Bill S-4

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SUMMARY
1 Energy Efficiency Act
26 Transitional Provisions

First Session, Forty-fifth Parliament,

3-4 Charles III, 2025

SENATE OF CANADA

BILL S-4
An Act to amend the Energy Efficiency Act

FIRST READING, November 26, 2025

THE HONOURABLE SENATOR MOREAU, P.‍C.

91249

SUMMARY

This enactment amends the Energy Efficiency Act to, among other things,

(a) enable the Minister of Natural Resources to provide for exemptions from the application of that Act and its regulations with the aim of facilitating the design and efficient administration of a regulatory regime to encourage innovation, competitiveness and economic growth;

(b) strengthen that Act’s administration and enforcement framework, including by providing for administrative monetary penalties, modernizing fines and providing the Minister with the power to order corrective measures; and

(c) broaden the scope of that Act to account for modern technologies and new market actors, address misleading representations and promote the responsible use of energy.

Available on the Senate of Canada website at the following address:

www.sencanada.ca/en

1st Session, 45th Parliament,

3-4 Charles III, 2025

SENATE OF CANADA

BILL S-4

An Act to amend the Energy Efficiency Act

His Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows:

1992, c. 36

Energy Efficiency Act

1 The long title of the Energy Efficiency Act is replaced by the following:

An Act respecting the energy efficiency of energy-using products and the Insertion start responsible Insertion end use of Insertion start energy and Insertion end energy sources

2 (1) The definition étiquetage in section 2 of the French version of the Act is repealed.

(2) The definition energy efficiency standard in section 2 of the Act is replaced by the following:

energy efficiency standard means a standard prescribed Insertion start under Insertion end section 20 for an energy-using product or class of energy-using products, Insertion start including Insertion end any Insertion start standard Insertion end for the Insertion start responsible use Insertion end of Insertion start energy and, in particular, any such standard that relates to Insertion end

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(a) the durability of the product or class of products,
(b) the interoperability or energy demand of the product or class of products,
(c) the performance of energy, exergy or emergy,
(d) the conservation of energy,
(e) the conservation of water,
(f) the system design of the product or class of products,
(g) the type of energy used by the product or class of products, or
(h) the technological composition and capabilities of the product or class of products; (norme d’efficacité énergétique)
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(3) The definition dealer in section 2 of the Act is amended by striking out “or” at the end of paragraph (b), by adding “or” at the end of paragraph (c) and by adding the following after paragraph (c):

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(d) advertising, or offering or delivering for the purpose of sale or lease, energy-using products that the person has obtained directly or indirectly from a person engaged in the business of manufacturing or importing energy-using products or the agent or mandatary of such a person; (fournisseur)
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(4) Section 2 of the Act is amended by adding the following in alphabetical order:

commercial entity means a person, other than a dealer, that uses an energy-using product for a commercial purpose; (entité commerciale)

label includes any label, mark, sign, device, imprint, stamp, brand, ticket or tag — whether physical or digital — that relates to an energy-using product; (étiquette)

3 The Act is amended by adding the following after section 2.‍1:

Purpose of Act

Purpose

2.‍2 (1) The purpose of this Act is to

(a) promote energy efficiency and the responsible use of energy;
(b) encourage the transition to a low-carbon economy;
(c) stimulate innovation and competitiveness in relation to energy-using products, with a view to improving the quality of life in Canada;
(d) foster collaboration with Indigenous peoples;
(e) foster collaboration with provincial governments; and
(f) foster international and interprovincial trade and commerce in energy-using products that contribute to energy efficiency.
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Indigenous peoples

(2) For the purposes of paragraph (1)‍(d), Indigenous peoples has the meaning assigned by the definition aboriginal peoples of Canada in subsection 35(2) of the Constitution Act, 1982.

4 (1) Subsections 4(1) and (2) of the Act are replaced by the following:

Prohibition

4 (1) Insertion start It is prohibited for a commercial entity to Insertion end ship an energy-using product from one province to another or import an energy-using product Insertion start and Insertion end for Insertion start a Insertion end dealer to Insertion start engage in any of those activities for a commercial purpose Insertion end , unless

(a) the product complies with the Insertion start applicable Insertion end energy efficiency Insertion start standards Insertion end ; and
(b) the product’s Insertion start label complies Insertion end with the regulations.

Tampering with label

(2) Insertion start A Insertion end person shall Insertion start not Insertion end , before an energy-using product is sold to the first retail purchaser or leased to the first lessee, remove, deface, obscure or alter Insertion start that Insertion end product’s label.

(2) Subsection 4(3) of the French version of the Act is replaced by the following:

Exception

(3) Le fournisseur ne contrevient pas Insertion start à l’alinéa Insertion end (1) Insertion start b) Insertion end si les conditions d’étiquetage sont remplies avant que lui-même ou son dépositaire ne se dessaisissent du matériel consommateur d’énergie.

5 (1) Subsection 5(1) of the Act is replaced by the following:

Information to be provided

5 (1) Every dealer Insertion start or commercial entity that Insertion end ships or imports energy-using products as described in subsection 4(1) shall provide the Minister, in the prescribed form and manner and at the prescribed time, with prescribed information respecting those products, including their energy efficiency and their shipment or importation.

(2) The portion of subsection 5(2) of the Act before paragraph (a) is replaced by the following:

Exceptions

(2) A dealer Insertion start or commercial entity Insertion end is not required to provide prescribed information in respect of the energy efficiency of any particular energy-using products if the Minister is satisfied that

6 The Act is amended by adding the following after section 5:

Representations relating to energy-using products

5.‍1 A dealer who ships or imports energy-using products as described in subsection 4(1) shall not label or advertise those products in a manner that is false, misleading or deceptive or is likely to create an erroneous impression regarding their energy efficiency or regarding any information reported to the Minister under subsection 5(1).

7 Subsections 6(1) to (4) of the Act are replaced by the following:

Requirement — tests and information

6 (1) The Minister may, Insertion start for a purpose related to verifying compliance or preventing non-compliance with this Act Insertion end , require any dealer or Insertion start commercial entity that Insertion end ships or imports energy-using products as described in subsection 4(1) to

Insertion start (a) Insertion end make available, at Insertion start any place that Insertion end the Minister may specify, the number of those products Insertion start that Insertion end the Minister considers to be reasonably necessary for Insertion start that purpose Insertion end ;
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(b) provide the Minister with any information or data necessary to examine or test those products and any calculation used to examine or test those products, as well as the results of any such examination or test; or
(c) provide the Minister with information about any computer software or digital modelling or simulation tool used to examine or test those products or, if the computer software or tool belongs to the dealer or commercial entity, provide access to that software or tool.
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Compliance with request required

(1.‍1) A dealer or commercial entity shall comply with any request made under subsection (1) without delay.

Testing

(2) The Minister may dismantle Insertion start or Insertion end examine — Insertion start using any information or data provided to the Minister, or software or tool to which the Minister is provided access, under subsection (1) Insertion end — any energy-using product made available Insertion start under that Insertion end subsection and conduct Insertion start any Insertion end tests on it Insertion start that Insertion end the Minister considers to be necessary to determine the product’s energy efficiency.

Retention

(3) The Minister shall not retain any energy-using product Insertion start made available under subsection (1) Insertion end longer than the Minister considers to be necessary to Insertion start verify compliance or prevent non-compliance with this Act Insertion end unless the dealer Insertion start or commercial entity Insertion end consents to the further retention.

Seizure

(4) Insertion start Despite Insertion end subsection (3), an inspector may seize and detain any energy-using product that is Insertion start made available under subsection (1) for a purpose related Insertion end to Insertion start verifying compliance Insertion end or Insertion start preventing non-compliance with Insertion end this Insertion start Act Insertion end .

8 Sections 7 and 8 of the Act are replaced by the following:

Retention of documents and records

7 Every dealer Insertion start or commercial entity that is Insertion end required by section 5 to provide the Minister with prescribed information shall keep, at Insertion start their Insertion end place of business or other prescribed place in Canada, documents and records sufficient to enable the Minister to verify the accuracy and completeness of the information provided.

Period of retention

8 Every dealer Insertion start or commercial entity that is Insertion end required by section 7 to keep documents and records shall, unless authorized by the Minister, retain each one of those documents or records Insertion start for a period Insertion end of six years after the day on which the Minister is provided with the prescribed information.

9 Subsection 9(1) of the Act is replaced by the following:

Designation

9 (1) The Minister may designate as an inspector for the purpose of Insertion start verifying compliance or preventing non-compliance Insertion end with this Act any individual Insertion start or class of individuals Insertion end who, in the opinion of the Minister, is qualified to be so designated.

10 (1) Subsections 10(1) and (2) of the Act are replaced by the following:

Inspection

10 (1) Subject to subsection (3), an inspector may, for a purpose Insertion start related to verifying Insertion end compliance Insertion start or preventing non-compliance Insertion end with this Act, at any reasonable time enter any place in which the inspector believes on reasonable grounds Insertion start there is Insertion end

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(a) an activity that is regulated under this Act being conducted;
(b) an energy-using product that is subject to a requirement under this Act and that is owned by or is on the premises of a commercial entity that ships or imports energy-using products as described in subsection 4(1) or a dealer or a consignee of imported energy-using products; or
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(c) any document or record required by section 7 to be kept.

Powers

(2) In carrying out an inspection of a place under subsection (1), an inspector may

(a) examine any energy-using product, or any other thing relevant to the Insertion start verification Insertion end of Insertion start compliance or prevention Insertion end of Insertion start non-compliance with Insertion end this Act, that is found in that place;
(b) open and examine any package or receptacle found in the place that the inspector believes on reasonable grounds contains an energy-using product;
(c) examine any document or record that the inspector believes on reasonable grounds contains any information relevant to the Insertion start verification Insertion end of Insertion start compliance or prevention of non-compliance with Insertion end this Act and make copies Insertion start of it Insertion end or of extracts Insertion start from it Insertion end ;
(d) conduct any tests or take any measurements;
(e) use or cause to be used any computer system at the place to examine any information contained in or available to the system that the inspector believes on reasonable grounds is relevant to the Insertion start verification Insertion end of Insertion start compliance or prevention of non-compliance with Insertion end this Act;
(f) reproduce any record or cause it to be reproduced from the information in the form of a printout or other intelligible output; and
(g) take a printout or other output for examination or copying.

Means of telecommunication

(2.‍1) For the purposes of subsection (1), the inspector is considered to have entered a place when accessing it remotely by a means of telecommunication.

Limitation — access by means of telecommunication

(2.‍2) An inspector who enters remotely, by a means of telecommunication, a place that is not accessible to the public shall do so with the knowledge of the owner or person in charge of the place and shall be remotely in the place for no longer than the period necessary for a purpose related to verifying compliance or preventing non-compliance with this Act.

(2) Paragraph 10(4)‍(b) of the Act is replaced by the following:

(b) entry to the dwelling-place is necessary for a purpose Insertion start related Insertion end to Insertion start verifying compliance or preventing of non-compliance with Insertion end this Act, and

(3) Section 10 of the Act is amended by adding the following after subsection (4):

Means of telecommunication

(4.‍1) An application for a warrant may be submitted, and the warrant may be issued, by a means of telecommunication and section 487.‍1 of the Criminal Code applies for those purposes with any necessary modifications.

11 Subsection 11(1) of the Act is replaced by the following:

Seizure

11 (1) In the course of an inspection under section 10, an inspector may, Insertion start for a purpose related Insertion end to Insertion start verifying compliance Insertion end or Insertion start preventing non-compliance with Insertion end this Act, seize and detain any energy-using product or other thing.

12 Subsection 12(1) of the Act is replaced by the following:

Assistance to inspectors

12 (1) The owner or person in charge of a place entered by an inspector under section 10, and every person present in that place, shall give the inspector all reasonable assistance to enable the inspector to carry out the inspector’s duties and functions under this Act and shall Insertion start provide Insertion end the inspector with Insertion start any Insertion end information the inspector may reasonably require Insertion start for a purpose related Insertion end to Insertion start verifying compliance Insertion end or Insertion start preventing non-compliance with Insertion end this Act.

13 Section 18 of the Act is replaced by the following:

Interest as owner

18 (1) If a thing has been forfeited under section 15 or 16, or an energy-using product has been forfeited under section 17, any person who claims a right or an interest in the thing or product — other than a person convicted of the offence that resulted in the forfeiture, a person from whom the thing or product was seized or an importer whose energy-using product was forfeited under subsection 17(2) — may, within 30 days after the day on which the thing or product was seized, apply by notice in writing to the court for an order under subsection (4).

Fixing day for hearing

(2) The judge to whom the application is made shall fix a day that is not less than 30 days after the day of the filing of the application for the hearing of the application.

Notice

(3) The applicant shall serve a notice of the application and of the hearing of it on the Minister at least 15 days before the day fixed for the hearing.

Order — interest or right of applicant

(4) The judge to whom the application is made may make an order declaring that the interest or right of the applicant is not affected by the forfeiture and declaring the nature and the extent or value of the interest or right if the judge is satisfied that the applicant

(a) appears innocent of any complicity in any offence that resulted in the forfeiture of the thing or product or of any collusion in relation to such an offence; and
(b) exercised all reasonable care to be satisfied that the thing or product was not likely to have been used in connection with the contravention of a provision of this Act or the regulations by
- (i) the person who was permitted by the applicant to obtain possession of the thing or product or from whom the applicant obtained possession of it,
- (ii) the mortgagor or hypothecary debtor, if the applicant is a mortgagee or hypothecary creditor,
- (iii) the person who is subject to the charge, if the applicant is a chargee,
- (iv) the person who is subject to the prior claim, if the applicant is the holder of a prior claim,
- (v) the person who is subject to the lien, if the applicant is a lienholder, or
- (vi) the giver of a security interest, if the applicant is the creditor in relation to the security interest.
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Appeal

(5) The applicant or the Minister may appeal to the court of appeal from an order made under subsection (4) and the appeal shall be asserted, heard and decided according to the ordinary procedure governing appeals to the court of appeal from orders or judgments of a judge.

Application to Minister

(6) The Minister shall, on application made to the Minister by any person who has obtained a final order under subsection (4), if the periods with respect to the taking of appeals from that order have expired or any appeal from that order taken under subsection (5) has been determined, direct that

(a) the thing or product to which the interest or right of the applicant relates be returned to the applicant; or
(b) an amount equal to the value of the interest or right of the applicant, as declared in the order, be paid to the applicant.
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Definitions

(7) The following definitions apply in this section.

court of appeal means, in the province in which an order under subsection (4) is made, the court of appeal for that province as defined in section 2 of the Criminal Code.‍ (cour d’appel)

judge means

(a) in Ontario, a judge of the Superior Court of Justice;
(b) in Quebec, a judge of the Superior Court;
(c) in Nova Scotia, British Columbia, Prince Edward Island, Newfoundland and Labrador, Yukon and the Northwest Territories, a judge of the Supreme Court;
(d) in New Brunswick, Manitoba, Saskatchewan and Alberta, a judge of the Court of King’s Bench; and
(e) in Nunavut, a judge of the Nunavut Court of Justice.‍ (juge)
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14 Section 19 of the Act is replaced by the following:

Disclosure is not warranty

19 A disclosure relating to energy efficiency that is required to be made by a dealer Insertion start or commercial entity Insertion end under this Act in respect of tests conducted under this Act does not create an express or implied warranty by anyone, including Insertion start His Insertion end Majesty in right of Canada, that the energy efficiency established by those tests will be achieved under conditions of actual use.

15 (1) Paragraph 20(1)‍(a) of the Act is replaced by the following:

(a) prescribing as an energy-using product any product Insertion start or system Insertion end , or class of products Insertion start or systems Insertion end , that is designed to operate using electricity, oil, natural gas or any other form or source of energy or that affects or controls energy consumption;

(2) Paragraphs 20(1)‍(c) and (d) of the Act are replaced by the following:

(c) respecting the labelling of energy-using products or classes of energy-using products;
(d) providing for the testing of energy-using products to determine their energy efficiency, Insertion start including through the use of software or of digital modelling or simulation tools Insertion end ;

(3) Section 20 of the Act is amended by adding the following after subsection (2):

Market-driven averages

(3) Regulations made under paragraph (1)‍(b) may provide for the manner in which energy-using products or classes of energy-using products may conform to an energy efficiency standard, including through the use of market-driven averages.

16 (1) The definitions harmonize and requirement in subsection 20.‍1(1) of the Act are replaced by the following:

harmonize means, with respect to requirements Insertion start in the regulations Insertion end , to make them correspond substantively Insertion start with the requirements of a jurisdiction or to adapt the requirements of a jurisdiction to the Canadian context Insertion end .‍ (harmoniser)

requirement means Insertion start an Insertion end energy efficiency standard or Insertion start a requirement respecting labelling Insertion end , testing or Insertion start the provision of Insertion end information.‍ (exigence)

(2) Subsections 20.‍1(2) and (3) of the Act are replaced by the following:

Ministerial regulations

(2) The Minister may, by regulation, with respect to energy-using products or classes of energy-using products that are specified in regulations made by the Governor in Council under paragraph 25(c), amend regulations made under Insertion start this Act by adding any requirement Insertion end or Insertion start by removing Insertion end or Insertion start modifying any Insertion end requirement Insertion start to harmonize Insertion end the requirements in the regulations.

Clarification

(3) In exercising the power under subsection (2), the Minister may, Insertion start among other things Insertion end , prescribe as an energy-using Insertion start product any Insertion end Insertion start product or system Insertion end , or Insertion start class Insertion end of products Insertion start or systems Insertion end , that is Insertion start designed to operate using electricity, oil, natural gas Insertion end or energy Insertion start in any other form or from any other source or that affects or controls energy consumption Insertion end .

17 Section 20.‍2 of the Act is replaced by the following:

Definitions

20.‍2 (1) Insertion start The following definitions apply Insertion end in this section.

technical standards document means a document that is published in both official languages by the Minister and that adapts, combines or reproduces, in whole or in part, documents that are produced by jurisdictions, standards development organizations or industry associations and that, for energy-using products or classes of energy-using products, set out requirements or guidance related to those requirements. The adaptations may include modifications to the content of the originating document.‍ (document de normes techniques)

regulatory reference document means a document that is published in both official languages by the Minister and that relates to

(a) the labelling of an energy-using product or class of energy-using products;
(b) a technical guideline or technical standard applicable to an energy-using product or class of energy-using products;
(c) a technical testing standard applicable to an energy-using product or class of energy using products that may not be found in any jurisdiction;
(d) a regulation made under paragraph 25(a); or
(e) an order made under section 25.‍1 or subsection 25.‍2(1), (6) or (7).‍ (document réglementaire de référence)
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Incorporation of documents

Insertion start (2) Insertion end Regulations made under Insertion start any of Insertion end paragraphs 20(1) Insertion start (a) Insertion end to (d) Insertion start and Insertion end 25 Insertion start (a) and Insertion end (b) and Insertion start subsection 20.‍1(2) Insertion end may incorporate by reference, in whole or in part, a technical standards document Insertion start or regulatory reference document Insertion end , as it is amended from time to time.

18 The heading of Part II of the Act is replaced by the following:

Promotion of Energy Efficiency and Insertion start Emerging Insertion end Energy Sources

19 (1) The portion of section 21 of the Act before paragraph (a) is replaced by the following:

Powers of Minister

21 The Minister may, for the purpose of promoting the efficient and responsible use of energy, the transition from the production, distribution and consumption of certain types of energy to the production, distribution and consumption of other types of energy with the aim of accelerating energy efficiency and the use of emerging energy sources,

(2) Paragraph 21(e) of the Act is replaced by the following:

(e) undertake Insertion start any Insertion end other projects, programs and activities Insertion start that Insertion end , in the Minister’s opinion, advance Insertion start those purposes Insertion end .

20 Section 22 of the Act is replaced by the following:

Regulations

22 Insertion start (1) Insertion end The Governor in Council may make regulations requiring a prescribed Insertion start individual or entity Insertion end to file with the Minister, in the prescribed form and manner, at the prescribed time and for each prescribed reporting period, a report setting out prescribed statistics and information respecting

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(a) the value, quantity, type and use of energy, in any form and from any source, purchased, consumed, transferred or sold by that individual or entity, including statistics and information respecting the value, quantity, type and use of energy that has been purchased from or transferred or sold to a third party;
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(b) the expenditures of that Insertion start individual or entity Insertion end on the research, development, acquisition and operation of energy-using equipment and related technology;
(c) the sales of prescribed energy-using products or classes of energy-using products by that Insertion start individual or entity Insertion end , including the revenue from, and geographic distribution of, the sales;
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(d) energy management systems;
(e) the expenditures of that individual or entity in relation to the acquisition and operation of an energy-using system;
(f) the use of energy management standards;
(g) the information collected by a smart energy device;
(h) any information related to service provision, energy and distribution systems and energy generation, storage and demand;
(i) the operation and performance of energy systems; and
(j) the type, form, source and quality of alternative fuel production.
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Definition of entity

(2) In this section, entity means a corporation or a trust, partnership, fund, joint venture or any other unincorporated association or organization.

21 The portion of subsection 23(2) of the Act before paragraph (a) is replaced by the following:

Privileged information

(2) Except as provided in section 24, the statistics and information filed with the Minister Insertion start under Insertion end regulations made under Insertion start subsection Insertion end 22 Insertion start (1) Insertion end are privileged and no official or authorized person shall knowingly

22 The Act is amended by adding the following after section 25:

Exemptions

Order — six months

25.‍1 The Minister may, by order and subject to any conditions that the Minister considers appropriate, exempt, for a period of not more than six months, any person or energy-using product, or class of persons or energy-using products, from the application of any provision of this Act or any provision of a regulation made under this Act if the Minister is of the opinion that immediate action is required to

(a) harmonize, as defined in subsection 20.‍1(1), the regulations made under this Act;
(b) correct an error in the regulations made under this Act;
(c) waive any requirement related to the provision of information or labelling set out in the regulations made under this Act; or
(d) address any exceptional circumstance that may arise.
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Order — three years

25.‍2 (1) The Minister may, by order and subject to any conditions that the Minister considers appropriate, exempt, for a specified validity period of not more than three years, any person or energy-using product, or class of persons or energy-using products, from the application of any provision of this Act or any provision of a regulation made under this Act if the Minister is of the opinion that

(a) the exemption is in the public interest and would enable the testing of, among other things, a product, service, process, procedure or regulatory measure with the aim of facilitating the design or administration of a regulatory regime in order to stimulate innovation, competitiveness or economic growth;
(b) the benefits associated with exemption outweigh the risks associated with the exemption;
(c) sufficient resources exist and appropriate measures will be taken to maintain oversight of the testing, manage any risks associated with the exemption and protect public health or safety or the environment; and
(d) the implementation plan submitted under subsection (3) is feasible.
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Application

(2) A person may, in the form and manner specified by the Minister, apply to the Minister for an exemption referred to in subsection (1).

Implementation plan

(3) A person who submits an application for an exemption shall include in that application an implementation plan.

Information

(4) The Minister may, on receiving the application, require the person who submits an application to provide any information that is necessary for the Minister to process and assess the application.

Confidential information

(5) For the purposes of subsection 25.‍3(2), any of the following information may be designated as confidential by the person who submits it to the Minister under any of subsections (2) to (4) or by the person to whose business or affairs it relates:

(a) information that is a trade secret;
(b) financial, commercial, scientific or technical information that is confidential and that is treated consistently in a confidential manner by the person who submitted it or by the person to whose business or affairs it relates.
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Extension

(6) The Minister may, by order and subject to any conditions that the Minister considers appropriate, extend the validity period of an exemption for a total period not exceeding six years.

Revocation, amendment or suspension

(7) The Minister may, by order, revoke or amend any order made under subsection (1), or suspend its application in whole or in part, if the Minister is of the opinion that

(a) the exemption is no longer in the public interest;
(b) the benefits associated with the exemption no longer outweigh the risks associated with the exemption;
(c) the management of the risks associated with the exemption is not adequate;
(d) the revocation, amendment or suspension is necessary to protect public health or safety or the environment;
(e) a condition specified by the Minister under subsection (1) or (6) has not been met; or
(f) a prescribed circumstance exists.
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Publication

25.‍3 (1) The Minister shall, as soon as feasible, publish on the website of the Department of Natural Resources any order made under section 25.‍1 or subsection 25.‍2(1), (6) or (7), as well as

(a) a description of the decision-making process and a summary of the reasons for the order; and
(b) a description of the process by which an interested party may provide comments or information to, or seek information from, the Minister in relation to the order.
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Restriction

(2) If a person designates information as confidential under subsection 25.‍2(5) and the designation is not withdrawn by that person, the Minister shall not publish that information.

Statutory Instruments Act

25.‍4 The Statutory Instruments Act does not apply to an order made under section 25.‍1 or subsection 25.‍2(1), (6) or (7).

Incorporation by reference

25.‍5 An order made under section 25.‍1 or subsection 25.‍2(1), (6) or (7) may incorporate by reference any document, including a technical standards document, as defined in subsection 20.‍2(1), or a regulatory reference document, as defined in that subsection, regardless of its source, either as it exists on a particular date or as it is amended from time to time.

Cost recovery

25.‍6 (1) The Minister may recover any costs associated with the processing and assessing of an application under subsection 25.‍2(2) and may refuse to grant the exemption requested until those costs are recovered from the applicant. The Minister may also recover any costs associated with the administration of an order made under subsection 25.‍2(1), (6) or (7).

Service Fees Act

(2) The Service Fees Act does not apply to costs recovered by the Minister under subsection (1).

Exemptions under other Acts

25.‍7 For greater certainty, the power to make an order under section 25.‍1 or subsection 25.‍2(1), (6) or (7) does not preclude or limit the exercise of a power to exempt under another Act of Parliament and vice versa.

Corrective Measures

Power

26 (1) The Minister may order a dealer, or a commercial entity that ships or imports energy-using products as described in subsection 4(1), to take any measure referred to in subsection (2) in order to cease or refrain from committing an alleged contravention of a provision of this Act or the regulations if

(a) the Minister has reasonable grounds to believe that an energy-using product is being or has been shipped from one province to another or imported in contravention of a provision of this Act or the regulations; or
(b) the dealer or commercial entity has not complied with an order or request to make available to the Minister an energy-using product or to provide information or data or access to software or digital modelling or simulation tools to the Minister for the purposes of verifying whether an energy-using product complies with the requirements under this Act.
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Measures

(2) The measures are the following:

(a) stopping, or causing to be stopped, the importation, shipping from one province to another, labelling, selling, advertising or testing of the energy-using product; or
(b) any other measure that the Minister considers necessary to fulfill the purpose set out in subsection (1).
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Notice

(3) The order shall be provided in the form of a written notice and shall include

(a) a statement of the reasons for the measure; and
(b) the time and manner in which the measure is to be carried out.
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Failure to comply

(4) If the dealer or commercial entity does not comply with the order within the time specified, the Minister may, on the Minister’s own initiative and at that dealer’s or commercial entity’s expense, carry out the measure required.

Publication

(5) For the purpose of encouraging compliance with this Act, the Minister may publish, as the Minister sees fit, the names of any dealer or commercial entity, or a description of any energy-using product, that is the subject of an order made under subsection (1).

Designation

(6) The Minister may designate any individual or class of individuals to exercise the powers and perform the functions set out in this section.

Review

Review officer

26.‍1 The Minister may designate any individual or a class of individuals as review officers for the purpose of reviewing orders under section 26.‍2.

Request for review

26.‍2 (1) Subject to any other provision of this section, an order that is made under subsection 26(1) is to be reviewed on the written request of the dealer or commercial entity that was ordered to take any measure under that subsection — but only on grounds that involve questions of fact alone or questions of mixed law and fact — by a review officer other than the individual who made the order.

Contents of request

(2) The request shall state the grounds for review and set out the evidence — including evidence that was not considered by the individual who made the order — that supports those grounds and the decision that is sought. The request shall be provided to the Minister within seven days after the day on which the order was provided.

No authority to review

(3) The review is not to be conducted if the request does not comply with subsection (2) or is frivolous, vexatious or not made in good faith.

Reasons for refusal

(4) The person who made the request shall, without delay, be notified in writing of the reasons for not conducting the review.

Review initiated by review officer

(5) A review officer — other than the individual who made the order — may review an order, whether or not a request is made under subsection (1).

Order in effect

(6) An order continues to apply during a review unless the review officer decides otherwise.

Completion of review

(7) A review officer shall complete the review no later than 30 days after the day on which the request is submitted to the Minister.

Extension of period for review

(8) The review officer may extend the review period by no more than 30 days if they are of the opinion that more time is required to complete the review. They may extend the review period more than once.

Reasons for extension

(9) If the review period is extended, the person who made the request shall, without delay, be notified in writing of the reasons for extending it.

Decision on completion of review

(10) On completion of a review, the review officer shall confirm, amend, revoke or cancel the order.

Notice

(11) The person who made the request shall, without delay, be notified in writing of the reasons for the review officer’s decision under subsection (10).

Effect of amendment

(12) An order that is amended is subject to review under this section.

Information Sharing

Agreements and arrangements

26.‍3 (1) The Minister may, for a purpose related to verifying compliance or preventing non-compliance with this Act, enter into an agreement or arrangement respecting the sharing of information with the government of a foreign state, a political subdivision of that state or any of its agencies or agents or mandataries, or with an intergovernmental organization, whether or not established by treaty, of which two or more states are members.

Disclosure of personal information

(2) Personal information, as defined in section 3 of the Privacy Act, shall not be disclosed under subsection (1) unless

(a) the disclosure is in the interest of public health, public safety or the protection of the environment; and
(b) the public interest in the disclosure clearly outweighs in importance any damage to the privacy, reputation or human dignity of any individual that may result from the disclosure.
End of inserted block

Protection from civil proceeding or prosecution

(3) Despite any other Act of Parliament, no civil or criminal proceedings lie against the Minister, or against any person acting on behalf of or under the direction of the Minister, and no proceedings lie against the Crown for the disclosure in good faith of any information under this section or for any consequences that flow from that disclosure.

Enforcement Officers

Designation

26.‍4 (1) The Minister may designate as an enforcement officer for the purposes of the enforcement of this Act any individual or a class of individuals who, in the opinion of the Minister, is qualified to be so designated.

Certificate

(2) The Minister shall furnish every enforcement officer with a certificate of designation as an enforcement officer and, on exercising any power vested in the enforcement officer by this Act, an enforcement officer shall, if so required, produce the certificate to any person in authority who is affected by that exercise.

23 (1) Paragraphs 27(1)‍(a) and (b) of the Act are replaced by the following:

(a) is guilty of an offence punishable on summary conviction and liable, Insertion start for a first offence Insertion end , to a fine not exceeding Insertion start $250,000 and, for a subsequent offence, to a fine not exceeding $500,000 Insertion end ; or
(b) is guilty of an indictable offence and liable, Insertion start for a first offence Insertion end , to a fine not exceeding Insertion start $2,000,000 and, for a subsequent offence, to a fine not exceeding $5,000,000 Insertion end .

(2) Subsections 27(2) to (4) of the Act are replaced by the following:

Offence — other provisions

(2) Every person who contravenes any provision of this Act or the regulations made under this Act, other than subsection 4(1), is guilty of an offence punishable on summary conviction and liable, Insertion start for a first offence Insertion end , to a fine not exceeding Insertion start $500,000 and, for a subsequent offence, to a fine not exceeding $1,000,000 Insertion end .

Offence — false or misleading statements

(3) Every person who, in purported compliance with this Act or the regulations, submits any report, statistic, information, document or record, makes any statement or answers any question knowing that the report, statistic, information, document, record, statement or answer is false or misleading, or misrepresents or fails to disclose a material fact, is guilty of an offence punishable on summary conviction and liable, Insertion start for a first offence Insertion end , to a fine not exceeding Insertion start $500,000 and, for a subsequent offence, to a fine not exceeding $1,000,000 Insertion end .

24 The Act is amended by adding the following after section 30:

Due diligence defence

30.‍1 A person is not to be found guilty of an offence under subsection 27(1) or (2) or section 35, other than for a contravention of subsection 12(2) or 23(2), if they establish that they exercised due diligence to prevent the commission of the offence.

25 The heading before section 36 and sections 36 to 38 of the Act are replaced by the following:

Default of payment

36 If an individual is convicted of an offence under this Act, no imprisonment may be imposed in default of payment of any fine imposed as punishment.

Administrative Monetary Penalties

Powers of Minister

Powers

37 The Minister may designate any individual or class of individuals who are authorized to issue notices of violation and establish, in respect of each violation, a short-form description to be used in notices of violation.

Violation

38 Every person who contravenes a provision of this Act or the regulations commits a violation and is liable to a penalty established in accordance with the regulations.

Purpose of penalty

39 (1) The purpose of a penalty is to promote compliance with this Act and not to punish.

Maximum penalty

(2) The maximum penalty for a violation is $5,000, in the case of an individual, and $25,000, in any other case.

Proceedings

Notice of violation

40 (1) An individual who is authorized to issue notices of violation may, if they believe on reasonable grounds that a person has committed a violation, issue a notice of violation and cause it to be served on the person. The notice of violation shall name the person, identify the violation and set out

(a) the penalty for the violation that the person is liable to pay;
(b) the particulars concerning the time and manner of payment of the penalty; and
(c) the lesser amount that may be paid in complete satisfaction of the penalty if paid within the time and manner specified in the notice.
End of inserted block

Summary of rights and obligations

(2) The notice of violation shall clearly summarize, in plain language, the rights and obligations of the person under this section and sections 41 to 55, including their rights to request to enter into a compliance agreement and to have the acts or omissions that constitute the alleged violation reviewed and the procedure for exercising those rights.

Penalties

Payment

41 (1) If the person named in the notice of violation pays the penalty or the lesser amount set out in the notice in the time and manner specified in the notice,

(a) they are deemed to have committed the violation in respect of which the amount is paid;
(b) the Minister shall accept that amount in complete satisfaction of the penalty; and
(c) the proceedings commenced in respect of the violation are ended.
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Alternatives to payment

(2) Instead of paying the penalty set out in a notice of violation or the lesser amount that may be paid in lieu of the penalty, the person named in the notice may, within the time and in the manner specified in the notice,

(a) request to enter into a compliance agreement with the Minister for the purpose of ensuring their compliance with the provisions of this Act or the regulations to which the violation relates; or
(b) request a review of the acts or omissions that constitute the violation or of the amount of the penalty.
End of inserted block

Deeming

(3) If the person named in the notice does not pay the penalty set out in the notice in the time and manner specified in the notice and does not exercise any right referred to in subsection (2) in the specified time and manner, they are deemed to have committed the violation identified in the notice.

Compliance Agreements

Compliance agreement

42 (1) After considering a request made under paragraph 41(2)‍(a), the Minister may enter into a compliance agreement, as described in that paragraph, with the person making the request on any terms and conditions that are satisfactory to the Minister. The terms and conditions may

(a) include a provision for the deposit of reasonable security, in a form and amount satisfactory to the Minister, as a guarantee that the person will comply with the compliance agreement; and
(b) provide for the reduction, in whole or in part, of the penalty for the violation.
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Deeming

(2) A person who enters into a compliance agreement with the Minister is, on doing so, deemed to have committed the violation in respect of which the compliance agreement was entered into.

Notice of compliance

(3) If the Minister is satisfied that a person who has entered into a compliance agreement has complied with it, the Minister shall cause a notice to that effect to be provided to the person, at which time

(a) the proceedings commenced in respect of the violation are ended; and
(b) any security given by the person under the compliance agreement shall be returned to them.
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Notice of default

(4) If the Minister is of the opinion that a person who has entered into a compliance agreement has not complied with it, the Minister shall cause a notice of default to be provided to the person to the effect that

(a) instead of being liable to pay the amount of the penalty set out in the notice of violation in respect of which the compliance agreement was entered into, the person is liable to pay, in the time and manner specified in the notice of violation, twice the amount of that penalty and, for greater certainty, subsection 39(2) and section 55 do not apply in respect of that amount; or
(b) the security, if any, given by the person under the compliance agreement is forfeited to His Majesty in right of Canada.
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Effect of notice of default

(5) Once provided with the notice of default, the person shall not deduct from the amount set out in that notice any amount that they spent under the compliance agreement and

(a) the person is liable to pay the amount set out in that notice in the time and manner specified in the notice of violation; or
(b) if the notice of default provides for the forfeiture of the security given under the compliance agreement, that security is forfeited to His Majesty in right of Canada and the proceedings commenced in respect of the violation are ended.
End of inserted block

Effect of payment

(6) If a person pays the amount set out in the notice of default in the time and manner specified in the notice of violation, the Minister shall accept the amount as complete satisfaction of the amount owing in respect of the violation and the proceedings commenced in respect of the violation are ended.

Refusal to enter into compliance agreement

43 (1) If the Minister refuses to enter into a compliance agreement requested under paragraph 41(2)‍(a), the person who made the request is liable to pay, in the time and manner specified in the notice of violation, the penalty set out in the notice.

Effect of payment

(2) If a person pays the amount referred to in subsection (1),

(a) they are deemed to have committed the violation in respect of which the amount is paid;
(b) the Minister shall accept the amount as complete satisfaction of the penalty in respect of the violation; and
(c) the proceedings commenced in respect of the violation are ended.
End of inserted block

Deeming

(3) If a person does not pay the amount referred to in subsection (1) in the specified time and manner, they are deemed to have committed the violation identified in the notice of violation.

Review by Minister

Review — with respect to facts

44 (1) On completion of a review requested under paragraph 41(2)‍(b) with respect to the acts or omissions that constitute the violation, the Minister shall determine, on a balance of probabilities, whether the person who requested the review committed the violation.

Violation not committed — effect

(2) If the Minister determines under subsection (1) that the person who requested the review did not commit the violation, the proceedings commenced in respect of it are ended.

Violation committed — effect

(3) If the Minister determines that the person committed the violation, the Minister shall determine whether the amount of the penalty was fixed in accordance with regulations made under section 55 and

(a) if the Minister determines that it was correctly fixed, the Minister shall confirm the amount of the penalty; and
(b) if the Minister determines that it was not correctly fixed, the Minister shall correct the amount.
End of inserted block

Review — with respect to penalty

(4) On completion of a review requested under paragraph 41(2)‍(b) with respect to the amount of the penalty, the Minister shall determine whether the amount of the penalty was fixed in accordance with regulations made under section 55 and

(a) if the Minister determines that it was correctly fixed, the Minister shall confirm the amount of the penalty; and
(b) if the Minister determines that it was not correctly fixed, the Minister shall correct the amount.
End of inserted block

Notice of decision

(5) The Minister shall cause a notice of any decision made under subsection (1) or (4) to be served on the person who requested the review. The notice shall set out the Minister’s decision and the reasons for it and, if the amount of the penalty was confirmed or corrected by the Minister, the time and manner in which that amount is to be paid.

Payment

(6) The person who requested the review is liable to pay, in the time and manner specified in the notice of violation, the amount of the penalty that is confirmed or corrected in the Minister’s decision made under subsection (3) or (4).

Effect of payment

(7) If a person pays the amount referred to in subsection (6), the Minister shall accept the amount as complete satisfaction of the penalty in respect of the violation and the proceedings commenced in respect of the violation are ended.

Decision final

45 A decision made under section 44 by the Minister is final and binding and, except for judicial review under the Federal Courts Act, is not subject to appeal or review by any court.

Enforcement

Debts to His Majesty

46 (1) The following amounts constitute debts due to His Majesty in right of Canada that may be recovered in the Federal Court:

(a) the amount of a penalty, from the time the notice of violation setting out the amount of the penalty is provided;
(b) every amount set out in a compliance agreement entered into with the Minister under subsection 42(1) from the time the compliance agreement is entered into;
(c) the amount set out in a notice of default referred to in subsection 42(4), from the time the notice is provided; and
(d) the amount of a penalty as set out in a decision of the Minister made under paragraph 44(3)‍(b) or (4)‍(b), from the time the notice of that decision is provided.
End of inserted block

Limitation period or prescription

(2) No proceedings to recover a debt referred to in subsection (1) may be commenced after the end of five years after the day on which the debt became payable.

Debt final

(3) A debt referred to in subsection (1) is final and not subject to review or to be restrained, prohibited, removed, set aside or otherwise dealt with except to the extent and in the manner provided by sections 41 to 44.

Certificate of default

47 (1) Any debt referred to in subsection 46(1) in respect of which there is a default of payment, or the part of any such debt that has not been paid, may be certified by the Minister.

Judgment

(2) On production to the Federal Court, a certificate made under subsection (1) shall be registered in that Court and, when registered, has the same force and effect, and all proceedings may be taken on the certificate, as if it were a judgment obtained in that Court for a debt of the amount specified in it and all reasonable costs and charges associated with the registration of the certificate.

Publication

48 The Minister may make public

(a) the name of a person who is determined under section 44, or is deemed, to have committed a violation;
(b) the nature of the violation;
(c) the amount of the penalty imposed, if any; and
(d) any other information specified in regulations made under section 55.
End of inserted block

Rules About Violations

Certain defences not available

49 (1) A person named in a notice of violation does not have a defence by reason that they

(a) exercised due diligence to prevent the violation; or
(b) reasonably and honestly believed in the existence of facts that, if true, would exonerate them.
End of inserted block

Common law principles

(2) Every rule and principle of the common law that renders any circumstance a justification or excuse in relation to a charge for an offence under this Act applies in respect of a violation to the extent that it is not inconsistent with this Act.

Violation by corporate officers, etc.

50 (1) If a person commits a violation, any of the following persons that directed, authorized, assented to, acquiesced in or participated in the commission of the violation is a party to and liable for the violation whether or not the person is proceeded against under this Act:

(a) an officer, a director or an agent or mandatary of the person;
(b) a senior official of the person;
(c) any other person authorized to exercise managerial or supervisory functions on behalf of the person.
End of inserted block

Employees or agents or mandataries

(2) A person is liable for a violation that is committed by their employee acting within the scope of their employment or their agent or mandatary acting within the scope of their authority, whether or not the employee or agent or mandatary is identified or proceeded against.

Continuing violation

51 A violation that is committed or continued on more than one day constitutes a separate violation in respect of each day on which it is committed or continued.

Other Provisions

Evidence — notice of violation

52 In any proceeding in respect of a violation or a prosecution for an offence, a notice of violation purporting to be issued under this Act is admissible in evidence without proof of the signature or official character of the individual purporting to have signed the notice of violation.

Limitation period

53 No proceedings in respect of a violation may be commenced after the end of two years after the day on which the subject matter of the proceedings arose.

Choice of proceedings

54 If a contravention can be proceeded with as a violation or as an offence, the Minister may commence proceedings in respect of that contravention as a violation or recommend that it be proceeded with as an offence, but it may be proceeded with only as one or the other.

Regulations

55 The Minister may make regulations for carrying out the purposes of sections 37 to 54, including regulations

(a) classifying each violation as a minor violation, a serious violation or a very serious violation;
(b) fixing a penalty, or a range of penalties, in respect of each violation;
(c) respecting the circumstances under which, the criteria by which and the manner in which a penalty may be reduced or increased;
(d) respecting the determination of a lesser amount than the penalty imposed that may be paid in complete satisfaction of the penalty under paragraph 40(1)‍(c), as well as the time and manner in which it is to be paid; and
(e) respecting the service of documents required or authorized under sections 37 to 54, including the documents or types of documents that shall be served, the manner and proof of service and the circumstances under which documents are deemed to be served.
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Insertion start Reports Insertion end to Parliament

Report to Parliament — administration and enforcement

56 The Minister shall, as soon as possible after the end of each Insertion start period of two fiscal years not addressed by the previous report on the administration and enforcement of this Act Insertion end , prepare and cause to be Insertion start tabled in Insertion end each House of Parliament a report on the administration and enforcement of this Act for that Insertion start period Insertion end .

Report — comparison of standards

57 The Minister shall, as soon as possible after the end of each period of three fiscal years not addressed by the previous report containing a comparison of energy efficiency standards, prepare and cause to be tabled in each House of Parliament a report that demonstrates the extent to which the energy efficiency standards prescribed under this Act are as stringent as comparable standards established by a province, the United Mexican States or the United States.

Review of Act

58 (1) The Minister shall, 10 years after the day on which this section comes into force and every five years after that, undertake a review of the provisions of this Act.

Report to Parliament

(2) The Minister shall, no later than one year after the day on which the review is undertaken, cause a report on the review to be tabled in each House of Parliament.

Transitional Provisions

Application — Energy Efficiency Act

26 The Energy Efficiency Act does not apply to a person engaged in a business described in paragraph (d) of the definition dealer or to a commercial entity, as those terms are defined in section 2 of that Act, until six months after the day on which this section comes into force.

Application — representations relating to energy-using products

27 Section 5.‍1 the Energy Efficiency Act does not apply to a dealer, as defined in section 2 of that Act, until six months after the day on which this section comes into force.

Published under authority of the Senate of Canada