MISSISSAUGA, Ontario — According to the Heating, Refrigeration and Air Conditioning Institute of Canada (HRAI), effective Oct. 1, Refrigerant Management Canada (RMC) increased the environmental levy on HCFCs by $1.00. The levy rate has increased from $2.50 to $3.50 per kilogram on HCFCs or HCFC blends sold in Canada.

This adjustment along with the CFC-11 disposal fee is in response to the high volumes of refrigerant being returned to the program for disposal and declining revenues. The RMC board said the decision to apply a disposal fee to CFC-11 and increase the environmental levy to $3.50 per kilogram on HCFCs was made after a thorough review of available funding options and anticipated returns. The high volumes returning to the program have significantly reduced the RMC fund, and these measures will provide a near term solution that will immediately augment the cash flow for the program, the board said.

The RMC board noted that it understands there may be some impact on the industry with this levy increase. However, RMC believes that the impact would be much worse if the program did not exist.

Publication date: 10/10/2011