Programs for Controlling ODS
Under the Ozone-depleting Substances Regulations, 1998, Canadian companies (or individuals) must receive written authorization from the Minister of the Environment prior to manufacturing, importing or exporting a "controlled substance". There are two types of authorization: permits and allowances.
Permits
Under Canada's Regulations, a permit is required by anyone who intends to do the following:
- Import or export a controlled substance that is recovered, recycled, reclaimed or used or a controlled substance for destruction;
- Export a controlled substance other than a recovered, recycled, reclaimed or used controlled substance;
- Manufacture or import a controlled substance for a purpose set out in column 3 of Schedule 3 of the Regulations (E.g., methyl bromide for critical use, emergency use, feedstock, quarantine application, preshipment application or analytical standard);
- Export a product that contains, or is intended to contain, CFCs, halons, carbon tetrachloride, or methyl chloroform;
- Manufacture, import, use, sell, offer for sale, or export a controlled substance for an essential purpose.
- Use of methyl bromide for critical use or emergency use.
Allowances
Allowances provide authorization for the production and importation of new HCFCs for circumstances not governed by permits. An examples of an activity not governed by permits is the importation of new HCFCs.
Unlike permits, persons do not make application for consumption allowances. The allowances are entitlements. Under the Regulations, criteria are provided to determine those activities that would entitle a person to an allowance and define the method by which the quantity of the allowance is calculated. The sum of all allowances within Canada for each group of controlled substance is progressively reduced according to a schedule fixed by the Regulations. In order to accommodate the shifting markets allowance holders face, in terms of their needs and choice of supplier, allowance holders may make application to transfer all or some portion of their allowance to others.
Permits, allowances and transfers are issued under the Regulations for the period of one calendar year. Persons may reapply for permits and transfers in the succeeding year. Allowance holders are automatically informed of their allowances for the succeeding year.
