Environment @ Gowlings: October 6, 2009

Edited by Harry Dahme

FEDERAL NEWS Environmental Enforcement Act Biofuel Review Provision in Force Chromium Electroplating, Chromium Anodizing and Reverse Etching Regulations Amendments to Phosphorus Concentration Regulations Metal Mining Effluent Regulations Amended to Include Hydrometallurgy New VOC Regulations for Automotive Refinishing Products Chemicals Management Plan - Batch 10 and Batch 11 Substances Draft Rules for Federal Greenhouse Gas Offset System Released Greenhouse Gas Reporting Requirements Released Administrative Agreement with Quebec Regarding Pulp and Paper and Metal Mining Code of Practice Significant New Activity Notices Auditor General Reports on Export Development Canada PROVINCIAL NEWS ALBERTA: Alberta Implements its Remediation Certificate Regulation Lubricating Oil Material Recycling and Management Alberta - Bill 14 - Carbon Capture and Storage Funding Act ONTARIO: Toxics Reduction Act, 2009 Receives Royal Assent Lake Simcoe Protection Act, 2008 Phase 2 of E-Waste Program Approved Waste Diversion Plan Submitted for Municipal Hazardous or Special Waste Amendments Proposed to Air Pollution Regulation Sector-Wide Standards for Air Pollution: Forest Products and Foundries Draft Green Energy Act Regulations Released for Comment Environmental Assessment Exemption Extended to 2012 Discussion Paper on Source Water Protection Water Resources Policy Paper Released Amendments Proposed to Reduce Lead in Drinking Water Housekeeping Amendments Regarding Sewage Systems QUEBEC: The MSDEP 2009-2014 Strategic Plan Climate Change Legislation Enacted Protection of Water Resources in Quebec - Bill 27 2006-2012 Climate Change Action Plan - Third Annual Report FEDERAL NEWS Environmental Enforcement Act As reported in our last edition, the Environmental Enforcement Act received Royal Assent on June 18, 2009. The Act amends environmental legislation administered by Environment Canada including: the Canadian Environmental Protection Act, 1999; the Canada Wildlife Act, the Migratory Birds Convention Act, 1994, theWild Animal and Plant Protection and Regulation of International and Interprovincial Trade Act, theAntarctic Environmental Protection Act, the International River Improvements Act, the Canada National Parks Act, the Canada National Marine Conservation Areas Act and the Saguenay-St. Lawrence Marine Park Act.

The statute sets minimum fines for serious environmental offences of between $5,000 for individuals and $500,000 for corporations. The act also raises maximum fines to as high as $6 million. Enforcement officers are given new investigative powers and courts are given sentencing guidance so that environmental damages, prior convictions and other relevant factors are taken into account and treated as aggravating factors. Administrative penalties may be imposed to address less serious environmental offences. For more information see: http://www.ec.gc.ca/default.asp?lang=En&n=714D9AAE-1&news=2ADA2898-0852-46C6-97CF-C27DF9FF8D00.

Biofuel Review Provision in Force On June 26, 2008, amendments to CEPA, 1999 were passed dealing with biofuels. In June, the Governor General in Council fixed September 28, 2009 as the coming into force date for these amendments. The amendments provide for a review of the environmental and economic aspects of biofuel production by Parliamentary committee a year after the amendments come into force and then every two years thereafter. The amendments provide certain exemptions for biofuels in transit and biofuels produced for export, and establishes authority for the drafting of regulations governing: the blending of fuels; book keeping regarding the production, blending or sale of biofuels; reporting in relation to the foregoing; and adverse effects of fuels or additives. There is also regulatory authority to exempt certain small-scale producers and importers and the ability to target regulations to specific classes of regulated entities on grounds ranging from feedstock and production capacity to fuel source, fuel condition of use, place of use or time of year of use. For the text of the amendments see http://laws.justice.gc.ca/en/ShowFullDoc/an/2008_31//20090921/en.

Chromium Electroplating, Chromium Anodizing and Reverse Etching Regulations Hexavalent chromium is a known carcinogen in humans and causes negative impacts to aquatic organisms. Regulations are now in force requiring facilities that use more than 50 kg of chromium trioxide per calendar year to reduce air emissions of hexavalent chromium, using one of three approved control methods. The regulations are intended to standardize permissible air emissions of hexavalent chromium, which is created by use of chromium trioxide, in the face of disparate provincial regulations.

The regulations allow users to choose between point source control, limiting surface tension, or use of a tank cover. Specific release limits are established, and inspection, maintenance and reporting obligations are imposed by the new regulations. Tests must be performed initially as prescribed by the regulations and then every 5 years thereafter. Tests must also be performed when specific modifications are made to the system such as replacement of a control device, increase in the surface area of the solution in the tank >25%, installation of additional tanks to increase total surface area >25% or a change to the ventilation system connected to the tank. Depending upon the control method chosen, users will have between 3 and 30 months to put the required measures into place.

Environment Canada estimates that the release of up to 31 tonnes of hexavalent chromium will be avoided as a result of the required control measures. The estimated monetary benefit is over $58 million, principally as a result of avoided health care costs. See Canada Gazette, June 24, 2009.

Amendments to Phosphorus Concentration Regulations Amendments to the Phosphorus Concentration Regulations (SOR/89-501) will come into effect on July 1, 2010. These amendments lower the concentration of phosphorus permitted in household laundry detergent and dishwashing compound to not more than 1.1% by weight expressed as phosphorus pentoxide or .5% by weight expressed as elemental phosphorus. The amendments also introduce equivalent limits for other household cleaning products. Concentrations for commercial or industrial detergent remains at 5% expressed as phosphorus pentoxide and 2.2% expressed as elemental phosphorus, by weight. The concentrations must be determined by an accredited laboratory and manufacturers and importers must maintain records confirming compliance for five years. See Canada Gazette, June 28, 2009.

Metal Mining Effluent Regulations Amended to Include Hydrometallurgy Amendments registered in June expanded the application of the Metal Mining Effluent Regulations (SOR 2002-222) to encompass the process of hydrometallurgy, and more specifically to designate Sandy Pond in Newfoundland as a tailing impoundment area. The amendments will apply generally to any facility that uses the process of hydrometallurgy, but were proposed by Department of Fisheries and Oceans ("DFO") in response to a proposed nickel-processing facility in Newfoundland and Labrador that would use the technology for the first time in Canada.

Prior to these amendments, the MMER did not apply to hydrometallurgy, which generates fewer air emissions than conventional technology but that produces solid waste that will produce acid if exposed to air. The amendments were made by DFO to ensure that fish and fish habitat are protected from effluent when wastes are disposed underwater. See Canada Gazette, June 10, 2009.

New VOC Regulations for Automotive Refinishing Products The federal government has issued new Volatile Organic Compound (VOC) Concentration Limits for Automotive Refinishing Products Regulations under the Canadian Environmental Protection Act, 1999, with a view to reducing ground-level ozone which causes smog. The regulations establish VOC concentration limits for 14 categories of automotive refinishing products, such as colour coatings and surface cleaners. The prohibition against importing or manufacturing products with concentrations above the limits will come into force on June 18, 2010 (one year after the regulations were registered), while the prohibition against selling such products will come into force six months after that. Manufacturers or importers may apply for a temporary exemption if it is not technically or economically feasible to meet the limits. For further information please see the Canada Gazette.

Chemicals Management Plan - Batch 10 and Batch 11 Substances Environment Canada is assessing...