Canada Gazette, Part I, Volume 153, Number 23: Multi-Sector Air Pollutants Regulations Amendment Regulations (Part 1 — Biomass)

June 8, 2019

Statutory authority
Canadian Environmental Protection Act, 1999

Sponsoring departments
Department of the Environment
Department of Health

REGULATORY IMPACT ANALYSIS STATEMENT

(This statement is not part of the Regulations.)

Issues

Boilers emitting a significant portion of nitrogen oxides (NO_x) due to the combustion of biomass are intentionally excluded from the Multi-Sector Air Pollutants Regulations (MSAPR). However, the current definitions of biomass and biomass boiler fail to exclude boilers that combust predominantly solid and liquid biomass while co-firing with some natural gas. Since boilers combusting predominantly solid and liquid biomass were not intended to be regulated under the MSAPR, an amendment is required to clarify the exclusion.

Background

The MSAPR came into force in June 2016. The MSAPR work to protect the environment and health of Canadians by establishing nationally consistent air pollutant emission standards for key industrial sources and equipment. By establishing emission intensity limits, the MSAPR implement base-level industrial emission requirements (BLIERs) agreed to through the Air Quality Management System (AQMS) for gaseous fossil fuel-fired industrial boilers and heaters, stationary spark-ignition engines, and cement manufacturing facilities.

The MSAPR targeted natural gas boilers and heaters as they are the largest segment of the boiler and heaters population in Canada. There are some boilers, largely at pulp and paper mills, that co-fire biomass with natural gas in order to make productive use of the waste material available to these facilities. It is not feasible for these biomass boilers to meet NO_x emission standards designed for natural gas boilers and BLIERs had not been developed for biomass, which is why they were excluded from the MSAPR.

The biomass boiler definition in the MSAPR is “a boiler that can meet its rated capacity by burning only biomass.” Following the publication of the MSAPR, it has become evident that there are some biomass boilers that burn predominantly biomass and co-fire with some natural gas in order to generate enough heat to operate properly and cannot reach their rated capacity without using natural gas. Without amending the definition, these units would be required to meet the MSAPR NO_x emission standards, which was not the intent of the MSAPR as they burn predominantly biomass and cannot meet emission standards designed for natural gas. New units could potentially face the same issue in absence of the amendments to the MSAPR.

Objective

The proposed Multi-Sector Air Pollutants Regulations Amendment Regulations (Part 1 — Biomass) [the proposed amendments] are intended to ensure that boilers and heaters that combust predominantly solid or liquid biomass are excluded from the MSAPR.

Description

The proposed amendments to the MSAPR would

• Modify the definitions of biomass and biomass boiler to indicate that biomass boilers that combust predominantly solid or liquid biomass with some natural gas are excluded from the MSAPR. Specifically, a boiler would be excluded if it can reach at least 50% of its rated capacity when 90% of the input energy in the combustion chamber results from the introduction of liquid or solid biomass;
• Provide the same exclusion for biomass heaters; and
• Specify that new or recommissioned biomass boilers (or heaters) need to be connected to a biomass supply system designed to supply a sufficient quantity of biomass to meet the conditions for the exclusion.

Regulatory development

Consultation

Representatives of various stakeholder groups, including the regulated community, boiler and heater manufacturers, industry associations, non-governmental organizations, as well as provincial and territorial representatives, were invited to the November 2018 stakeholder engagement webinars. There were no significant concerns raised by stakeholders following the stakeholder engagement webinars, where participants were informed of the proposed amendments.

The majority of businesses operating biomass boilers are in the pulp and paper sector. Stakeholder feedback to date indicates that their response to the proposed amendments will be favourable, as there is now more certainty as to which equipment is excluded.

Modern treaty obligations and Indigenous engagement and consultation

Pursuant to the Cabinet Directive on the Federal Approach to Modern Treaty Implementation, Environment and Climate Change Canada has conducted an assessment of modern treaty implications on the proposed amendments. The assessment did not identify any modern treaty implications or obligations. National Indigenous organizations were also invited to the stakeholder engagement webinars and did not raise any significant concerns following the stakeholder engagement sessions.

Instrument choice

A regulatory amendment is the only instrument available to modify existing regulations.

Regulatory analysis

Impact on businesses, the Government of Canada or Canadian consumers

Businesses: The proposed amendments are not expected to result in cost impacts for businesses as they would ensure that biomass boilers and heaters are not subject to the MSAPR. The proposed amendments would better align with the original intent of the MSAPR by indicating that biomass boilers and heaters that combust predominantly biomass are excluded.

Government and Canadian consumers: The proposed amendments would have no impact on the Government or Canadian consumers.

Small business lens

The proposed amendments would apply mainly to large businesses in the pulp and paper sector and could apply to large businesses in other sectors. There would be no costs to small business.

One-for-one rule

The one-for-one rule does not apply, as the proposed amendments do not impact businesses.

Regulatory cooperation and alignment

The proposed amendments are not expected to have any impact on regulatory cooperation and alignment.

Strategic environmental assessment

The strategic environmental assessment (SEA) that was conducted for the Canadian ambient air quality standards and implementation of industrial emission requirements, including those for the MSAPR, concluded that the MSAPR would result in important positive environmental effects including direct reductions in emissions of key air pollutants such as nitrogen oxides, sulphur dioxide, and volatile organic compounds, from major industrial sources. The proposed amendments, which confirm the original MSAPR policy intent to exclude biomass boilers, and which add biomass heaters, would not meaningfully change the conclusions of the SEA.

Gender-based analysis plus and other distributional issues

No groups (based on factors such as gender, sex, age, language, education, geography, culture, ethnicity, income, ability, sexual orientation, gender identity) are expected to be affected disproportionately by the proposed amendments. Consequently, no concerns are expected to be expressed by stakeholders or the public regarding the possible consequences of the proposed amendments.

Implementation, compliance and enforcement, and service standards

Compliance promotion and enforcement activities will continue for the MSAPR regulatees. The proposed amendments would come into force upon registration.

Contacts

Jennifer Kerr
Director
Air Emissions Priorities Division
Environment and Climate Change Canada
351 Saint-Joseph Boulevard
Gatineau, Quebec
K1A 0H3
Email: ec.airpur-cleanair.ec@canada.ca

Matthew Watkinson
Director
Regulatory Analysis and Valuation Division
Environment and Climate Change Canada
200 Sacré-Cœur Boulevard, 10th Floor
Gatineau, Quebec
K1A 0H3
Email: eccc.darv-ravd.eccc@canada.ca

PROPOSED REGULATORY TEXT

Notice is given, pursuant to subsection 332(1) ^{footnote a} of the Canadian Environmental Protection Act, 1999 ^{footnote b}, that the Governor in Council, pursuant to subsections 93(1) and 330(3.2) ^{footnote c} of that Act, proposes to make the annexed Multi-Sector Air Pollutants Regulations Amendment Regulations (Part 1 — Biomass).

Any person may, within 60 days after the date of publication of this notice, file with the Minister of the Environment comments with respect to the proposed Regulations or a notice of objection requesting that a board of review be established under section 333 of that Act and stating the reasons for the objection. All comments and notices must cite the Canada Gazette, Part I, and the date of publication of this notice, and be sent by mail to Éric Gagné, Acting Director General, Legislative and Regulatory Affairs Directorate, Department of the Environment, Gatineau, Quebec K1A 0H3 or by email to ec.airpur-cleanair.ec@canada.ca.

A person who provides information to the Minister of the Environment may submit with the information a request for confidentiality under section 313 of that Act.

Ottawa, May 16, 2019

Julie Adair
Assistant Clerk of the Privy Council

Multi-Sector Air Pollutants Regulations Amendment Regulations (Part 1 — Biomass)

Amendments

1 (1) The definitions biomass and biomass boiler in section 4 of the Multi-Sector Air Pollutants Regulations ^{footnote 1} are replaced by the following:

biomass means a liquid or solid fuel that consists only of non-fossilized organic material that originates from plants or animals but does not come from a geological formation, notably

• (a) products or waste produced from that material;
• (b) liquids and solids recovered from that material, in particular, from organic waste; and
• (c) sludge from wastewater treatment. (biomasse)

biomass boiler means a boiler that

• (a) can reach 50% of its rated capacity when, for any given hour, it is in a steady state and has at least 90% of the input energy in its combustion chamber resulting from the introduction of biomass; and
• (b) for a boiler that is commissioned or recommissioned on or after amendment day, is linked to equipment that is capable of introducing a sufficient quantity of biomass as the energy input in its combustion chamber to allow it to satisfy paragraph (a). (chaudière à biomasse)

(2) Section 4 of the Regulations is amended by adding the following in alphabetical order:

amendment day means the day on which the Multi- Sector Air Pollutants Regulations Amendment Regulations (Part 1 — Biomass) come into force. (date de modification)

biomass heater means a heater that

• (a) can reach 50% of its rated capacity when, for any given hour, it is in a steady state and has at least 90% of the input energy in its combustion chamber resulting from the introduction of biomass; and
• (b) for a heater that is commissioned or recommissioned on or after amendment day, is linked to equipment that is capable of introducing a sufficient quantity of biomass as the energy input in its combustion chamber to allow it to satisfy paragraph (a). (four industriel à biomasse)

2 (1) Paragraph 5(3)(l) of the Regulations is replaced by the following:

• (l) a biomass boiler or biomass heater;

(2) Section 5 of the Regulations is amended by adding the following after subsection (3):

Biomass boilers and heaters — percentage input energy

(4) For the purpose of paragraph (3)(l), the percentage of the input energy for a given hour in, as the case may be, a biomass boiler or biomass heater’s combustion chamber resulting from the introduction of biomass is to be determined by the formula

E_bio/(E_bio + E_cng + E_gff + E_o + E_s) × 100

where

E_bio is the input energy resulting from the introduction of biomass for the given hour, determined by the formula

Q_bio × HHV_bio

• where
• Q_bio is the quantity of the biomass combusted during the given hour, as measured by a flow meter on the input, expressed in kl for liquid biomass and in t for solid biomass, and
• HHV_bio is the higher heating value of the biomass combusted during the given hour, expressed in GJ/kl for liquid biomass and in GJ/t for solid biomass, being
  • (a) the higher heating value determined in accordance with any of the required HHV methods set out in section 22 that apply, or
  • (b) the default higher heating value set out in column 2 of the applicable table to Schedule 3 for the type of fuel set out in column 1 of that table;

E_cng is the input energy resulting from the introduction of commercial grade natural gas for the given hour, determined by the formula

Q_cng × HHV_cng

• where
• Q_cng is the quantity of the commercial grade natural gas combusted during the given hour, as measured by a flow meter on the input, expressed in standard m³, and
• HHV_cng is the higher heating value of the commercial grade natural gas combusted during the given hour, expressed in GJ/standard m³, being
  • (a) the higher heating value determined in accordance with any of the required HHV methods set out in section 22 that apply, or
  • (b) 0.03793;

E_gff is the input energy resulting from the introduction of gaseous fossil fuel, other than commercial grade natural gas, for the given hour, determined by the formula

Q_gff × HHV_gff

• where
• Q_gff is the quantity of the gaseous fossil fuel, other than commercial grade natural gas, combusted during the given hour, as measured by a flow meter on the input, expressed in standard m³, and
• HHV_gff is the higher heating value of the gaseous fossil fuel, other than commercial grade natural gas, combusted during the given hour, expressed in GJ/standard m³, determined in accordance with any of the required HHV methods set out in section 22 that apply;

E_o is the input energy resulting from the introduction of a fuel other than biomass or gaseous fossil fuel during the given hour, determined by the formula

∑_i(Q_i × HHV_i)

• where
• Q_i is the quantity of the ith fuel other than gaseous fossil fuel combusted during the given hour as measured by a flow meter on the input, expressed in standard m³ for gaseous fuels, kl for liquid fuels and in t for solid fuels,
• HHV_i is the higher heating value of the ith fuel other than gaseous fossil fuel combusted during the given hour, expressed in GJ/standard m³ for gaseous fuels, in GJ/kl for liquid fuels and in GJ/t for solid fuels, being
  • (a) the higher heating value determined in accordance with any of the required HHV methods set out in section 22 that apply, or
  • (b) the default higher heating value set out in column 2 of the applicable table to Schedule 3 for the type of fuel set out in column 1 of that table, and
• i is the ith fuel other than biomass or gaseous fossil fuel combusted, where i goes from 1 to n and where n is the number of those fuels combusted; and

E_s is the input energy, expressed in GJ, that originates from a source other than the combustion of fuel in the boiler’s or heater’s combustion chamber during the given hour, determined in accordance with generally accepted engineering principles.

Information upon request

(5) Upon request by the Minister, a responsible person for a biomass boiler or biomass heater must provide to the Minister whichever of the following information that the Minister specifies in the request:

• (a) information with supporting documents obtained from its manufacturer that demonstrates that it can reach 50% of its rated capacity when, for any given hour, it is in a steady state and has at least 90% of the input energy in its combustion chamber resulting from the introduction of biomass; or
• (b) the results of a field test that
  • (i) was conducted by a person who is independent of any responsible person for the boiler or heater and demonstrates that, for a given hour, the boiler or heater is a biomass boiler or biomass heater, and
  • (ii) is supported by documents in the possession of a responsible person for the boiler or heater that establish that the independent person
  • (A) is an engineer who is, under the laws of the province in which the boiler or heater is located, authorized to practise engineering in relation to combustion equipment, or
  • (B) has demonstrated knowledge of, and at least five years’ experience as the technical lead of projects that involve, the design of combustion equipment.

3 Subsection 43(1) of the Regulations is amended by adding the following after paragraph (d):

• (d.1) for a boiler or heater in respect of which a report was provided on the basis that it was not a type of boiler or heater referred to in subsection 5(3) and for which a change has occurred such that it is of a type referred to in that subsection, a declaration that indicates which one of paragraphs 5(3)(a) to (o) applies to the boiler or heater, along with an indication of the facility where it is located, including the civic address of the facility or, if there is no civic address, the facility’s latitude and longitude and the boiler’s or heater’s identifier, if any, within the facility, within the period that ends six months after the day on which the change occurred;

Coming into Force

4 These Regulations come into force on the day on which they are registered.