New requirements under the Ozone-depleting Substances and Halocarbon Alternatives Regulations
Customs Notice 18-25

1. The purpose of this notice is to advise the trading community that the Ozone-depleting Substances and Halocarbon Alternatives Regulations (ODSHAR) were amended. The Regulations amending the Ozone-depleting Substances and Halocarbon Alternatives Regulations came into force on April 16, 2018.

2. Ozone-depleting substances and Halocarbon Alternatives Regulations implement Canada’s obligations under the Montreal Protocol on Substances that Deplete the Ozone Layer (Montreal Protocol). The Montreal Protocol is an international agreement to control the production and consumption of certain ozone-depleting substances (ODS) and halocarbon alternatives.

3. The amendment introduces new provisions relating to:

• a) The phase-down of hydrofluorocarbons (HFCs) and consumption allowance provisions, which replace the permit system for bulk new HFCs;

  HFCs are used as alternatives to ozone-depleting substances in refrigeration and air-conditioning equipment, foam products, and aerosol products. Although they are effective alternatives to ODS, many are powerful greenhouse gases. The three most commonly used HFCs are: HFC-125, HFC-134a and HFC-245fa.

• b) Certain products containing or designed to contain HFCs, for which the manufacture and import is prohibited:
  • a. Pressurized containers containing 2kg or less of an HFC used as a propellant that has a global warming potential greater than 150 (prohibited as of January 1, 2019)
  • b. Automobiles equipped with air-conditioning systems with an HFC listed in Schedule 1 of the ODSHAR that has a global warming potential greater than 150 (model year 2021 and subsequent)
  • c. Plastic foam or rigid foam product in which an HFC listed in Schedule 1 of the ODSHAR was used as a foaming agent if the global warming potential of the HFC is greater than 150 (prohibited as of January 1, 2021)
  • d. Refrigeration and air-conditioning equipment (prohibited as of January 1, 2020 or 2025, based on the type of equipment and the use listed in Schedule 1.1 of the ODHSAR).

4. ECCC authorizes importers and exporters to import or export ODS and HFCs and products containing or designed to contain these substances by issuing a permit to import or export and/or by issuing an allowance (for HCFCs and HFCs only) or a transfer of allowance.

5. Any questions with reference to permits or allowances should be referred to the Chemical Production Division of ECCC at ec.gestionhalocarbures-halocarbonsmanagement.ec@canada.ca or 819-938-4218.

6. The CBSA will perform visual checks of conveyances or containers for placards labels or other markings that might indicate shipments containing controlled ODS or HFCs.

7. For all shipments of controlled ODS and HFCs and products containing or designed to contain these substances that are imported, exported or that transit through Canada, the importer, customs broker or carrier, or their agent, must present the CBSA with one of the required documents such as:

a) a copy of the permit;

b) a copy of the Minister’s written confirmation of their allowance or transfer of allowance; or

c) an acknowledgement of their notice of shipment in transit.

8. Shipments containing regulated ODS or HFCs that are being imported, exported or that are transiting through Canada will not be allowed to proceed until the required document is presented to the CBSA. For all in-transit movements of the ODS or HFC, documentation will be verified by border services officers when a shipment of ODS enters and exits Canada. Border services officers will verify that the import or export is within the maximum allowable quantity.

9. The CBSA is currently updating Memorandum D19-7-2 to reflect the above regulatory changes.

Date modified:

2018-12-20