accounts and Transactions
21 (1) No person other than a registered participant shall purchase, sell, trade or otherwise deal with emission allowances and credits. Prohibition, transactions with unregistered persons, etc. (2) No registered participant shall, (a) purchase emission allowances and credits from a person who is not, (i) a registered participant, or (ii) a person who is permitted by a prescribed jurisdiction to purchase, sell, trade or otherwise deal with emission allowances and credits; (b) sell emission allowances and credits to a person who is not a person described in subclause (a) (i) or (ii); or (c) trade or otherwise deal with emission allowances and credits with a person who is not a person described in subclause (a) (i) or (ii). Prohibition, transactions prohibited etc. under conditions of registration (3) No registered participant shall purchase, sell, trade or otherwise deal with emission allowances and credits except in accordance with this Act, the regulations and the conditions of the participant’s registration. Exceptions (4) Subsection (1) does not apply to the Minister, the Director and such other persons as may be prescribed. Same (5) Subsection (1) does not apply to a person who is permitted by a prescribed jurisdiction to purchase, sell, trade or otherwise deal with emission allowances and credits.
22 (1) Upon registering a person under section 15, 16 or 17, the Director shall establish one or more accounts for the registered participant in accordance with the regulations for the purpose of allowing the participant to purchase, sell, trade and otherwise deal with emission allowances and credits and to submit them to the Minister under this Act. Requirements, etc. (2) The regulations may impose requirements and restrictions applicable to cap and trade accounts including requirements and restrictions about the following matters: 1. The number or amount of emission allowances or credits that may be held in a registered participant’s accounts or in the accounts of registered participants who are related persons. 2. The procedures to be followed by registered participants for transferring emission allowances and credits between accounts. 3. The procedures to be followed by registered participants for submitting emission allowances and credits to the Minister under this Act. Same, imposed by the Director (3) The Director may impose requirements and restrictions with respect to a registered participant’s accounts. Duty to comply with requirements, etc. (4) A registered participant and its designated account agents shall comply with the requirements and restrictions imposed under this section with respect to the participant’s accounts. Recognition as account agent
23 (1) A person who satisfies such eligibility criteria as may be prescribed may apply to the Director in accordance with the regulations for recognition as an account agent. Same (2) An applicant shall give the Director such information as may be required by regulation and such additional information as may be required by the Director for the purposes of the application. Director’s duty to recognize (3) Upon receiving the application, information and any applicable fee, the Director shall recognize the applicant if the Director determines that the applicant satisfies the applicable eligibility criteria. Conditions of recognition (4) An individual who is recognized shall comply with such conditions of recognition as may be imposed by regulation. Refusal of recognition (5) Despite subsection (3), the Director may refuse to recognize the applicant if the Director is of the opinion that the applicant should not be recognized, having regard to such circumstances as may be prescribed and such other matters as the Director considers appropriate. Cancellation of recognition (6) The Director may cancel the recognition of an account agent, in accordance with the regulations, in such circumstances as may be prescribed. Designation of account agents
24 (1) A registered participant may designate an individual as an account agent of the participant if the individual is recognized under section 23 and meets such other criteria as may be prescribed with respect to the class of account agent. Same (2) A registered participant may designate an individual as an account agent of the participant if the individual is authorized by a prescribed jurisdiction to perform a similar function under a corresponding program of that jurisdiction. Powers and duties (3) The designated account agent may exercise such powers and shall perform such duties as may be specified by regulation with respect to the cap and trade accounts of the registered participant. Classes of agents (4) Regulations may establish different classes of designated account agents and may assign different powers and duties to each class. Same (5) Regulations may require registered participants to designate one or more account agents in each class and may restrict the number of agents in each class that may be designated by a registered participant. Powers deemed to be exercised, etc. by registered participant (6) While a designated account agent is exercising powers and performing duties with respect to a registered participant’s cap and trade accounts, all representations, acts, errors or omissions of the agent are deemed to be those of the registered participant. Suspension of registrant’s authority re: accounts
25 (1) The authority of a registered participant or a designated account agent to deal with emission allowances and credits held in the participant’s cap and trade accounts is automatically suspended in such circumstances as may be prescribed. Notice of automatic suspension (2) The Director shall, in accordance with the regulations, give the registered participant and the designated account agent such information as may be required by regulation with respect to an automatic suspension. Suspension by the Director (3) In such circumstances as may be prescribed, the Director shall, in accordance with the regulations, suspend the authority of a registered participant or designated account agent to deal with emission allowances and credits in the participant’s accounts. Automatic reinstatement (4) The authority of a registered participant or designated account agent that is suspended under this section is automatically reinstated in such circumstances as may be prescribed. Notice of automatic reinstatement (5) The Director shall, in accordance with the regulations, give the registered participant and designated account agent such information as may be required by regulation with respect to an automatic reinstatement. Reinstatement by the Director (6) In such circumstances as may be prescribed, the Director shall, in accordance with the regulations, reinstate the authority of a registered participant or designated account agent. Conditions (7) The Director may impose conditions on the reinstatement of the authority of a registered participant or designated account agent. Closing an account
26 (1) A cap and trade account of a registered participant is automatically closed in such circumstances as may be prescribed, and in accordance with the regulations. Conditions (2) The registered participant shall comply with such conditions as may be prescribed with respect to the automatic closing of the participant’s account. Closing by the Director (3) In such circumstances as may be prescribed, the Director may close an account of a registered participant in accordance with the regulations. Conditions (4) The Director may impose conditions on the closing of an account. Hearing (5) Section 60 applies if the Director closes an account of a registered participant otherwise than on request or in connection with the cancellation of the participant’s registration, or if the Director imposes conditions on the closing of the account. Removal from account (6) When the account of a registered participant is closed, the Director shall remove from the account the emission allowances and credits, if any, held in the account and shall deal with them in accordance with the regulations.
27 (1) The Minister may, in accordance with the regulations, remove emission allowances and credits from a registered participant’s cap and trade accounts in the circumstances specified in this Act and in such circumstances as may be prescribed. Director’s authority (2) The Director may, in accordance with the regulations, remove emission allowances and credits from a registered participant’s cap and trade accounts in such circumstances as may be prescribed. No notice or consent (3) The Minister or the Director is not required to notify the registered participant before removing emission allowances and credits from the participant’s cap and trade accounts, and the consent of the registered participant is not required. Reversal (4) The Minister or Director may reverse a transfer between cap and trade accounts if the transfer was made in error by the Minister or Director, as the case may be, or in such other circumstances as may be prescribed. Prohibitions re: cap and trade accounts
28 (1) No registered participant or designated account agent shall transfer an emission allowance or credit between the participant’s cap and trade accounts in contravention of a requirement or restriction imposed under this Act. Unauthorized holding (2) No registered participant shall hold in the participant’s cap and trade accounts an emission allowance or credit that is owned, directly or indirectly, by another person. Exception (3) Subsection (2) does not apply to such registered participants, or in such circumstances, as may be prescribed. Prohibitions re: trading
29 (1) No person shall, directly or indirectly, engage or participate in any act, practice or course of conduct relating to emission allowances or credits that the person knows or reasonably ought to know, (a) results in or contributes to a misleading appearance of trading activity in, or an artificial price for, an emission allowance or credit; or (b) perpetrates a fraud on any person. Attempts (2) No person shall, directly or indirectly, attempt to engage or participate in any act, practice or course of conduct that is contrary to subsection (1). Misleading or untrue statements (3) A person shall not make a statement that the person knows or reasonably ought to know, (a) in a material respect and at the time and in the light of the circumstances in which it is made is misleading or untrue or does not state a fact that is required to be stated or that is necessary to make the statement not misleading; and (b) would reasonably be expected to have a significant effect on the price or value of an emission allowance or credit. Same, misleading or untrue information (4) A person shall not provide any information that the person knows or reasonably ought to know, (a) in a material respect and at the time and in the light of the circumstances in which it is provided is misleading or untrue or does not state a fact that is required to be stated or that is necessary to make the information not misleading; and (b) would reasonably be expected to have a significant effect on the price or value of an emission allowance or credit. Trading where undisclosed change (5) No person shall purchase, sell, trade or otherwise deal with emission allowances or credits if the person has knowledge of information that has not been generally disclosed and that could reasonably be expected to have a significant effect on the price or value of an allowance or credit. Tipping (6) No person shall, other than in the necessary course of business, inform another person of information that has not generally been disclosed and that could reasonably be expected to have a significant effect on the price or value of an emission allowance or credit. Defence (7) A person shall not be found to have contravened subsection (5) or (6) if the person proves that the person reasonably believed that the information had been generally disclosed. Exceptions (8) Subsections (5) and (6) do not apply to the Minister, the Director or a person acting on their behalf. Emission Allowances and Credits
30 (1) The Minister shall create Ontario emission allowances in accordance with the regulations, and may create classes of allowances. Maximum number, amount (2) The regulations shall prescribe the maximum number or amount of Ontario emission allowances that may be created for a period, and the maximum shall be determined with reference to the targets established under section 6 for the reduction of greenhouse gas emissions. Distribution of Ontario emission allowances
31 (1) The Minister may distribute Ontario emission allowances to registered participants for valuable consideration in accordance with the regulations. Transitional measures, distribution free of charge (2) In order to support the transition to a low-carbon economy, the Minister may distribute Ontario emission allowances to registered participants free of charge on a date or during a period prescribed by regulation, and shall do so in accordance with the regulations. Restrictions re: distribution (3) The regulations may establish a method for determining the number or amounts of Ontario emission allowances that are to be distributed for valuable consideration or free of charge, respectively, and a method for determining the number or amounts that are to be distributed by selling them at auction, by direct sale and in other prescribed ways. Restrictions re: distribution free of charge (4) If Ontario emission allowances are distributed free of charge, the regulations may specify the basis for determining which participants may receive allowances, and in what number or amount, and may prescribe circumstances in which a participant is ineligible to receive allowances. Public notice (5) If Ontario emission allowances are distributed free of charge, the Minister shall make the following information available to the public within 24 months after each such distribution: 1. A list of the mandatory participants and voluntary participants to whom allowances were distributed free of charge. 2. Subject to subsection (6), the number or amount of allowances that were distributed to each of them. 3. Such other information as the Minister considers appropriate. Same (6) In such circumstances as the Minister considers appropriate, aggregated information may be provided about the number or amount of Ontario emission allowances that were distributed free of charge to some, or all, recipients. Same (7) Without limiting the generality of subsection (6), the Minister shall take into account any issue of confidentiality in deciding whether to provide aggregated information for some, or all, recipients. Transitional measures (8) Before January 1, 2021, the Minister shall make available to the public an outline that describes how the distribution of Ontario emission allowances free of charge will be phased out as Ontario makes the transition to a low-carbon economy. Payment to the Minister of Finance (9) Amounts payable for Ontario emission allowances that are distributed by the Minister for valuable consideration shall be paid, in accordance with the regulations, to the Minister of Finance. Financial assurance (10) The regulations may require a prospective purchaser to provide financial assurance, in the form and amount authorized by the regulation, for any amounts payable for Ontario emission allowances that are distributed to the purchaser by the Minister.
32 (1) The regulations may establish rules governing the auction or sale of Ontario emission allowances. Prospective purchasers at auction or sale (2) Only a person who satisfies the prescribed criteria, complies with the prescribed requirements, pays any applicable fee and is not otherwise prohibited under this Act or by an order may purchase emission allowances at an auction or sale. Same (3) Without limiting the generality of subsection (2), the regulations may impose requirements with respect to the persons that a person may retain to provide services with respect to the person’s participation in the auction or sale. Purchase limits for auction or sale (4) The regulations may prescribe limits on the number of emission allowances that may be purchased by a person, or by related persons, at an auction or sale. Rules re: auction or sale (5) A prospective purchaser shall comply with the prescribed rules for an auction or sale, as the case may be. Prohibition re: disclosure (6) No person shall disclose whether or not the person is participating in an auction. Same (7) No person shall disclose whether or not the person is taking part in an auction or any other information relating to the person’s participation in an auction, including the person’s identity, bidding strategy, the amount of the person’s bids and the quantity of emission allowances concerned, and the financial information provided to the Director in connection with the auction. Same (8) If a prospective purchaser retains the services of another person in connection with an auction, the other person shall not disclose any of the information described in subsection (7) relating to the prospective purchaser. Exception (9) Subsections (6), (7) and (8) do not apply with respect to a disclosure to such persons as may be prescribed. Prohibition re: bidding strategy (10) No person shall coordinate the bidding strategy of more than one prospective purchaser in connection with an auction. Sale, auction on behalf of participant (11) In such circumstances as may be prescribed, where Ontario emission allowances have been removed from a registered participant’s cap and trade accounts, the Minister may, in accordance with the regulations, sell or auction the allowances on behalf of the participant.
33 (1) The Minister may, in such circumstances as may be prescribed and in accordance with the regulations, retire emission allowances from circulation. Cancellation (2) The Minister may cancel Ontario emission allowances in accordance with the regulations in such circumstances as may be prescribed.
34 (1) In this section, “sponsor” means, with respect to an offset initiative, the person who applies for registration of the initiative. Application for registration (2) A person may apply to the Director in accordance with the regulations for registration of an offset initiative. Same (3) The sponsor shall give the Director such information as the Director may require for the purposes of the application and such other information as may be required by the regulations. Registration (4) Upon receiving the application, information and any applicable fee, the Director shall register the offset initiative if the Director determines that, (a) the sponsor satisfies such eligibility criteria as may be prescribed; (b) the offset initiative is designed to reduce greenhouse gas emissions, to avoid the emission of greenhouse gases or to remove greenhouse gases from the atmosphere; and (c) the offset initiative satisfies such other eligibility criteria or requirements as may be prescribed. Refusal of registration (5) Despite subsection (4), the Director may refuse to register the offset initiative if the Director is of the opinion that it should not be registered, having regard to such circumstances as may be prescribed and such other matters as the Director considers appropriate. Conditions of registration (6) The registration of an offset initiative is subject to such conditions as may be established by regulation – including conditions that are imposed on the sponsor – and such conditions as may be imposed by the Director. Same, reports and verification (7) Without limiting the generality of subsection (6), the conditions established by regulation may include requirements relating to reporting and verification. Duty to comply (8) The sponsor shall comply with the conditions established by regulation and the conditions imposed by the Director with respect to the offset initiative. Cancellation of registration (9) The Director may cancel the registration of an offset initiative in accordance with the regulations in such circumstances as may be prescribed. Opportunity to be heard (10) If the Director proposes to refuse to register an offset initiative or to cancel the registration of an offset initiative, the Director shall give the sponsor notice of the proposal in accordance with the regulations and shall, in accordance with the regulations, give the sponsor an opportunity to be heard.
35 (1) The Minister may create Ontario credits, and classes of credits, in accordance with the regulations. Offset credits (2) Without limiting the generality of subsection (1), the Minister may create Ontario offset credits in respect of offset initiatives that are registered under section 34. Early reduction credits (3) Without limiting the generality of subsection (1), the Minister may create Ontario credits in respect of actions taken by prescribed persons during any prescribed period before this Act receives Royal Assent to reduce greenhouse gas. Application for credits (4) The regulations may establish a process enabling a person to apply to the Minister for the creation of Ontario credits, and may provide for eligibility criteria, application deadlines and other matters. Reporting and verification, Ontario offset credits (5) If the Minister creates Ontario offset credits in respect of a registered offset initiative, the regulations may impose ongoing monitoring, reporting and verification requirements on the person who applied for the creation of the credits.
36 (1) The Minister may issue Ontario credits to registered participants subject to such conditions as may be prescribed by regulation. Same, to the Minister (2) The regulations may specify that a prescribed number or amount of Ontario offset credits created in respect of an offset initiative registered under section 34 shall be retained by the Minister for such purposes as may be prescribed by regulation. Retiring, cancelling credits
37 (1) The Minister may, in such circumstances as may be prescribed and in accordance with the regulations, retire credits from circulation. Cancellation (2) The Minister may cancel Ontario credits in accordance with the regulations in such circumstances as may be prescribed. Same, Ontario offset credits (3) Without limiting the generality of subsection (2), the regulations may provide for the cancellation of Ontario offset credits if the Minister determines, in accordance with the regulations, that there has been a failure to comply with any requirements imposed under this Act with respect to the offset initiative to which the offset credits relate. Number, amount cancelled (4) The number or amount of Ontario credits to be cancelled is prescribed by the regulations or determined in accordance with the regulations. Same (5) Despite subsection (4), in prescribed circumstances, the number or amount of Ontario credits to be cancelled shall be determined by the Director in accordance with the regulations. Opportunity to be heard (6) If the Minister proposes to cancel Ontario credits, the Director shall give every registered participant in whose cap and trade accounts the credits are held, and such other persons as may be specified by regulation, notice of the proposal in accordance with the regulations and shall, in accordance with the regulations, give them an opportunity to be heard. Conditions upon cancellation (7) The regulations may provide that, if Ontario offset credits are cancelled, the sponsor of the registered offset initiative to which the credits relate is required to submit an equal number or amount of credits to the Minister in accordance with the regulations.
38 (1) If the Minister enters into an agreement with a jurisdiction other than Ontario under section 76, the regulations may prescribe instruments created by that jurisdiction as instruments that are recognized for use in Ontario’s cap and trade program under this Act and the regulation shall specify whether an instrument is to be treated as an emission allowance or a credit for the purposes of this Act and shall specify the amount of greenhouse gas emissions that is represented by the instrument. Effect of cancellation, etc. (2) If a prescribed instrument that is recognized under subsection (1) is cancelled or extinguished by the jurisdiction that created it, the Minister may remove the instrument from a registered participant’s cap and trade accounts.
39 A failure by the Minister, the Director or a delegate or agent of either of them to act in accordance with any requirement or restriction imposed under this Act does not invalidate any of the following: 1. The creation, distribution, retirement from circulation or cancellation of an Ontario emission allowance. 2. The retirement of any other emission allowance from circulation. 3. The creation, issuance, retirement from circulation or cancellation of an Ontario credit. 4. The retirement of any other credit from circulation. Verification, Inspection and Investigation
40 (1) This section applies if this Act, a regulation or an order requires the verification of a report given to the Director. Verification (2) Any verification, including any re-verification, must be conducted in accordance with the regulations by a person who is authorized by regulation to conduct it. Re-verification (3) The regulations may require a re-verification of a report in such circumstances as may be prescribed. Same, required by Director (4) The Director may require a re-verification of a report if the Director is of the opinion that it was not verified in accordance with this Act or the regulations or in such other circumstances as may be prescribed. Duty to comply (5) Upon receiving notice from the Director that he or she requires a re-verification, the person shall have the re-verification conducted in accordance with such requirements as the Director may specify in the notice. Duty to provide assistance (6) If a re-verification is required, the Director may require the person who conducts the re-verification, and such other persons as may be prescribed, to provide such assistance to the Director as he or she considers reasonably necessary.
41 Every person required under this Act to retain a record shall make it available to a provincial officer for inspection upon his or her request.
42 (1) A provincial officer may, at any reasonable time, enter any place described in subsection (2) and conduct an inspection for the purpose of determining whether requirements imposed under this Act are being complied with, if the provincial officer reasonably believes that, (a) the place contains records relating to the person’s compliance with the requirements; or (b) an activity relating to the person’s compliance with the requirements is occurring or has occurred at the place. Same (2) Subsection (1) authorizes a provincial officer to enter a place only if it is owned or occupied by a person who is subject to requirements imposed under this Act. Entry to dwellings (3) A provincial officer shall not enter a place that includes a room that is used as a dwelling except with the consent of the occupier or under the authority of an order under section 49. Powers during inspection (4) A provincial officer may do one or more of the following things in the course of entering a place and conducting an inspection: 1. Make necessary excavations. 2. Require that any thing be operated, used or set in motion under conditions specified by the provincial officer. 3. Take samples for analysis. 4. Conduct tests or take measurements. 5. Examine, record or copy, in any form, by any method, any record that is required to be retained under this Act and any other record that is related to the purpose of the inspection. 6. Make a record, by any method, of anything that is related to the purpose of the inspection. 7. Require the production of any record, in any form, that is required to be retained under this Act and of any other record that is related to the purpose of the inspection. 8. Remove from the place, for the purpose of making copies, records produced under paragraph 7. 9. Make reasonable inquiries of any person, orally or in writing. 10. Require any person to provide reasonable assistance and to answer reasonable inquiries, orally or in writing. Records in electronic form (5) If a record is retained in electronic form, the provincial officer may require that a copy of it be provided to him or her on paper or electronically, or both. Limitation re removal of documents (6) The provincial officer shall not remove records under paragraph 8 of subsection (4) without giving a receipt for them and shall promptly return them to the person who produced them. Power to exclude persons (7) A provincial officer who exercises the power set out in paragraph 9 of subsection (4) may exclude any person from the questioning, except counsel for the person being questioned. Assistance to be given (8) A provincial officer may, in the course of exercising a power under subsection (4), require a person to produce a record and to provide whatever assistance is reasonably necessary, including using any data storage, processing or retrieval device or system to produce a record in readable form and the person shall produce the record or provide the assistance.