Definitions

1   In this regulation:

"Act" means the Zero-Emission Vehicles Act;

"battery electric vehicle" or "BEV" means a zero-emission vehicle that is propelled solely by an electric motor that is powered solely by a battery that is charged solely by an external electricity source;

"extended range electric vehicle" or "EREV" means a zero-emission vehicle with

(a) a battery that can be charged by an external electricity source,

(b) drive wheels that are propelled solely by an electric motor, and

(c) an on-board internal combustion engine that is used solely as a generator to charge the battery;

"fuel cell electric vehicle" or "FCEV" means a zero-emission vehicle that is propelled solely by an electric motor that is powered solely by a hydrogen fuel cell;

"gross vehicle weight rating" has the same meaning as in section 6 of the Act;

"plug-in hybrid electric vehicle" or "PHEV" means a zero-emission vehicle that

(a) has a battery that is capable of being charged by an external electricity source,

(b) can be propelled solely by an electric motor that is powered by a battery, and

(c) is not a BEV;

"range" means the all-electric driving range, in kilometres, of a zero-emission vehicle, as determined in accordance with section 4.1 of this regulation;

"reportable motor vehicle" means a motor vehicle in the class of motor vehicles prescribed by section 5 of this regulation;

"ZEV Class A vehicle" means a zero-emission vehicle in the class of zero-emission vehicles prescribed by section 6 (a) of this regulation;

"ZEV Class B vehicle" means a zero-emission vehicle in the class of zero-emission vehicles prescribed by section 6 (b) of this regulation;

"ZEV Class C vehicle" means a zero-emission vehicle in the class of zero-emission vehicles prescribed by section 6 (c) of this regulation.

[en. B.C. Reg. 202/2024, Sch. 2, s. 1.]

Compliance date

2   For the purposes of the definition of "compliance date" in section 1 [definitions] of the Act, the prescribed date is September 30.

Definition of model year

3   For the purposes of paragraph (a) of the definition of "model year" in section 1 [definitions] of the Act, a model year, in relation to a motor vehicle, has the same meaning as in the On-Road Vehicle and Engine Emission Regulations (Canada).

Definition of motor vehicle

4   (1) In this section:

"all-terrain vehicle" has the same meaning as in section 1 of the Off-Road Vehicle Regulation;

"golf cart" has the same meaning as in section 1 of the Motor Vehicle Act;

"implement of husbandry" has the same meaning as in section 1 of the Motor Vehicle Act;

"industrial utility vehicle" has the same meaning as in section 1 of the Motor Vehicle Act;

"motorcycle" has the same meaning as in section 1 of the Motor Vehicle Act;

"neighbourhood zero-emission vehicle" has the same meaning as "neighbourhood zero emission vehicle" in section 1 of the Motor Vehicle Act Regulations;

"off-road side-by-side vehicle" has the same meaning as in section 1 of the Off-Road Vehicle Regulation;

"snowmobile" has the same meaning as in section 1 of the Off-Road Vehicle Regulation.

(2) For the purposes of the definition of "motor vehicle" in section 1 [definitions] of the Act, the following classes of vehicles are prescribed:

(a) all-terrain vehicles;

(b) golf carts;

(c) implements of husbandry;

(d) industrial utility vehicles;

(e) motorcycles;

(f) neighbourhood zero-emission vehicles;

(g) off-road side-by-side vehicles;

(h) snowmobiles.

Determining range of zero-emission vehicles

4.1   (1) Subject to subsection (2), for the purposes of this regulation, the range of a zero-emission vehicle is to be determined

(a) in accordance with the 5-cycle test procedure set out by the United States Environmental Protection Agency in the Code of Federal Regulations, Title 40, Chapter I, Subchapter Q, Part 600, Subparts B and C, as amended from time to time, or

(b) by calculating the derived 5-cycle value in accordance with the method set out by the United States Environmental Protection Agency in the Code of Federal Regulations, Title 40, Chapter I, Subchapter Q, Part 600, Subpart D, section 600.311-12, paragraph (j).

(2) The range of a zero-emission vehicle with a gross vehicle weight rating of more than 3 856 kg may be determined using a method other than the method described in subsection (1) if

(a) the method accounts for, at a minimum, urban and highway driving conditions, and

(b) the director is satisfied that the method is accurate.

[en. B.C. Reg. 202/2024, Sch. 2, s. 2.]

Prescribed vehicle class

5   (1) For the purposes of paragraph (a) of the definition of "vehicle class" in section 1 of the Act, the reportable motor vehicle class is prescribed as a class of motor vehicles.

(2) The following motor vehicles are in the reportable motor vehicle class:

(a) motor vehicles of the model year 2023 or an earlier model year that have a gross vehicle weight rating of no more than 3 856 kg;

(b) subject to subsection (3), motor vehicles of the model year 2024 or a later model year that have a gross vehicle weight rating of no more than 4 536 kg.

(3) For the purposes of the variable "NV" in section 11 (1) and (2) of the Act, the reportable motor vehicle class excludes motor vehicles that

(a) have a gross vehicle weight rating of more than 3 856 kg, and

(b) were supplied before October 1, 2024.

[en. B.C. Reg. 202/2024, Sch. 2, s. 3.]

Prescribed classes of zero-emission vehicles

6   The following classes of zero-emission vehicles are prescribed for the purposes of paragraph (a) of the definition of "ZEV class" in section 1 of the Act:

(a) ZEV Class A;

(b) ZEV Class B;

(c) ZEV Class C.

[en. B.C. Reg. 202/2024, Sch. 2, s. 4.]

ZEV Class A vehicles

6.1   The following zero-emission vehicles are in ZEV Class A:

(a) zero-emission vehicles of the model year 2025 or an earlier model year that are

(i) BEVs with a range of at least 80.47 km,

(ii) EREVs with a range of at least 121 km, or

(iii) FCEVs with a range of at least 80.47 km;

(b) zero-emission vehicles of the model year 2026 or a later model year that are

(i) BEVs with a range of at least 241 km, or

(ii) FCEVs with a range of at least 241 km.

[en. B.C. Reg. 202/2024, Sch. 2, s. 4.]

ZEV Class B vehicles

6.2   The following zero-emission vehicles are in ZEV Class B:

(a) zero-emission vehicles of the model year 2025 or an earlier model year that are

(i) EREVs with a range of at least 16 km and less than 121 km, or

(ii) PHEVs with a range of at least 16 km;

(b) zero-emission vehicles of the model year 2026 or a later model year that are

(i) EREVs with a range of at least 80 km, or

(ii) PHEVs with a range of at least

(A) 55 km, in the case of a PHEV of the model year 2026,

(B) 65 km, in the case of a PHEV of the model year 2027, or

(C) 80 km, in the case of a PHEV of the model year 2028 or a later model year.

[en. B.C. Reg. 202/2024, Sch. 2, s. 4.]

ZEV Class C vehicles

6.3   The following zero-emission vehicles are in ZEV Class C:

(a) zero-emission vehicles of the model year 2025 or an earlier model year that are

(i) BEVs with a range of less than 80.47 km,

(ii) EREVs with a range of less than 16 km,

(iii) FCEVs with a range of less than 80.47 km, or

(iv) PHEVs with a range of less than 16 km;

(b) zero-emission vehicles of the model year 2026 or a later model year that are

(i) BEVs with a range of less than 241 km,

(ii) EREVs with a range of less than 80 km,

(iii) FCEVs with a range of less than 241 km, or

(iv) PHEVs with a range of less than

(A) 55 km, in the case of a PHEV of the model year 2026,

(B) 65 km, in the case of a PHEV of the model year 2027, or

(C) 80 km, in the case of a PHEV of the model year 2028 or a later model year.

[en. B.C. Reg. 202/2024, Sch. 2, s. 4.]

Repealed

7   Repealed. [B.C. Reg. 202/2024, Sch. 1, s. 2.]

Classes of suppliers

8   (1) In this section, "average supply volume" means, in relation to a supplier and a reported model year,

(a) in the case of a supplier who, for each of the 3 model years immediately preceding the reported model year, supplied new motor vehicles in the reportable motor vehicle class, the number determined by dividing the total number of those vehicles by 3, or

(b) in any other case, the number of new reportable motor vehicles of the reported model year supplied by the supplier before the compliance date for the reported model year.

(1.1) Despite subsection (1), in determining the average supply volume of a supplier, motor vehicles supplied before October 1, 2024 that have a gross vehicle weight rating of more than 3 856 kg are not to be counted.

(2) The following classes of suppliers are established for the purposes of the Act:

(a) small volume supplier;

(b) medium volume supplier;

(c) large volume supplier.

(3) A supplier is a supplier in a class set out in Column 1 of the following table for a reported model year if the average supply volume of the supplier for the reported model year is as set out in Column 2 of the table opposite the class.

[am. B.C. Reg. 202/2024, Sch. 2, s. 5.]

Prescribed class of suppliers

9   The small volume supplier class is a prescribed class of suppliers for the purposes of section 5 (1) [application — prescribed class of suppliers] of the Act.

Balance of ZEV units — special target for
large and medium volume suppliers

10   For the purposes of section 10 (2) (b) [supply of ZEVs — special targets] of the Act,

(a) the reportable motor vehicle class is prescribed as a vehicle class in relation to

(i) large volume suppliers, and

(ii) medium volume suppliers for the model year 2026 and later model years, and

(b) ZEV Class A is prescribed as a ZEV class in relation to

(i) large volume suppliers, and

(ii) medium volume suppliers for the model year 2026 and later model years.

[en. B.C. Reg. 202/2024, Sch. 2, s. 6.]

Compliance ratio — no specified ZEV class

11   For the purposes of section 11 (1) [compliance ratio reduction — ratio does not specify ZEV class] of the Act, the compliance ratio set out opposite a model year in the following table is prescribed for the model year and the reportable motor vehicle class:

[en. B.C. Reg. 202/2024, Sch. 2, s. 6.]

Compliance ratio — ZEV Class A

12   For the purposes of section 11 (2) [compliance ratio reduction — ratio specifies ZEV class] of the Act, the compliance ratio set out opposite a model year in the following table is prescribed for the model year and the reportable motor vehicle class:

[en. B.C. Reg. 202/2024, Sch. 2, s. 6.]

Application for credits for supply of ZEVs

13   (1) For the purposes of section 13 (2) [issuance of credits — supply] of the Act, an application for the issuance of credits must be submitted in the form and manner required by the director and include the following:

(a) the legal name of the supplier;

(b) the vehicle makes for which the supplier is the supplier;

(c) the address for service of the supplier;

(d) the address where the supplier keeps records required to be kept and maintained under the Act;

(e) the number, by ZEV class, of credits claimed by the supplier in relation to the supply of zero-emission vehicles;

(f) the following information about the zero-emission vehicles referred to in paragraph (e):

(i) the number of zero-emission vehicles of each vehicle make referred to in paragraph (b) and each ZEV class;

(ii) the vehicle model, vehicle identification number, model year and range of each zero-emission vehicle;

(iii) whether each zero-emission vehicle is a BEV, EREV, FCEV or PHEV.

(2) For the purposes of section 13 (2) [issuance of credits — supply] of the Act, the prescribed period of time begins on January 2, 2018 and ends on the date the application is submitted.

[am. B.C. Reg. 202/2024, Sch. 2, s. 7.]

Supply of ZEVs — issuance of credits before October 1, 2026

14   (1) In this section, "US06 range" means the all-electric driving range, in kilometres, of a zero-emission vehicle, determined in accordance with the method described in section G.7.3 of the document produced by the California Air Resources Board and entitled "California Exhaust Emission Standards and Test Procedures for 2018 through 2025 Model Year Zero-Emission Vehicles and Hybrid Electric Vehicles, in the Passenger Car, Light-Duty Truck and Medium-Duty Vehicle Classes".

(2) This section applies to an issuance of credits by the director that takes effect before October 1, 2026.

(3) The number of credits that the director may, in relation to the supply of each new ZEV Class A vehicle, issue under section 13 (1) of the Act is the lesser of 4 and the number determined by applying the following formula:

(4) Subject to subsection (5), the number of credits that the director may, in relation to the supply of each new ZEV Class B vehicle, issue under section 13 (1) of the Act is determined as follows:

(a) if the US06 range of the vehicle is less than 16 km or is unknown, by applying the following formula:

(b) if the US06 range of the vehicle is at least 16 km, by adding 0.20 to the number determined by applying the formula set out in paragraph (a).

(5) The number of credits issued in relation to the supply of a ZEV Class B vehicle must not exceed the following amounts:

(a) 1.10, in the case of a vehicle described in subsection (4) (a);

(b) 1.30, in the case of a vehicle described in subsection (4) (b).

(6) The number of credits determined in accordance with this section must be rounded to the second decimal place.

[en. B.C. Reg. 202/2024, Sch. 2, s. 8.]

Supply of ZEVs — issuance of credits on
or after October 1, 2026

14.1   (1) This section applies to an issuance of credits by the director that takes effect on or after October 1, 2026, regardless of whether a supplier applied for the credits under section 13 (1) (a) of the Act before October 1, 2026.

(2) The number of credits that the director may, in relation to the supply of each new ZEV Class A or ZEV Class B vehicle, issue under section 13 (1) of the Act is one.

[en. B.C. Reg. 202/2024, Sch. 2, s. 8.]

No issuance of credits for supply of certain ZEVs

14.2   The director may not issue credits in relation to the supply of

(a) ZEV Class C vehicles, or

(b) zero-emission vehicles of a model year that precedes the model year 2019.

[en. B.C. Reg. 202/2024, Sch. 2, s. 8.]

Issuance of credits under initiative agreement

15   (1) In this section:

"affiliate" has the same meaning as in the Business Corporations Act;

"carsharing organization" means a corporation that uses an online platform to make motor vehicles available solely to members for hire or rental, without a driver, by the minute, hour or otherwise, for a period of less than one month;

"member" means,

(a) in relation to a carsharing organization that is an association as defined in the Cooperative Association Act or a society as defined in the Societies Act, a member, within the meaning of those Acts, of the association or society, or

(b) in relation to any other carsharing organization, a person who has purchased a membership entitling the person to access carsharing services offered by the carsharing organization;

"used ZEV" means a zero-emission vehicle that

(a) has been the subject of a consumer sale in any jurisdiction outside British Columbia, and

(b) has not been the subject of a consumer sale in British Columbia.

(2) In deciding whether to enter into an agreement with a supplier under section 14 (2) [issuance of credits — initiative agreements] of the Act, the director must consider any evidence provided by the supplier that, having acted diligently to meet the requirements of section 10 (2) [supply of ZEVs] of the Act, the supplier is not able to do so without an agreement.

(3) The director may only enter into an agreement under section 14 (2) of the Act with a supplier in respect of the following actions:

(a) the consumer sale in British Columbia of used ZEVs of the following types and ranges:

(i) BEVs with a range of at least 80.47 km;

(ii) EREVs with a range of at least 16 km;

(iii) FCEVs with a range of at least 80.47 km;

(iv) PHEVs with a range of at least 16 km;

(b) the consumer sale in British Columbia of zero-emission vehicles that are not reportable motor vehicles;

(c) the consumer sale in British Columbia of new zero-emission vehicles to a carsharing organization, other than a carsharing organization that is an affiliate of the supplier, at a discount of at least 25% as compared to the manufacturer's suggested retail price for the zero-emission vehicles.

(4) The director must not issue to a supplier, pursuant to an agreement under section 14 (2) of the Act,

(a) for the model year 2020, a number of credits that exceeds 5% of the total of the numbers of ZEV units determined for that supplier in accordance with section 11 (1) and (2) of the Act, for that model year, and

(b) for all other model years, a number of credits that exceeds 5% of the total of the numbers of ZEV units determined for that supplier in accordance with section 11 (1) and (2) of the Act, for the previous model year.

[am. B.C. Reg. 202/2024, Sch. 2, s. 9.]

Issuance of credits under purchase agreement

16   (1) The director must not enter into an agreement with a supplier under section 15 (2) [issuance of credits — purchase agreements] of the Act unless the director is satisfied that the supplier, having acted diligently to meet the requirements of section 10 (2) [supply of ZEVs] of the Act, is not able to do so without an agreement.

(2) For the purposes of section 15 (2) of the Act, the prescribed price per credit is the amount determined by multiplying

(a) the automatic penalty rate prescribed in section 17 (2) of this regulation for the model year with the most recent compliance date at the time the agreement is entered into, and

(b) 110%.

[am. B.C. Reg. 202/2024, Sch. 2, s. 10.]

Reduction of supplier balances

16.01   For the purposes of section 16.1 [reduction of supplier balances] of the Act,

(a) the prescribed model year is the model year 2025, and

(b) the prescribed number is 3.5.

[en. B.C. Reg. 202/2024, Sch. 2, s. 11.]

Model year report

16.1   (1) For the purposes of section 17 (2) [model year report] of the Act, the prescribed number of days after the compliance date within which a supplier must submit a model year report to the director is 20.

(2) For the purposes of section 17 (3) (f) of the Act, the prescribed information is the information required to determine the supplier's average supply volume, as defined in section 8 of this regulation, in relation to the reported model year.

(3) For the purposes of section 17 (4) (c) of the Act, the following information is prescribed in relation to each zero-emission vehicle supplied:

(a) whether the zero-emission vehicle is a BEV, EREV, FCEV or PHEV;

(b) the range of the zero-emission vehicle.

[en. B.C. Reg. 196/2020, Sch. 2, s. 1; am. B.C. Reg. 202/2024, Sch. 2, s. 12.]

Supplementary report

16.2   For the purposes of section 18 (2) [supplementary report] of the Act, a supplier who submits a supplementary report must submit it in the same form and manner as that required by the director for the purposes of section 17 (2) [model year report] of the Act.

[en. B.C. Reg. 196/2020, Sch. 2, s. 1.]

Forecast report

16.3   For the purposes of section 18.1 (1) [forecast report] of the Act, the following information is prescribed in relation to each of the 3 model years following the reported model year:

(a) for each vehicle make for which a supplier is the supplier, the number of new zero-emission vehicles of the reportable motor vehicle class, by ZEV class and vehicle model, that are anticipated to be supplied by the supplier;

(b) for each zero-emission vehicle referred to in paragraph (a),

(i) whether the zero-emission vehicle is anticipated to be a BEV, EREV, FCEV or PHEV, and

(ii) the anticipated range and interior volume, expressed in cubic feet;

(c) the number of new reportable motor vehicles, other than zero-emission vehicles, that are anticipated to be supplied by the supplier.

[en. B.C. Reg. 202/2024, Sch. 2, s. 13.]

Automatic administrative penalty rate

17   (1) In this section, "annual percentage change" means the annual percentage change in the annual average All-items Consumer Price Index for British Columbia, as published by Statistics Canada under the authority of the Statistics Act (Canada).

(2) For the purposes of section 26 [automatic administrative penalties] of the Act, the prescribed penalty rate is as follows for all vehicle classes and ZEV classes:

(a) for the model year 2025 and earlier model years, $5 000;

(b) for the model year 2026, $20 000;

(c) for the model year 2027 and later model years, the amount calculated by multiplying

(i) the penalty rate for the immediately preceding model year, and

(ii) the sum of

(A) one, and

(B) the annual percentage change for the calendar year immediately preceding the calendar year in which the compliance date for the model year occurs.

[en. B.C. Reg. 202/2024, Sch. 2, s. 14.]

Discretionary administrative penalties

18   (1) A person who has contravened the following provisions of the Act is liable to an administrative penalty under section 27 [discretionary administrative penalties] of the Act not exceeding $100 000:

(a) section 17 (2) [model year report];

(b) section 18 (1) [supplementary report];

(c) section 22 [information requests];

(d) section 23 (2) [audits];

(e) section 25 (3) [inspections].

(2) A person who has provided information that is incomplete or inaccurate

(a) in a model year report,

(b) in a supplementary report,

(c) in response to a request made under section 22 of the Act, or

(d) for the purpose of entering into an initiative agreement or in a record the person is required under an initiative agreement to provide to the director

is liable to an administrative penalty under section 27 of the Act not exceeding $100 000.

(3) A person who has not complied with section 24 [record-keeping requirements] of the Act is liable to an administrative penalty under section 27 of the Act not exceeding $10 000.

[am. B.C. Regs. 196/2020, Sch. 2, ss. 2 and 3; 202/2024, Sch. 1, s. 3.]

Notice of intent to impose administrative penalty

19   (1) Before sending a notice of administrative penalty to a person under section 23 [notice of administrative penalty], the director must serve the person with a notice of intent to impose an administrative penalty.

(2) A notice of intent to impose an administrative penalty must set out the following:

(a) the legal name of the person served with the notice;

(b) a summary description of the alleged contravention, including the provision of the Act the person is alleged to have contravened;

(c) the person's right to be provided with an opportunity to be heard under section 20 [opportunity to be heard];

(d) a preliminary assessment of the amount of administrative penalty that may be imposed.

(3) A notice of intent to impose an administrative penalty must not be served more than 3 years after the later of

(a) the date the alleged non-compliance to which the notice relates occurred, and

(b) the date evidence of the alleged non-compliance first came to the knowledge of the director.

Opportunity to be heard

20   (1) If a person who is served with a notice under section 19 [notice of intent to impose administrative penalty] requests, in writing, within 30 days after the date of service of the notice, an opportunity to be heard, the director must provide the person with an opportunity to be heard.

(2) If a person requests an opportunity to be heard in accordance with subsection (1), the director

(a) must conduct a written, electronic or oral hearing, or any combination of them, as the director considers appropriate, and

(b) may

(i) determine the circumstances and place in which, and the process by which, the hearing is to be conducted, and

(ii) specify the form and content of materials to be provided for the hearing and when the materials must be provided.

(3) If a person who requests an opportunity to be heard fails to appear or provide materials to the director in accordance with subsection (2), the director may proceed without further notice to serve the person with a notice of administrative penalty under section 23 [notice of administrative penalty].

(4) If, after providing a person an opportunity to be heard, the director decides not to impose an administrative penalty, the director must give the person written notice of that decision.

Defence of due diligence

21   The director may not serve a notice of administrative penalty on a person if the director is satisfied that the person exercised due diligence to prevent the non-compliance in respect of which an administrative penalty may be imposed.

Assessment of administrative penalty

22   (1) In determining the amount of an administrative penalty under section 27 [discretionary administrative penalties] of the Act, the director must consider the following matters, if applicable:

(a) the nature of the non-compliance;

(b) any previous non-compliance by, or administrative penalties imposed on

(i) the person who is the subject of the assessment,

(ii) if the person is an individual, a corporation for which the individual is or was a director, officer or agent, or

(iii) if the person is a corporation, an individual who is or was a director, officer or agent of the corporation;

(c) whether the non-compliance was continuous;

(d) whether the non-compliance was deliberate;

(e) the person's efforts to correct the non-compliance;

(f) the person's efforts to prevent recurrence of the non-compliance;

(g) any other matter the director considers relevant.

(2) If a non-compliance continues for more than one day, separate administrative penalties, each not exceeding the applicable maximum administrative penalty, may be imposed for each day the non-compliance continues.

Notice of administrative penalty

23   A notice of administrative penalty must set out the following:

(a) the legal name of the person served with the notice;

(b) the amount of the administrative penalty;

(c) the reasons for the decision;

(d) the date by which the administrative penalty must be paid;

(e) acceptable methods of payment;

(f) the address to which payment must be sent, if applicable;

(g) the person's option to admit, in writing, the non-compliance and its extent under section 28 (1) (a) [requirement to pay administrative penalties] of the Act;

(h) the person's right to an appeal under section 36 (2) [appeals to the Environmental Appeal Board] of the Act and the time limit for commencing an appeal.

Enforcement of administrative penalty

24   If all or a portion of an administrative penalty is not paid when it is due, the director may impose an additional penalty of up to 10% of the outstanding balance for each 14-day period that the outstanding balance remains unpaid.

Publication of names

25   (1) The director may publish, including by electronic means, all of the following information in respect of a supplier on whom an administrative penalty has been imposed under section 27 [discretionary administrative penalties] of the Act:

(a) the legal name of the supplier;

(b) the amount of the administrative penalty;

(c) the nature of the non-compliance, including the provision of the Act the supplier contravened.

(2) Publication under subsection (1) may not occur until the supplier is subject to the administrative penalty under section 28 [requirement to pay administrative penalties] of the Act.