Guidance document for Off-Road Small Spark-Ignition Engine Emission Regulations: chapter 4


4. Persons Affected by the Regulations

The Regulations apply mainly to companies and, in section 149 of CEPA 1999, a company is defined as a "person who

  1. is engaged in the business of manufacturing vehicles, engines or equipment in Canada;
  2. is engaged in the business of selling to other persons, for the purpose of resale by those persons, vehicles, engines or equipment obtained directly from a person described in paragraph (a) or the agent of such person; or
  3. imports any vehicle, engine or equipment into Canada for the purpose of sale."

Note that, under section 149 of CEPA 1999, the term "manufacture" includes any process of assembling or altering any vehicle, engine or equipment before its sale to the first retail purchaser. Under section 3 of CEPA 1999, "to sell" includes to offer for sale or lease, have in possession for sale or lease or deliver for sale or lease.

To highlight that "company" under CEPA 1999 means only specific types of commercial entities, the word will be italicized throughout the rest of this guidance document.

Four different types of persons are potentially affected by the Regulations:

Foreign engine manufacturers are not directly subject to CEPA 1999 or to the Regulations. However, engines imported into Canada must conform to Canadian emissions regulations.

4.1  Who is a Canadian engine manufacturer?

A person engaged in the business of manufacturing vehicles, engines or equipment in Canada is a company under CEPA 1999.

Under CEPA 1999, "to manufacture" includes any process of assembling or altering any engine before its sale to the first retail purchaser. Therefore a person who modifies an engine before it is sold, for example by adapting a gasoline engine to run on propane or natural gas, would be considered as a company for the purposes of the Regulations.

The Regulations apply to engines manufactured in Canada only if they are "transported within Canada", i.e., transported between provinces or territories.

4.2  Who is a distributor of Canadian engines?

A person who is engaged in the business of selling to other persons, for the purpose of sale by those persons, engines obtained directly from a Canadian engine manufacturer or its agent is a distributor of Canadian engines and is a company under CEPA 1999.

Engines manufactured in Canada that are transported between provinces or territories require a national emissions mark (see Chapter 5). One national emissions mark is required per engine. In the case of an engine manufactured in Canada and distributed by a company other that the manufacturer, only one company need apply the national emissions mark.

4.3 When is an importer a company under CEPA 1999?

Under CEPA 1999, a company is a person importing engines, or machines powered by these engines, for the purposes of sale.

A person importing engines for a purpose other than sale is not a company under CEPA 1999. An individual or commercial entity importing engines directly for their own use is not considered to be a company for the purposes of the Regulations. For example, a logging business importing directly chainsaws to be used by its employees would not be considered a company. However, there are some regulatory requirements for this category of persons.

4.4 What are the regulatory requirements for each type of "person" affected by the Regulations?

Table 1 provides a summary of the requirements for the four different categories of persons affected by Regulations. When necessary, more detailed information is provided elsewhere in the guidance document.

Table 1 Summary of Regulatory Requirements
  Canadian engine manufacturer Distributor of Canadian engines Engine or machine importer Chapter in the guidance document
For the purpose of sale For other purposes
Company under CEPA 1999 ? yes yes yes no 4
Apply the national emissions mark X X     5
Supply engines that comply with standards X X X (1) 6
Provide evidence of conformity upon request X X X (1) 7
Submit an importation declaration     X   8
Prescribed label is affixed to an imported engine       X 8
Provide maintenance instructions X X X   9
Cause notice of defect to be given, if necessary X X X   9

(1) The presence of the prescribed label on the engine is considered as evidence that the engine conforms to the prescribed or equivalent emission standards when it is imported by a person for purposes other than sale.

4.5  How are foreign engine manufacturers affected by the Regulations?

A foreign engine manufacturer produces engines outside Canada and is not directly subject to CEPA 1999 or to the Regulations. However, engines imported into Canada must conform to Canadian emission Regulations.

Importers may require the assistance of a foreign engine manufacturer to demonstrate compliance with the Regulations. In particular, the assistance of foreign engine manufacturers will be required to ensure that engines imported into the Canadian market meet the prescribed standards and to provide evidence of conformity to that effect. These requirements are described in Chapters 6 and 7 of this guidance document.

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