The latest per- and polyfluoroalkyl substances (PFAS) reporting rule — issued by the Canadian federal government — shows just how complicated it can be to keep up with evolving PFAS compliance requirements.
On July 27, 2024, Canada published a PFAS reporting requirement under the Canadian Environmental Protection Act (CEPA). It requires in-scope businesses to submit a PFAS report detailing substance-level data aggregated across their products, as well as product information (such as product names, PFAS concentrations, and intended use).
Compared to existing PFAS legislation, like the U.S. PFAS reporting requirements under Section 8(a)(7) of the Toxic Substances Control Act (TSCA) , Canada’s new rule gives manufacturers less time to comply, and sets out more complex scoping requirements.
Let’s break down some key features of the new Canadian PFAS reporting requirements and what they mean for your business.
Complex Scoping Requirements
Any business that imports or manufactures PFAS is in scope. However, unlike TSCA, the number of in-scope reportable substances is much smaller — approximately 300 chemicals.
Despite having a smaller list of reportable PFAS, it can be more complex to determine which ones need to be included in your report. That’s because it has far broader scoping criteria than similar reporting rules, including de minimis exclusions by both concentration and total volume. There’s also an exemption for “micro-businesses,” meaning organizations with fewer than five employees or less than $30,000 in annual gross revenue.
In addition, reportable PFAS are separated into three lists, and the reporting thresholds are not the same across each one. Certain product categories (like juvenile products and cookware) have lower reporting thresholds than others.
In-scope manufacturers and importers will need to first identify whether they’re using any of the substances in the three lists. Then calculate the total quantity per PFAS manufactured or imported for each across all their products. From there, they can apply the next level of scoping parameters and determine what actually goes into the report.
Sounds complicated? That’s because it is. But having access to regulatory experts can help you decipher the scoping guidelines and make your job easier.
There are too many exclusions and scoping conditions to list here. Refer to the official notice in the Canada Gazette to review the complete guidelines.
A Tight Reporting Deadline
The Canadian PFAS reporting rule is notable for having an extremely tight timeline for data collection, analysis, and report submission. With reports due on January 29, 2025, there are only a few months to get everything done.
In fact, Canadian PFAS reports are due months before the reporting window closes in May 2025 for most businesses under U.S. TSCA. And unlike TSCA, there isn’t a delayed deadline for smaller entities.
If you designed your current PFAS program based on the U.S. reporting timeline, you may need to put your supplier engagement strategy into overdrive to keep up. Check out Assent’s PFAS timelines infographic for a snapshot of your upcoming major milestones.
The Fines Are Steep
The Canadian PFAS reporting rule has teeth when it comes to enforcement.
Failing to meet the reporting deadline can result in fines maxing out at $25,000 for individuals and $500,000 for large corporations for first-time offenses. However, the maximum fines are doubled for second and subsequent offenses.
A Different Dataset Than U.S. PFAS Reporting
Manufacturers won’t be able to simply recycle data from the work they’ve prepared for TSCA PFAS reporting: Canada’s law requires data for the 2023 calendar year, while TSCA is asking for the years between 2011 and 2022.
This supports the argument that manufacturers and importers should treat PFAS management as an ongoing process rather than an archeological fact-finding mission. Although some regulations (for now) are focused on historical data collection, manufacturers should expect that regulators will use the data collected to develop more robust reporting requirements and restrictions going forward.
Simply put, PFAS reporting is not a one-and-done deal. You need to think strategically and proactively about the program you put in place to comply with PFAS reporting laws.
PTFE (Teflon) is a Listed Substance
Polytetrafluoroethylene (PTFE), commercially known by the trade name Teflon, is one of the most commonly used PFAS chemicals. It has reporting thresholds of greater than 100 kilograms total quantity imported, and/or concentrations greater than 0.0001%.
Why does this matter? In all likelihood, nearly any manufacturer using PFTE will have to submit a PFAS report. In the over 1.5 million PFAS declarations Assent has collected from global supply chains, PFTE was identified in a quarter of all supplier submissions that contained one or more PFAS chemicals.
You Can Apply for Data Confidentiality
Under the CEPA, you can apply to have some or all of the information submitted under this PFAS reporting rule to be treated as confidential business information. Like TSCA, claims of confidentiality must be made at the time of submission and substantiated with evidence.
It’s Time to Take Action
The Canadian PFAS reporting rule caught many manufacturers by surprise, and it has thrown a monkey wrench into their PFAS management. Companies that based their supplier engagement off of their U.S. reporting obligations should take immediate action to update their PFAS strategy.
Here’s what you can do to protect your compliance:
- Survey suppliers about any PFAS on the Canadian substance lists that were excluded during your TSCA data collection
- Engage with PFAS experts to help you understand what substances you need to report and which you can omit
- Automate PFAS data collection and validation as much as possible to stay ahead of the deadline
- Educate your suppliers on the new PFAS reporting rule and emphasize the urgency factor
With a new, comprehensive reporting deadline just months away, it’s officially mission critical to have a proactive PFAS program that can adapt to regulatory updates. Even if you’re already collecting PFAS data from suppliers, you should review your program and ensure it also now meets Canadian requirements.
For more information about PFAS management, visit Assent’s PFAS compliance resource page. It’s full of FAQs, guides, and educational materials for manufacturers.
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