Ethanol Fund Grant Regulation

Ethanol Fund Grant Regulation, M.R. 166/2007 The Biofuels Act , C.C.S.M. c. B40 Regulation 166/2007 Registered December 12, 2007 bilingual version (HTML) Table of Contents Section 1 Introductory provisions 2 Grants: pre-mandate period 3 Eligibility for grants: mandate period 4 Application 5 Amount of grant 6 Limit re grants 7 Overpayment 8 Records 9 Coming into force Introductory provisions 1(1) The following definitions apply in this regulation. "Act" means The Biofuels Act . (« Loi ») "eligible person" means a person who is eligible to receive a grant under section 3. (« personne admissible ») "fuel supplier" means a fuel supplier, as defined in the Act respecting the sale of denatured ethanol. (« fournisseur de carburant ») "import" means to import from outside of Manitoba. (« importer ») "qualifying litre" means a litre of denatured ethanol produced by manufacturing ethanol in Manitoba and blending it with a denaturant in Manitoba. (« litre admissible ») "quarter" means the consecutive three-month periods of January to March, April to June, July to September and October to December. (« trimestre ») "record" means information that (a) is recorded or stored by mechanical, electronic, magnetic, optical or any other means; and (b) is recorded or stored in understandable form or is capable of being produced or reproduced in understandable form. (« dossier et registre » ou « document ») "sold" includes a transfer and any other manner of disposition and "sale" has a corresponding meaning. (« vendu ») 1(2) For the purpose of this regulation, (a) the denaturant portion of denatured ethanol is deemed to be 2% by volume; (b) the specifications for gasohol are the specifications set out in the standards under section 4 of the Ethanol General Regulation ; and (c) the beginning of the first reporting period under section 3 of the Ethanol General Regulation is the beginning of the denatured ethanol sales mandate. PRE-MANDATE PERIOD Grants: pre-mandate period 2(1) For December 2007, the minister may approve a grant to be paid to a person who, in the month, and in December 2006, produced qualifying litres. 2(2) The amount of a grant approved under this section must not exceed the lesser of (a) the amount paid into the Ethanol Fund under subsection 6.4(3) of the Act; and (b) $0.25 per qualifying litre that the person produced in December 2007, and used to make gasohol that was made available for retail sale in Manitoba in December 2007. 2(3) A person eligible to receive a grant under this section may apply for the grant by submitting to the minister, on or before February 1, 2008, (a) the number of qualifying litres that the person produced in December 2007, and used to make gasohol that was made available for retail sale in Manitoba in December 2007; and (b) any other information required by the minister. MANDATE PERIOD Eligibility for grants: mandate period 3(1) To be eligible to receive a grant once the denatured ethanol sales mandate begins, a person must (a) be licensed under subsection 4(2) of the Act to produce qualifying litres; (b) have entered into an agreement with the minister under section 6.2 of the Act; and (c) have produced qualifying litres during the quarter to which the application relates. 3(2) A person ceases to be eligible to receive a grant if the minister, under subsection 5(1) of the Act, suspends or cancels the person's licence. Application 4(1) An eligible person may apply to the minister for a grant in respect of the qualifying litres described in paragraphs (2)⁠(b)⁠(ii)⁠(A) and (B). 4(2) A grant application must, in respect of the quarter to which the application relates, (a) be made to the minister within 60 days after the end of the quarter; and (b) be in a form approved by the minister setting out all the information stipulated by the form, including (i) the total number of qualifying litres produced by the eligible person in the quarter to which the grant application relates, (ii) the total number of qualifying litres produced by the eligible person that, during the quarter to which the grant application relates, the person (A) sold in Manitoba to a fuel supplier, (B) used to make gasohol that was made available for retail sale in Manitoba, or (C) sold for export. (iii) the total number of litres of denatured ethanol imported by the eligible person in the quarter, and (iv) the total number of litres of denatured ethanol acquired in the quarter from another person who manufactured it in Manitoba. Amount of grant 5(1) Subject to the limit in section 6, the minister may approve a grant to an eligible person in the amount calculated in accordance with the following formula: Grant = Rate × [(DE + G) × .98] In this formula: DE is the number of qualifying litres produced by the eligible person that, during the quarter to which the grant relates, the person sold in Manitoba to a fuel supplier; G is the number of qualifying litres produced by the eligible person that, during the quarter to which the grant relates, the person used to make gasohol that was made available for retail sale in Manitoba; Rate is (a) $0.20, if the grant relates to a quarter in 2008 or 2009; (b) $0.15, if the grant relates to a quarter in 2010, 2011 or 2012; and (c) $0.10, if the grant relates to a quarter in 2013, 2014 or 2015. 5(2) For certainty, no grant is payable in respect of any sales of qualifying litres made after December 31, 2015. Limit re grants 6(1) The amount of all grants approved by the minister in a year must not exceed the amount payable into the Ethanol Fund under section 6.4 of the Act in the corresponding year. 6(2) The prescribed percentage for the purpose of subclause (iii) under the description of L in the formula in subsection 6.4(2) of the Act is 8.5%. 6(3) If the minister is unable to approve a grant because of subsection (1), the minister must reduce the grants otherwise payable to each eligible person for that year on a pro rata basis, based on each person's share of the total denatured ethanol for which a grant may have otherwise been paid. Overpayment 7(1) If a grant has been provided to an eligible person in excess of the amount to which the person was entitled, the amount of the excess is an overpayment. 7(2) An overpayment is deemed to be a debt due to the government and may be recovered from the person who received it in any manner authorized by law. Records 8(1) An eligible person must keep records and books of account in such form and containing such information as will enable the accurate determination of compliance with this regulation, including, without limitation, (a) data and calculations of the volumes reported for the purposes of section 4; (b) dated metered-values, bills of lading, contracts, invoices, sales receipts, records of payment, records of transfers and records of production of ethanol and denatured ethanol; and (c) addresses and identifying information about fuel suppliers and other persons who purchased denatured ethanol from the eligible person. 8(2) A person required to keep records and books of account under this section must ensure that the records and books of account are retained for a period of at least seven years following the date to which the record or book of account relates. Coming into force 9 This regulation comes into force on the day it is registered under The Regulations Act .