Background

Authority to regulate emissions from internal combustion engines in Canada currently rests with Environment Canada and Transport Canada. The Canadian Environmental Protection Act 1999 (CEPA 1999) gave legislative authority to Environment Canada to regulate emissions from engines other than those used in aircraft, railway locomotives and commercial marine vessels. Authority to regulate emissions from aircraft, railway locomotives and commercial marine vessels rests with Transport Canada.

Increasingly, the general approach to setting vehicle emissions standards in Canada is to harmonize them with US EPA federal standards as much as possible. In 1988, on-road vehicle emission standards were first aligned with the US federal standards. In February 2001, the Minister of the Environment in the Federal Agenda on Cleaner Vehicles, Engines and Fuels set out a number of policy measures that would continue the harmonization of on-road emissions standards as well as to expand this harmonization by developing emission standards for off-road engines and standards for fuels that are aligned with those of the federal US EPA requirements.

Canadian federal regulations establishing exhaust emission limits for on-road vehicles were first promulgated in 1971 under the Motor Vehicle Safety Act which is administered by Transport Canada. On March 13, 2000, legislative authority for controlling on-road vehicle emissions was transferred to Environment Canada under the Canadian Environmental Protection Act 1999 (CEPA 1999). Under CEPA 1999, the On-Road Vehicle and Engine Emission Regulations where promulgated on January 1, 2003, and came into effect on January 1, 2004. These regulations replaced the previous regulations adopted under the Motor Vehicle Safety Act. The new regulations adopted under CEPA 1999 continued the past approach of aligning with the federal emission standards of the US EPA.

MOU. In the interim period between the phase-out of the emission regulations under the Motor Vehicle Safety Act and the effective date of the On-Road Vehicle and Engine Emission Regulations, Environment Canada signed a Memorandum of Understanding (MOU) with the Canadian Vehicle Manufacturers Association, the Association of International Automobile Manufacturers of Canada, and the member companies of those associations in June 2001. The MOU formalized an industry commitment to market the same low emission light-duty vehicles and light-duty trucks in Canada as in the US for model years 2001-2003.

On-Road Vehicle and Engine Emission Regulations. The Regulations align vehicle and engine certification requirements with those of the US federal EPA requirements beginning January 1, 2004 and including the US Tier 2 program for new light-duty vehicles, light-duty trucks and medium-duty passenger vehicles, and Phase 1 and Phase 2 programs for new heavy-duty vehicles and engines.

The Regulations set out technical standards for vehicles and engines for exhaust, evaporative and crankcase emissions, on-board diagnostic systems and other specifications related to emission control systems. The intention of the Regulations is to ensure that vehicles and engines meeting more stringent exhaust emission standards will begin entering the Canadian market in the 2004 model year and will be phased-in over the 2004 to 2010 model year period. The phase-in schedules vary by standard and by vehicle class and can be summarized as follows: Tier 2 standards for light-duty vehicles and light light-duty trucks (2004-2007); Tier 2 standards for heavy light-duty trucks and medium-duty passenger vehicles (2004-2009); Phase 1 (2005) and Phase 2 (2008-2009) standards for complete heavy-duty vehicles; and Phase 1 (2004-2006) and Phase 2 (2007-2010) standards for heavy-duty engines.

During any phase-in period, every model of vehicle or engine that is certified by the US EPA, and that is sold concurrently in Canada and the United States, is required to meet the same emission standards in Canada as in the United States. Canadian vehicles will therefore have progressively improved emission performance without specifying interim phase-in percentages in the Regulations. The final phased-in standards apply to all vehicles and engines sold in Canada, in the model year that they apply, to 100% of a class of vehicles or engines in the United States.

Vehicle Weight Classes. The regulations define the weight classes for vehicles and engines as outlined below:

Table 1
Vehicle Categories
ClassGVWR, kg (lb)
Motorcycle≤793 (1,749)
Light-Duty Vehicle≤3,856 (8,500)
Light-Duty Truck≤3,856 (8,500)
- light light-duty truck≤2,722 (6,000)
- heavy light-duty truck>2,722 to 3,856 (6,000 to 8,500)
Medium-Duty Passenger Vehicle3,856 to <4,536 (8,500 to 10,000)
Complete Heavy-Duty Vehicle (Otto cycle only)3,856 to 6,350 (8,500 to 14,000)
Heavy-Duty Vehicle/Heavy-Duty Engine>3,856 (8,500)
- light heavy-duty engine<8,847 (19,500)
- medium heavy-duty engine8,847 to 14,971 (19,500 to 33,000)
- heavy heavy-duty engine>14,971 (33,000)

Light-Duty Vehicles

The exhaust emission standards for Light-Duty Vehicles, Light-Duty Trucks and Medium-Duty Passenger Vehicles align with the US Tier 2 emission standards. Manufacturers certify every vehicle to one of eleven “bins”, each of which contains standards for NOx, non-methane organic gases (NMOG), CO, formaldehyde and PM (see table in US section). The manufacturers’ choices of bin within which to certify each vehicle is limited by the obligation to comply with fleet average NOx emissions standards.

Based on vehicle sales from each “bin”, a company calculates a sales-weighted “fleet average NOx value” for each model year. The emission bins, fleet average NOx emission standards, timing of phase-ins and methods of calculating fleet average NOx values are consistent with the US Tier 2 emission program. As in the US program, the Canadian standards have separate fleet average requirements for LDV/LLDTs and HLDT/MDPVs until the end of the 2008 model year. However, there are no separate distinctions between Tier 2 vehicles and interim non-Tier 2 vehicles as in the US program. All Canadian Tier 2 LDV/LLDTs must meet one fleet average requirement and all HLDT/MDPVs another, as outlined in Table 2.

Table 2
Canadian Fleet average NOx requirements, g/mile
Model YearLDV/LLDTsHLDT/MDPV
20040.250.53
20050.190.43
20060.130.33
20070.070.20
20080.070.14
2009 & later0.07

While this results in an upper fleet average LDV/LLDT NOx limit that is equal to that obtained for the US Tier 2 program, there is a small difference for 2004-2006 HLDT/MDPVs fleet average NOx limit for Canada. For the US 2004-2006 model year HLDT/MDPVs, a significant proportion of sales do not have to meet Tier 2 or interim non-Tier 2 fleet average NOx requirements. The only stipulation is that they meet bin 10 requirements if they are HLDTs or bin 11 requirements if they are MDPVs. The Canadian regulations require that all HLDT/MDPVs meet a fleet average NOx requirement during this period.

As in the US Tier 2 program, by 2009 when the standards are fully phased in, a company’s combined fleet of light-duty vehicles, light-duty trucks and medium-duty passenger vehicles will be subject to a single fleet average NOx emission standard of 0.07 g/mile, corresponding to the NOx standard in bin 5. A company can, in any model year, generate NOx emission credits by achieving a fleet average NOx value that is lower than the standard. These credits can be used in a subsequent model year to offset a NOx emissions deficit (the fleet average NOx value exceeds the standard). A deficit must be offset no later than the third model year following the year in which it is incurred. NOx emission credits may also be transferred to another company.

In order to allow some flexibility in the regulations to account for market differences between Canada and the US, the Canadian regulations allow a company to exclude from the fleet average compliance requirement US certified vehicles that are sold concurrently in Canada and the USA. For vehicle models certified to emission bins having a NOx standard higher than the fleet average, this is not allowed if the total number of vehicles of the particular model sold in Canada exceeds the number sold in the USA. If a company chooses this option, they must include all eligible vehicles in that group, they cannot generate emission credits or transfer credits to another company in that model year and they forfeit any emission credits obtained in previous model years. In all cases, fleet average emissions must be reported at the end of the year.

Heavy-Duty Engines

Diesel Engines. Phase 1 standards for heavy-duty diesel truck and bus engines apply starting with the 2004 model year. As with the US EPA, there are two options for NOx+NMHC limits and tighter standards for urban busses (see US table). Phase 2 standards apply starting with the 2007 model year.

In the USA, the Phase 2 NMHC, CO and PM standards apply in 2007 and the NOx standard is phased in from 2007-2010. In the case of a standard that is set out in the US Code of Federal Regulations (CFR) to be phased in over a period of time, the standard comes into effect in Canada in the model year for which the CFR specifies that the standard applies to 100% of that class, and continues to apply until another standard comes into effect that applies to 100% of that class. This creates a difference in Canadian and US standards during this phase in period. However, because every engine that is covered by an EPA certificate and that is sold concurrently in Canada and the US must conform to the EPA certification and in-use standards, the differences in emission profiles of engines sold during this period are expected to be small.

There are no emission averaging, banking and trading options for heavy-duty engines in Canada.

Otto Engines. The standards for heavy-duty Otto cycle engines are outlined below. Phase 2 standards are the same as those for heavy-duty diesel engines and apply in 2008. As with the heavy-duty diesel engine standards, the NOx standards in the USA are phased in and apply to 100% of engines in 2010. Similar comments apply here as those noted above for heavy-duty diesel engines during this phase-in period.

Table 3
Heavy-Duty Otto Engine Emission Standards, g/bhp-hr
 GVWR kg (lb)NOxNMHCNOx + NMHCCOPM
Pre-2005≤ 6,350 (14,000)4.01.1-14.4-
> 6,350 (14,000)4.01.9-37.1-
Phase 1 (2005)≤ 6,350 (14,000)--1.014.4-
> 6,350 (14,000)--1.037.1-
Phase 2 (2008 - 2010)≥ 3,856 (8,500)0.20.14-14.40.01

Heavy-Duty Vehicles

Complete Heavy-Duty Vehicles. A complete heavy-duty vehicle is one with a gross vehicle weight rating of 6350 kg (14,000 pounds) or less and that is powered by an Otto-cycle engine and with the load carrying device or container attached after it leaves the control of the manufacturer. As with the US EPA requirements, Phase 1 standards apply starting in the 2005 model year. Because the Phase 2 standards are phased in during 2008 in the USA and apply to 100% of US vehicles only in 2009, similar comments to those made previously for heavy-duty diesel engines apply. The standards for these vehicles are outlined in the following table:

Table 4
Complete Heavy-Duty Vehicle Exhaust Emission Standards, g/mi
GVWR kg (lb)NOxNMHCHCHOCOPM
Phase 1 (2005) 3,856 - 4,536
(8,500 - 10,000)
0.90.28-7.3-
4,536 - 6,350
(10,000 - 14,000)
10.33-8.1-
Phase 2 (2008 - 2009) 3,856 - 4,536
(8,500 - 10,000)
0.20.1950.0327.30.02
4,536 - 6,350
(10,000 - 14,000)
0.40.230.048.10.02

Heavy-Duty Vehicles. On-road heavy-duty vehicles other than complete heavy-duty vehicles must meet the heavy-duty engine requirements for the particular engine installed in that vehicle. Alternatively, heavy-duty diesel vehicles of 6,350 kg (14,000 lb) GVWR or less can conform to the standards for complete heavy-duty vehicles.

There are no emission averaging, banking and trading options for heavy-duty vehicles or complete heavy-duty vehicles in Canada.

Motorcycles

The US EPA emission standards for 1990 and later model year motorcycles apply on the date that the Canadian the On-Road Vehicle and Engine Emission Regulation took effect. The requirements are:

Amendments were formally proposed in November 2005 to the Regulations to introduce new requirements for 2006 and later model year on-road motorcycles. The proposed changes will ensure that Canadian emission standards for on-road motorcycles remain aligned with more stringent standards adopted by the US EPA. The proposed amendments also contain miscellaneous editorial changes.