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RTG:164 Renewable Energy Equipment Tax Exemption

For Historical Reference Only

Effective April 1, 2013, the Province of Prince Edward Island adopted the harmonized sales tax (HST).  HST replaces the former provincial revenue sales tax (PST).  The information provided on the provincial revenue sales tax (PST) is presented for historical reference only. Please refer to the Canada Revenue Agency for assistance with the application of the HST.

 

November 2005
(Revised November 2006, April 2008)

This guide provides information to retailers, contractors and consumers on the application of revenue tax (PST) to renewable energy equipment.

PDF Version:
RTG:164 Renewable Energy Equipment Tax Exemption


Effective April 8, 2005, the following renewable energy equipment is exempt of PST:

1. An organic combustion system that
    (A) has a name plate rating of 100 kilowatts or less, and
    (B) complies with Canadian Standards Association (CSA) B415 or holds a US Environmental Protection Agency (EPA) certification,
  including the combustion appliance, stoking and fuel delivery system of such appliance, and blowers and fans connected to the appliance, but not including the breaching, exhaust or chimney structure of the system or any materials or services necessary to house the system. This type of system includes stoves and furnaces that burn wood, wood pellets, sawdust and similar organic material.
       
2. A wind power energy generating system with a name plate rating of 100 kilowatts or less, including the goods incorporated into the tower, turbine, turbine blades, transformers, switch gear, capacitors and circuit breakers of such a system, but not including the electrical cables from the turbine, the distribution cables, any below ground components of the tower or any anchoring system;
       
3. A biogas energy generating system with a name plate rating of 100 kilowatts or less, including the generator and valves, the fittings and piping that transport the biogas to the generator, the bladder or cover for the digester, the power converter, control system, transformers, switch gear, capacitors and circuit breakers of the system, but not including manure storage systems, digesters or structures that house any component of the biogas energy generating system;
       
4. A geothermal heat pump energy generating system with a name plate rating of 100 kilowatts or less, including the dump well that receives the outflow water from the system, the piping, refrigerant solutions within the closed-loop heat pump system, the heat pump thermostat, and the heat pump (evaporator, compressor, condenser, coils, heat exchanger, valves, fans, blowers) that
    (A) hold a rating of “Energy Star Qualified” by Natural Resources Canada or the US Environmental Protection Agency (EPA), and
    (B) comply with Canadian Standards Association (CSA) C448 Series-02;
       
5. A solar thermal energy collection system with a name plate rating of 100 kilowatts or less, including solar thermal collector panels, pumps, tubing, heat exchanger, duct work, fans, insulated storage tanks and all major components that comply with
    (A) the Canadian Standards Association (CSA) F379.1-88 for solar domestic hot water systems intended for year-round use or (CSA) F379.2-M89 for solar domestic hot water systems intended for seasonal use,
    (B) Canadian Standards Association (CSA) F383-87, or
    (C) Canadian Standards Association (CSA) F378-87 (R2004) for solar air heating systems;
       
6. A solar photovoltaic energy collection system with a name plate rating greater than 0.1 kilowatt and equal to or less than 100 kilowatts that
    (A) complies with Canadian Standards Association (CSA) C61215-01, and
    (B) includes solar photovoltaic collector panels, controllers and devices that convert direct current into alternating current and all major components; and
       
7. A drain water heat recovery energy collection device that
    (A) conforms to American Society for Testing Materials (ASTM) B306 for the drain pipe design,
    (B) complies with American Society for Testing Materials (ASTM) B88 for the tubing design, and
    (C) is, in its entirety, approved for use in Canada with potable water consistent with Underwriter’s Laboratories of Canada (ULC) file #MH26850.

Anyone who has purchased an exempt renewable energy system after April 8, 2005, and has paid PST on the purchase, may apply for a refund of the PST paid.  Refund requests must be submitted within four years of the date of purchase.

A refund may be claimed by completing a “Request for Refund of Revenue Tax (PST)” form and forwarding it together with the original purchase invoice or other supporting documentation to Taxation and Property Records Division. An application form may be obtained at any Access PEI office or on-line at www.taxandland.pe.ca.

 

Further Information:

For copies of the Revenue Tax Act and Regulations and any inquiries regarding this Revenue Tax Guide, please contact:

Taxation and Property Records Division
Finance, Energy and Municipal Affairs
P.O. Box 1330
Charlottetown, PE
C1A 7N1
Telephone:
Fax:
Email:
Website:
(902) 368-4070
(902) 368-6164
taxandland@gov.pe.ca
www.taxandland.pe.ca

This guide is prepared for information purposes only, and should not be considered a substitute for the applicable statutes. Should there be any conflict between the contents of this guide and the statutes, the statutes shall prevail.

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