Excise Act, 2001 - Excise Duty Notices

May 2006

EDN12 - Regulations Amending the Denatured and Specially Denatured Alcohol Regulations

The Regulations Amending the Denatured and Specially Denatured Alcohol Regulations (the Amending Regulations) were approved by the Governor General in Council and have been published in the May 31, 2006 edition of Part II of the Canada Gazette. They may be viewed at http://canadagazette.gc.ca/partII/2006/20060531/html/sor103-e.html.

The Amending Regulations are effective as of February 24, 2005, the day following the publication of Excise Duty Notice EDN6, as indicated when the amendments were pre-published in Part I of the Canada Gazette on October 8, 2005.

The Amending Regulations change the descriptions of gasoline, diesel fuel, and petroleum derivative, contained in the Table appended to the Denatured and Specially Denatured Alcohol Regulations. The grades of denatured alcohols affected by these changes are DA-2F, in which gasoline is the denaturant, DA-2G (diesel fuel), and DA-2C (petroleum derivative). The changes will be of specific interest to producers and importers of fuel-denatured ethyl alcohol. Complete details are included in the Regulatory Impact Analysis Statement for the Amending Regulations.

The new descriptions of gasoline and diesel fuel are largely based on the existing definitions of those terms, as found in the Sulphur in Gasoline Regulations, Benzene in Gasoline Regulations, and the Sulphur in Diesel Fuel Regulations, made pursuant to the Canadian Environmental Protection Act. They replace definitions that previously incorporated various standards set by the Canadian General Standards Board (CGSB). Those standards rendered the former descriptions in the Denatured and Specially Denatured Alcohol Regulations less transparent, and the standards were also subject to changes from time to time.

A minor change to the description of petroleum derivative now references the vapour pressure characteristics of the lighter distillate that are recognized by three well-accepted test methods of the American Society for Testing and Materials.

Inquiries and comments regarding this notice should be directed to Mr. Preston Gallant - Manager, Excise Duty Operations - Alcohol at (613) 952-0178 or to Mr. Steve Mosher at (613) 941-1497.