1. Introduction

• 1.1 Policy Background
• 1.2 Marine engines and recreational vehicles in Canada
• 1.3 Planned regulatory program

This document describes the proposed content of a regulation to control emissions from

• outboard engines,
• personal watercraft engines,
• snowmobiles,
• off-highway motorcycles,
• all-terrain vehicles, and
• utility vehicles.

The intent of this document is to solicit comments from stakeholders in preparation for the formal proposal of the regulations in Part I of the Canada Gazette.

In February 2001, the Minister of the Environment released the Federal Agenda on Cleaner Vehicles, Engines and Fuels ¹ presenting a series of integrated measures to accelerate action to improve air quality. The Agenda includes the following statements:

The U.S. Environmental Protection Agency (EPA) program to control exhaust emissions from marine spark-ignition engines² applies to outboard and personal watercraft engines and has been in effect in the U.S. since model year 1998 with emission standards becoming increasingly more stringent until model year 2006. The U.S. program includes a mandatory emission averaging program.

In November 2002, the EPA finalized a rule to control emissions from snowmobiles, off-highway motorcycles and all-terrain vehicles³. This rule includes full implementation of exhaust emission standards by model year 2007 with a phase-in period during model year 2006. Evaporative permeation emission standards come into effect in model year 2008. There is an optional emission credit program with separate averaging for snowmobiles, all-terrain vehicles and off-highway motorcycles.

As part of the Federal Agenda on Cleaner Vehicles, Engines and Fuels, Environment Canada has finalized, under the authority of Division 5 of the Canadian Environmental Protection Act, 1999 (CEPA 1999)⁴, the On-Road Vehicle and Engine Emission Regulations⁵ and the Off-Road Small Spark-Ignition Engine Emission Regulations⁶. The Off-Road Compression-Ignition Engine Emission Regulations were proposed in May 2004⁷.

The majority of marine engines and recreational vehicles sold in Canada are imported. There is one major Canadian manufacturer⁸ active in this area. Statistics Canada data show that nine importers accounted for nearly 98% of the value of outboard engines, personal watercrafts, snowmobiles, and all-terrain vehicles imported in 2003⁹. Six of these companies imported both land-based and water-based recreational products.

Preliminary discussions with industry revealed that manufacturers consider North-America as a single market for recreational vehicles and marine engines with essentially identical products being sold on both sides of the borders. The only known case of a recreational vehicle offered for sale in Canada without it being offered for sale in the U.S. is a low-power utility snowmobile.

There exist differences in sales mix between Canada and the U.S. For example, even though the same outboard engines are offered for sale in both countries, proportionally more low-power engines are sold in Canada than in the U.S. About two-thirds of the outboard engines sold in Canada are rated below 40 kW while in the U.S. slightly less than one-third of outboards sold are in this power range.

The EPA certification database for outboard and personal watercraft engines reveals that 80 of the 161 engine families of the 2003 model year were certified above the applicable standard. About three quarters of the manufacturers are certifying at least one engine family above the standard and, therefore must rely on emission averaging to meet the requirements of the U.S. rule.

After considering that many manufacturers are producing both marine spark-ignition engines and recreational vehicles, Environment Canada has decided to combine engine emission standards for these two applications in a single regulatory package. The planned regulations will be modeled on existing regulations under Division 5 of CEPA 1999 and will incorporate by reference the applicable U.S. EPA regulatory standards.

Environment Canada also decided to include emission averaging provisions in the planned regulations.

¹ Federal Agenda on Cleaner Vehicles, Engines and Fuels (PDF 1.4 MB)

² Control of Emissions from Marine Spark-Ignition Engines in the U.S. Code of Federal Regulations

³ Control of Emissions from Recreational Engines and Vehicles in the U.S. Code of Federal Regulations

⁴ Canadian Environmental Protection Act, 1999

⁵ Information about the Regulations can be retrieved at https://pollution-waste.canada.ca/environmental-protection-registry/regulations/view?Id=46

⁶ Information about the Regulations can be retrieved at https://pollution-waste.canada.ca/environmental-protection-registry/regulations/view?Id=61

⁷ Information about the proposed Regulations can be retrieved at https://pollution-waste.canada.ca/environmental-protection-registry/regulations/view?Id=68

⁸ Bombardier Recreational Products manufactures snowmobiles, all-terrain vehicles and personal watercrafts in Canada and outboards in the U.S.

⁹ Importation data for off- and on-highway motorcycles cannot be separated.