UPDATE – ON: CPA weighs in on regulation for Hazardous and Special Products

The CPA provided comments on November 18, 2021, on the Ministry of the Environment, Conservation and Parks’ (MOECP) proposed administrative penalties regulation under the Resource Recovery and Circular Economy Act, 2016 (RRCEA), designed to strengthen enforcement tools for regulatory non-compliance. 

The proposed administrative penalties, posted by MOECP on September 17, 2021, would apply to producers, manufacturers and importers of Hazardous and Special Products (HSP), and pertain to collection and end-of-life management of materials supplied in Ontario. 

CPA’s Ontario Government Relations Director, Marcelline Riddell, sought member input on the suggested penalties under the regulation for Category E refillable propane cylinders, which were reflected in the comments provided to the ministry. 

The CPA’s submission stresses that despite the Resource Productivity and Recovery Authority’s repeated statements in webinars and meetings this year that they would be using communication and education tools to ensure regulatory compliance with the new HSP regime, the proposed regulation recommends extensive and excessive fines to be levied on individuals and businesses captured under the HSP Regulation (O. Reg.449/21). Particularly as Category E propane marketers have only two obligations under the HSP regulation: to register with the Authority and collect and manage refillable propane cylinders they market in the province. 

Other insights highlighted in the submission include:

• The penalties proposed for Category E HSP are excessive given refillable propane cylinders are an important contributor to Ontario’s circular economy realizing an enviable 90 per cent reuse/recycle rate;
• A request that “best efforts” of parties be defined clearly rather than be left to the Registrar or Deputy Registrar’s discretion; (Part III, 11);
• The suggestion of a sliding scale for fines levied based on the extent of the infraction within a category; and
• A recommendation that penalty amounts be aligned with the potential environmental impact of the infraction, rather than solely with the Authority’s ability to carry out its obligations. 

The ministry has committed to reviewing and posting industry comments in advance of finalizing this regulation. The CPA has asked for timely updates on the status of any regulatory revision and will convey these to members as they are received. 

The proposed regulation may be accessed here.