10. Compliance and Enforcement (Part 10)

• 10.1 Designations and Training
• 10.2 Compliance Promotion
  • 10.2.1 Collaboration with First Nations
  • 10.2.2 Multi-instrument Compliance Promotion
  • 10.2.3 Activities on Individual CEPA Instruments
• 10.3 Enforcement Priorities
• 10.4 Enforcement Activities
  • 10.4.1 Enforcement Statistics
  • 10.4.2 Environmental Protection Compliance Orders
  • 10.4.3 Environmental Protection Alternative Measures
  • 10.4.4 Prosecutions and Court Cases
• 10.5 Domestic and International Actions

CEPA 1999 provides enforcement officers with a wide range of powers to enforce the Act, including the powers of a peace officer. Enforcement officers can carry out inspections to verify compliance with the Act; conduct investigations of suspected violations; enter premises, open containers, examine contents and take samples; conduct tests and measurements; obtain access to information (including data stored on computers); stop and detain conveyances; search, seize and detain items related to the enforcement of the Act; secure inspection warrants to enter and inspect premises that are locked and/or abandoned or where entry has been refused; seek search warrants; and arrest offenders. CEPA 1999 analysts can enter premises when accompanied by an enforcement officer and can exercise certain inspection powers.

Enforcement officers can select from a wide range of measures to respond to alleged violations. Many are designed to achieve compliance without resorting to formal court action, including directions, tickets, prohibition orders, recall orders, detention orders for ships, and Environmental Protection Compliance Orders (EPCOs). Measures to compel compliance through court action include injunctions to stop or prevent a violation and prosecutions. In addition, compliance can be achieved through Environmental Protection Alternative Measures (EPAMs), a program for diverting offenders away from the formal court process.

The number of active designated persons with enforcement powers under CEPA 1999 within Environment Canada is as follows:

• 185 CEPA enforcement officers;
• 38 emergency officers from the Environmental Emergencies Program designated as CEPA enforcement officers with limited powers; and
• 154 CEPA analysts.

In the fall of 2010, the Basic Enforcement Training program produced 10 newly designated officers with full enforcement powers, and two emergency officers with limited enforcement powers.

With the coming into force of many provisions of the new Environmental Enforcement Act (EEA), in December 2010, Environment Canada developed and delivered a one-day regional seminar intended for all its designated officers. This seminar was held in 25 different locations to ensure that all designated officers, including emergencies officers, received training in the new and amended provisions of CEPA 1999 introduced by the EEA and in the newly created Environmental Violations Administrative Monetary Penalties Act (EVAMPA). Environment Canada is developing the regulations and policy needed for the implementation of provisions of CEPA 1999 (and other legislation) introduced or amended by the EEA. Training will be provided for these provisions in 2011–2012.

In 2010–2011, the existing Limited Powers/Analyst Designation course was also updated to reflect the amendment of CEPA 1999 related to the EEA. It was delivered in the National Capital Region and resulted in 13 newly designated CEPA analysts. More sessions are to be delivered in 2011–2012.

Other accomplishments related to training on CEPA 1999 regulations in 2010–2011 include:

• the development and delivery of a course to 11 officers on the Chromium Electroplating, Chromium Anodizing and Reverse Etching Regulations
• the assessment of requirements and initiation of the development of training modules covering the vehicles and engines regulations, as follows:
  • Off-Road Small Spark-Ignition Engine Emission Regulations and Amendment
  • Off-Road Compression Ignition Engine Emission Regulations and Amendment
  • On-Road Vehicles and Engine Emission Regulations
  • Marine Spark Ignition Engine and Off-road Recreational Vehicle Emission Regulations
  • Passenger Automobile and Light Truck Greenhouse Gas Emission Regulations (Light Duty Vehicle Regulations)
• the development of the upgraded course for all fuels regulations as a result of the new Fuel Waiver Regulations (i.e. the Regulations respecting Circumstances for Granting Waivers pursuant to section 147 of the Act). The course will include the following regulations:
  • Regulations Respecting the Concentration of Lead and Phosphorus in Gasoline (known as the Gasoline Regulations)
  • Benzene in Gasoline Regulations
  • Sulphur in Gasoline Regulations
  • Sulphur in Diesel Fuel Regulations
  • Regulations Respecting the Import and Export of Contaminated Fuels (known as the Contaminated Fuel Regulations)
  • Fuels Information Regulations, No. 1
  • Gasoline and Gasoline Blend Dispensing Flow Rate Regulations
  • Fuel Waiver Regulations (new regulations)
• the assessment of requirements and initiation of the development of an enhanced course on Storage Tank Systems for Petroleum Products and Allied Petroleum Products Regulations

Compliance promotion relates to the planned activities that are undertaken to increase awareness and understanding of the law and its regulations. Through these activities, information is provided on what is required to comply with the law, the benefits of compliance and the consequences of non-compliance.

In 2010–2011, numerous compliance-promotion activities were delivered for new and existing control instruments under CEPA 1999. Multiple approaches were used to reach the regulated communities, including mail-outs and information sessions, and were carried out in collaboration with other federal departments, provinces and territories as well as non-governmental organizations (e.g., Parks Canada, Hydro-Québec, the Canadian Fertilizer Institute, and manufacturers' associations).

Environment Canada continued to work closely with First Nations and Aboriginal Affairs and Northern Development Canada in 2010–2011. Workshops, training and presentations were delivered on obligations to comply with regulations under CEPA 1999.

Compliance-promotion activities were carried out in support of the Storage Tank Systems for Petroleum Products and Allied Petroleum Products Regulations. An online training program was developed to aid First Nations in registering their storage tank systems in Environment Canada's database (FIRSTS). This training was delivered, on-site, to reserves in the Atlantic Region by Aboriginal Affairs and Northern Development Canada. Several workshops on the requirements of the regulations were delivered to the regulated community among First Nations across Canada. Furthermore, storage tank contingency planning workshops were held at the Kettle and Stony Point First Nation and at the Northern Ontario Environmental Conference. Compliance-promotion packages, including posters, background information and identification information in support of the storage tank system identification process, were also distributed through information sessions, conferences and meetings, and by mail to First Nations.

Several presentations were made on the proposed Wastewater Systems Effluent Regulations to the First Nations Circuit Rider Training Program, the Atlantic First Nations Housing & Infrastructure Network's Water & Wastewater Sub-Committee, the First Nations wastewater treatment operators hosted by the Atlantic Policy Congress of First Nations Chiefs, the Ontario First Nations Technical Services Corporation annual conference, and the Alberta First Nations Technical Advisory Group.

Environmental compliance workshops and meetings on the Federal Halocarbon Regulations, 2003, were delivered twice in Ottawa, Ontario, and once in Cole Harbour, Nova Scotia. The workshops were attended by the Atlantic First Nations Housing and Infrastructure Regional Technical Committee as well as other federal departments, boards, agencies and Crown corporations.

Environment Canada organizes a number of multi-instrument workshops and information booths each year to reach regulatees who must comply with more than one regulation.

For 2010–2011, multi-instrument compliance-promotion activities covered a broad range of environmental regulations under CEPA 1999, the Fisheries Act, and the Canadian Environmental Assessment Act. In total, nine multi-instrument workshops and information booths were organized by Environment Canada's regional offices in various locations across Canada. The workshops covered a number of regulations, including Storage Tank Systems for Petroleum Products and Allied Petroleum Products Regulations, Volatile Organic Compound (VOC) Concentration Limits for Architectural Coatings Regulations, Volatile Organic Compound (VOC) Concentration Limits for Automotive Refinishing Products Regulations, New Substances Notification Regulations, Federal Halocarbon Regulations, 2003, Environmental Emergency Regulations, Perfluorooctane Sulfonate and its Salts and Certain Other Compounds Regulations.

These multi-instrument compliance-promotion activities provide a unique opportunity for regulatees to meet Environment Canada staff and gather key information regarding acts and regulations affecting their activities. Regulatees also benefit from the knowledge and experience of the on-site staff, the distribution of printed materials on the legislation, and the provision of resources for further inquiries.

Compliance-promotion activities on individual CEPA 1999 control instruments in 2010–2011 included the following:

Storage Tank Systems for Petroleum Products and Allied Petroleum Products Regulations – Compliance-promotion activities included site visits, presentations, training sessions, meetings and information sessions held across Canada, promoting the regulations to over 1000 Canadians from different associations, other federal departments, and provincial and municipal governments. Three mail-outs containing information about the regulations were made, reaching approximately 2200 Canadians.

Notice Requiring the Preparation and Implementation of Pollution Prevention Plans in Respect of Mercury Releases from Dental Amalgam Waste – Presentations were made and an Environment Canada information booth was displayed during key events of different dental associations to promote the Notice Requiring the Preparation and Implementation of Pollution Prevention Plans. These activities reached approximately 1300 Canadian dentists. Provincial dental associations and the Alberta Dental Association and College's Dental Congress were contacted to assist in the emailing of a compliance-promotion package to their members. Posters promoting the regulations and best practices on mercury handling were mailed out to dental offices. In August 2010, emails and mail-outs were sent to remind dental offices of the deadline for completing Schedule 1: Declaration That a Pollution Prevention Plan Has Been Prepared and Is Being Implemented in Respect of Mercury Releases from Dental Amalgam Waste (subsection 58(1) of CEPA 1999). These mail-outs reached over 8000 professionals from the dental industry.

PCB Regulations and the PCB Waste Export Regulations, 1996 – Presentations and targeted site visits were conducted to promote compliance with the regulations. Mail-outs containing information on the regulations were conducted across the country, reaching over 5200 corporate citizens potentially dealing with PCB. As well, several compliance promotion documents on the regulations' requirements and on the use of the PCB online reporting system were developed and made available to regulatees through Environment Canada's PCB web pages.

Environmental Emergency Regulations – Environment Canada gave presentations to and participated in workshops for several different associations and stakeholder groups to promote the regulations. Through these activities Environment Canada reached over 500 associations and groups, who, in turn, disseminated the information to members of their respective associations.

Tetrachloroethylene (Use in Dry Cleaning and Reporting Requirements) Regulations – Mail-outs of annual report packages were sent to dry cleaners, sellers, importers, and recyclers of tetrachloroethylene, reaching over 4000 business owners. In addition, an Environment Canada information booth was displayed during the Saskatchewan Professional Dry Cleaners Association convention to promote compliance with the regulations, and two presentations were made to the Alberta Textile and Cleaning Association.

Perfluorooctane Sulfonate and its Salts and Certain Other Compounds Regulations – Compliance promotion focused on delivering information through presentations and workshops about the regulations to fire-fighter associations, since aqueous film-forming foams that contain perfluorooctane sulfonate are used in fighting fires. These events reached over 100 participants. Efforts were made to contact, by phone and by mail-outs, organizations that may use aqueous film-forming foams such as provincial associations of fire marshals, fire chiefs, and fire departments; airports; ferry services; Transport Canada; oil refineries and fire emergency training schools. These efforts reached over 1800 members of different organizations and companies.

Volatile Organic Compound (VOC) Concentration Limits for Architectural Coatings Regulations – Compliance promotion focused on delivering information about the regulations through presentations, information sessions and mail-outs. Presentations were made to the Montréal Society of Coatings Technology, which encompasses most of the paint manufacturers in eastern Canada, and the Comité permanent de liaison environnement-municipalités (COPLEM) in Quebec. Information sessions held in different regions reached over 400 participants. Compliance-promotion packages containing a cover letter, fact sheet and questionnaire were mailed and emailed to approximately 10 000 manufacturers and importers.

Volatile Organic Compound (VOC) Concentration Limits for Automotive Refinishing Products Regulations – Compliance promotion for these regulations consisted of presentations, information sessions and mail-outs about the regulations including up to 100 participants in regional information sessions. Compliance-promotion packages containing a cover letter, fact sheet, and questionnaire were mailed and emailed to over 1500 manufacturers, importers and sellers. An advertisement to promote compliance with the regulations was placed in two specialized magazines (Le Carrossier and Bodyshop Magazine) to reach car finishing products manufacturers, importers, sellers and users. These two magazines have a distribution of 16 000 printed copies.

Federal Halocarbon Regulations, 2003 – Twenty information sessions, training sessions and presentations were given across Canada to various groups, including federal departments, boards, agencies and Crown corporations; First Nations; refrigeration mechanic students; and fire-extinguishing service contractors. To reach more Canadians, an advertisement campaign was done in the magazine Inter-Mécanique du Bâtiment of the Corporation des Maîtres mécaniciens en tuyauterie du Québec. Mail-out activities to targeted audiences were also made. These compliance-promotion activities reached approximately 10 000 Canadians.

Renewable Fuels Regulations – Mail-outs to 25 targeted Canadian fuel producers and importers were carried out. Information sessions and presentations were made to over 85 corporate citizens in the fuel industry.

Marine Spark-Ignition Engine and Off-Road Recreational Vehicle Emission Regulations – Mail-outs of fact sheets and information regarding the regulations were sent to over 2400 Canadians. Information sessions were conducted at boat trade shows, motorcycle trade shows and off-road recreational vehicles trade shows to promote compliance with the regulations to approximately 200 participants.

Chromium Electroplating, Chromium Anodizing and Reverse Etching Regulations – Mail-outs were sent to remind targeted regulatees about upcoming deadlines for reporting under the regulations; in total, 120 reminders were sent out. Meetings with industries took place to promote compliance with the regulations.

Phosphorus Concentration Regulations (i.e. the Concentration of Phosphorus in Certain Cleaning Products Regulations) – Prior to the coming into force of new requirements under the regulations, the Environment Canada laboratory in Edmonton determined the phosphorus concentration of a number of detergents and household cleaners to provide information for compliance promotion purposes. Some products were identified as having a phosphorus concentration exceeding the level prescribed in the amendments. Compliance promotion letters were mailed out to the companies that manufacture these products.

Gasoline and Gasoline Blend Dispensing Flow Rate Regulations – Mail-outs of fact sheets and a compliance promotion information package for federal fuel regulations were sent to 600 gasoline retailers in Canada, including those on aboriginal land.

Vehicle and engine regulations – For the Off-Road Compression-Ignition Engine Emission Regulations, regulatee lists were updated and two information packages were sent to regulatees and potential regulatees. The first mail-out informed them of the interim order that modified the current regulations and included supplemental guidance related to compliance options. A subsequent mail-out campaign was conducted following publication of the proposed amendments to the regulations in the Canada Gazette, Part I, to solicit comments. Both mail-outsincluded a response form to encourage individuals to provide email contacts to reduce costs related to paper mail-outs. Mail-outs were sent to approximately 2500 companies.

Each year, a National Enforcement Plan describing the enforcement activities to be carried out in that fiscal year, including activities addressing non-compliance with CEPA 1999, is developed. To maximize the effectiveness of these activities, priority is given to specific regulations or instruments.

Factors that influence the identification of the priority regulations include the risk to the environment and human health represented by the regulated substance or activity, compliance issues, new and amended regulations, the nature of regulatory provisions, operational complexity and capacity, and domestic and international commitments and obligations. In 2010–2011, the National Enforcement Plan priorities included the following CEPA 1999 instruments:

• PCB Regulations;
• Federal Halocarbon Regulations, 2003;
• Tetrachloroethylene (Use in Dry Cleaning and Reporting Requirements) Regulations; and
• Storage Tank Systems for Petroleum Products and Allied Petroleum Products Regulations.

The number of inspections carried out under the enforcement plan is supplemented by a large number of inspections resulting from responses to spills, complaints, intelligence, or other information. In addition, a number of regulations are identified for regional enforcement focus.

The focus placed on regulations in each region is influenced by a number of factors, including geography, the prevalence of the regulated sectors, and provincial and territorial environmental sensitivities.

Table 14 summarizes the inspections, investigations and enforcement measures undertaken in 2010–2011.

Explanatory Notes:

* Includes activities related to enforceable provisions of CEPA 1999.

• Inspections: Only closed files using the end date are tabulated. The number of inspections relates to the number of regulatees inspected for compliance under each of the applicable regulations.
• Investigations: Investigations are tabulated by number of investigations files, based on the end date of the investigation. An investigation file may include activities relating also to other legislation and may include one or more regulations. Therefore, the total number of investigations shown by regulation may not add to the total at the legislative level.
• Tickets, written warnings, written directions, injunctions, ministerial orders and Environmental Protection Compliance Orders (EPCOs) are tabulated at the section level of a regulation. For example, if the outcome of an inspection is the issuance of a written warning that relates to three sections of a given regulation, the number of written warnings is three.
• EPAMs: The number of EPAMs is represented by the number of regulatees who signed EPAMs by the charge date, regardless of the number of regulations involved.
• Prosecutions: the number of prosecutions is represented by the number of subjects prosecuted, where the charged date falls within the reporting period (i.e. this is the number of prosecutions launched, not the number of prosecutions concluded in the reporting year).
• Charges: The number of charges (excluding tickets) is tabulated at the section level of the regulation by the charge date, by regulatee.
• Counts: The number of counts (excluding tickets) is tabulated at the section level of the regulation, by the offence date relating to the regulatee's charge.
• Convictions: the number of convictions by section (excluding tickets), where the end date of the relevant file falls within the reporting period (i.e. one regulatee could be convicted multiple times).

Environmental Protection Compliance Orders (EPCOs) are an enforcement response that may be issued to put an immediate stop to a CEPA violation, prevent a violation from occurring, or require action to be taken to correct a violation, without the use of the court system.

In 2010–2011, 42 EPCOs were issued: 19 to dry cleaners for alleged violations of the Tetrachloroethylene (Use in Dry Cleaning and Reporting Requirements) Regulations, 8 to owners or operators subject to the Storage Tank Systems for Petroleum Products and Allied Petroleum Products Regulations, and 15 for alleged violations of various other regulations.

Environmental Protection Alternative Measures (EPAMs) are an alternative to court prosecution for a violation of CEPA 1999, which divert the accused away from the court process after a charge is laid. If an EPAM agreement is successfully negotiated, it is filed with the court to become a public document. The agreement must also appear in the CEPA Environmental Registry.

In 2010–2011, following an investigation conducted by Environment Canada, a Montréal, Quebec, company and its president accepted responsibility for the illegal importation of approximately 120 000 kg of chlorodifluoromethane (HFCF-22), a regulated gas used in the refrigeration industry. The company and the president were charged with four counts of illegal importation of HFCF-22 in contravention of the Ozone-depleting Substances Regulations, 1998. Following consultation with Environment Canada, legal counsel representing the Attorney General of Canada negotiated an EPAM with the accused. Among its provisions, the alternative measures imposed by the agreement provide consent to forfeit to Her Majesty in right of Canada the 5315 cylinders of HFCF-22 seized (of which the market value is estimated at more than $1 million), the production and publication of an article about the case and the terms of the Agreement in a specialized magazine and on the company's website, and a voluntary payment of $4,500 to the Environmental Damages Fund.

Key prosecutions and court cases in 2010–2011 included the following:

On July 20, 2010, a Fogo, Newfoundland and Labrador, company pleaded guilty to charges of improperly loading fish waste onto a vessel for the purpose of disposal at sea. The company was ordered to pay a $2,500 penalty for disposal at sea violations.The court ordered that $2,000 of the penalty be directed to the Environmental Damages Fund and $500 be paid to the court as a fine.

On July 26, 2010, an Edmonton, Alberta, dry cleaning company pleaded guilty to one count under the Tetrachloroethylene (Use in Dry Cleaning and Reporting Requirements) Regulations. The company was fined $10,000 for not storing perchloroethylene (perc) waste in closed containers and for not having tetrachloroethylene-impermeable floor drain plugs readily available in the event of a spill. The Environmental Damages Fund will receive $9,500 of the fine.

On August 9, 2010, a Watrous, Saskatchewan, dry cleaning company pleaded guilty to two counts under the Tetrachloroethylene (Use in Dry Cleaning and Reporting Requirements) Regulations and one count under CEPA 1999.The company was sentenced to penalties totaling $1,650 for not having proper secondary containment, for not completing an annual report, and for failing to comply with an Environmental Protection Compliance Order. The Environmental Damages Fund is to receive $950 of the penalty amount.

On January 27, 2011, a Halifax, Nova Scotia company pleaded guilty to charges of exporting electronic waste to Hong Kong--a violation of the Export and Import of Hazardous Waste and Hazardous Recyclable Material Regulations. The court ordered a payment of $9,500 to the Environmental Damages Fund for use in Nova Scotia. A fine of $500 will be paid to the court.

On January 28, 2011, a Toronto, Ontario, company pleaded guilty and was fined $18,000 for violations under the Export and Import of Hazardous Waste and Hazardous Recyclable Material Regulations and $12,000 for violating the Transportation of Dangerous Goods Act, 1992. Of this, $18,000 will be directed to the Environmental Damages Fund, $10,000 to the Technical Research and Development Fund, and $2,000 to the Receiver General of Canada and credited to the Consolidated Revenue Fund.

On February 23, 2011, a Red Deer, Alberta, dry cleaning company pleaded guilty to one count of having open containers of waste perc, a violation of the Tetrachloroethylene (Use in Dry Cleaning and Reporting Requirements) Regulations made pursuant to CEPA 1999. The owner of the company also pleaded guilty to one count of providing false information to an enforcement officer under the Act. The company was ordered to pay $600 with an additional penalty of $5,400 to be paid to the Environmental Damages Fund. The owner was personally ordered to pay $250 and an additional penalty of $2,250 to the Environmental Damages Fund. Both penalties are for the specific purpose of environmental work in Alberta.

On March 14, 2011, an owner of an Estevan, Saskatchewan, company pleaded guilty to five charges and was fined $9,000 for exporting waste oil to the United States without a permit. Four counts were laid for contraventions of the Export and Import of Hazardous Waste and Hazardous Recyclable Material Regulations and one for a contravention of CEPA 1999.The penalty consisted of a $4,000 fine, and the remaining $5,000 will go to the Environmental Damages Fund.

Enforcement-related activities are carried out under various international and domestic agreements and organizations. Under the auspices of the Commission for Environmental Cooperation's Enforcement Working Group (EWG), Environment Canada participates in several enforcement-focused projects with the United States and Mexico. In 2010–2011, the EWG developed a five-year strategic vision and a two-year implementation plan aimed at enhancing operational cooperation among the three countries. The three countries committed to working together to develop and implement a regional approach to intelligence-led enforcement with a specific focus on preventing the illegal movements of electronic waste, non-compliant imports, ozone-depleting substances, and hazardous waste. The expected outcome over the next five years will be enhanced and more effective environmental compliance and enforcement, both domestically and as a region.

Environment Canada also actively participates in Interpol's Environmental Crimes working groups, which are focused on issues such as developing institutional forensic capacity and stopping the illegal movement of electronic waste. As well, the Department's Enforcement Branch participates in border blitzes with organizations such as Interpol and the International Network for Environmental Compliance and Enforcement. For example, in 2010 the Enforcement Branch participated in two international border blitzes targeting the illegal movement of hazardous waste and electronic waste. During the border blitzes Environment Canada worked in cooperation with the Canada Border Services Agency and the Province of Ontario.