Application for nitrogen oxides emission allowances, petroleum sector
 12. (1) The owner of a facility listed in Table 3 may apply to the Director for nitrogen oxides emission allowances in respect of the facility for any year after 2005.  O. Reg. 194/05, s. 12 (1). (2) The owner of a replacement facility located on a site where a facility listed in Table 3 was located may apply to the Director for nitrogen oxides emission allowances in respect of the facility for any year after 2006.  O. Reg. 194/05, s. 12 (2). (3) The owner of a facility in the petroleum sector that is not listed in Table 3 may apply to the Director for nitrogen oxides emission allowances in respect of the facility for any year after 2006, if nitrogen oxides emission allowances have previously been acquired as a result of an application made under section 15 or 19 in respect of the facility or the facility that was located at the replacement facility’s site.  O. Reg. 194/05, s. 12 (3). (4) An application under this section must be made not later than June 1 in the year preceding the year for which the allowances are applied for.  O. Reg. 194/05, s. 12 (4). (5) For each facility for which an application for nitrogen oxides emission allowances for 2006 is made in accordance with this section, the Director shall determine the following amount: A – C where, A = the amount of nitrogen oxides emission allowances set out in respect of the facility for 2006 in Table 3, C = one-third of the total of the amount of any nitrogen oxides reported under paragraph 1 of subsection 6 (4) in respect of the facility. O. Reg. 194/05, s. 12 (5). (6) For each facility for which an application for nitrogen oxides emission allowances for 2007 or 2008 is made in accordance with this section, the Director shall determine the following amount: A + B – C where, A = the amount of nitrogen oxides emission allowances set out in Table 3 in respect of the facility or the facility that was located at the replacement facility’s site, as the case may be, for the year for which the emission allowances are applied for, B = the total amount of any nitrogen oxides emission allowances that the owner of the facility or the facility that was located at the replacement facility’s site acquired in respect of the facility or the facility that was located at the replacement facility’s site under section 20 in any previous year, C = one-third of the total sum of the amounts of any nitrogen oxides reported under paragraph 1 of subsection 6 (4) in respect of the facility or the facility that was located at the replacement facility’s site, as the case may be. O. Reg. 194/05, s. 12 (6). (7) For each facility for which an application for nitrogen oxides emission allowances for any year after 2008 is made in accordance with this section, the Director shall determine the following amount: A + B – C – D – E where, A = the amount of nitrogen oxides emission allowances set out in Table 3 in respect of the facility or the facility that was located at the replacement facility’s site, as the case may be, for the year for which the emission allowances are applied for, B = the total amount of any nitrogen oxides emission allowances that the owner of the facility or the facility that was located at the replacement facility’s site acquired in respect of the facility or the facility that was located at the replacement facility’s site under section 20 in any previous year, C = one-third of the total sum of the amounts of any nitrogen oxides reported under paragraph 1 of subsection 6 (4) in respect of the facility or the facility that was located at the replacement facility’s site, as the case may be, D = the amount determined under section 13 with respect to reduction in production, E = the amount of any nitrogen oxides emission allowances that the Director has determined under subsection 21 (3) or (5), as the case may be, in respect of the facility or the facility that was located at a replacement facility’s site in the year in which an application is made under this section or in any previous year. O. Reg. 194/05, s. 12 (7). (8) If the amount of nitrogen oxides emission allowances determined under subsection (6) or (7), as the case may be, is less than zero, the amount shall be adjusted to zero.  O. Reg. 194/05, s. 12 (8). (9) The Director shall send written notice of the amount determined, subject to subsection (8), in respect of each facility under subsection (5), (6) or (7), as the case may be, to the owner of the facility and to the operator of the Registry not later than October 1 in the year preceding the year for which emission allowances are applied for.  O. Reg. 194/05, s. 12 (9). (10) On January 1 of the year for which emission allowances are applied for, the owner of the facility shall be deemed to have acquired nitrogen oxides emission allowances in respect of the facility in the amount determined, subject to subsection (8), in respect of the facility under subsection (5), (6) or (7), as the case may be.  O. Reg. 194/05, s. 12 (10).