Ontario updates administrative penalty rules for resource recovery and tire management contraventions

Plain-language summary · AI-assisted

Ontario has revised the administrative penalty framework that applies to businesses operating under the Resource Recovery and Circular Economy Act. The $1 million per-contravention cap structure (previously in subsections 2 and 3) has been removed for new contraventions, replaced by a streamlined calculation using only a base penalty and an economic benefit amount, with a transitional rule preserving the old caps for violations that occurred before the change. The penalty schedules for tire-related contraventions have been substantially reorganized: several old line items covering system operation and tire management requirements have been replaced with more specific provisions targeting management targets, acquiring tires without required agreements, and ensuring proper tire-management activities, with penalty maximums ranging from $2,500 to $200,000 depending on the violation. New penalty items have also been added for contraventions such as failing to enter an agreement and failing to submit certain reports. Businesses involved in tire collection and management, or any producer responsibility obligations under this Act, should review their compliance programs against the updated schedule of penalizable provisions to confirm they are meeting the right requirements.

Who this affects
tire producers and tire management system operators · businesses with producer responsibility obligations under resource recovery law · compliance and regulatory affairs teams · registered producers and stewards under the Act