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June 16, 2010

Canada following U.S. on emission regulations

Ottawa plans to meet with heavy-duty trucking industry to develop rules

The federal government’s goal of reducing new heavy-duty vehicle greenhouse gas emissions in alignment with the United States is to be expected, said a Canadian Construction Association official.

“With regard to off-road vehicles we live in a North American market,” noted Bill Ferreira, director of government relations and public affairs at CCA.

“North American vehicle manufacturers are no longer manufacturing separate vehicles for the Canadian and American markets.”

Environment Canada will develop the proposed regulations under the Canadian Environmental Protection Act.

Ottawa plans to meet with the heavy-duty trucking industry, including manufacturers and users, to develop these regulations.

A consultation draft of the regulations is expected to be available for comment from industry, stakeholders and the public in the fall of 2010. The final regulations will be implemented between the 2014 and 2018 model year.

“Canada and the United States had great success in establishing common standards for regulating greenhouse gas emissions from passenger automobiles and light trucks,” said Jim Prentice, Canada’s environment minister.

Canada’s transportation sector accounts for about a quarter of GHG emissions, according to Environment Canada. Heavy-duty vehicles account for about six per cent of total GHG emissions nationally.

The CCA has pressed the federal government in the past for an accelerated capital cost allowance that would give construction firms the ability to renew their older equipment more quickly, and replace it with more energy-efficient equipment. The government’s plan to reduce GHG emissions from new heavy-duty vehicles could assist with the association’s continued call for the allowance, added Ferreira.

“We have had no indication from the government that they are currently entertaining the allowance but we will continue to pursue it since it is important,” said Ferreira. “There will be some cost to our members associated with the introduction of these new regulations, such as higher fuel prices.”

Canadian construction reduced its energy consumption and carbon dioxide emissions over the last 17 years, a scientific review found last year.

Between 1990 and 2008, the industry’s energy consumption and CO2 emissions decreased by nine per cent and eight-and-a-half per cent respectively, the Canadian Industrial Energy End-use Data and Analysis Centre at Simon Fraser University found in its review.

Construction has been moving away from light and heavy oils towards natural gas over that time period as diesel use remained relatively constant at 60 per cent of its total energy consumption.

The review’s findings were of interest to industry stakeholders who all pointed out that construction equipment fleets are starting to see more energy efficiency, especially with newer diesel engines.

Interestingly, Caterpillar Inc. recently reported that its purchase of Electro-Motive Diesel Inc., a railroad locomotive builder, will enhance its development of electric-drive construction and mining equipment.

Electro-Motive’s locomotives are powered by diesel engines that generate electricity for motors which then provide the turning-power for a locomotive’s wheels.

This combination enables a locomotive to generate pulling power at low speeds without the use of a transmission, improving efficiency and fuel consumption.

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