In an effort to become more environmentally-friendly, the Canadian government announced that as of January 1, 2019, equipment with engines classified at Tier 3 or lower will not be brought into Canada.
Tier 3 units will be able to be sold and purchased if they are already in the existing Canadian inventory, but new equipment with this engine will not be imported in the new year.
So, what exactly are Tier 4 engines and how will this affect me?
In this blog we’ll explain exactly what Tier 4 engines are, how the new regulation will affect you as well as what Axiom Equipment Group is doing to prepare and make this transition as smooth as possible for our customers.
What are Tier 4 engines?
Nonroad equipment is categorized into different levels of Tiers according to environmental regulations. The level of Tiers is classified based off the emissions of particulate matter and NOx (nitrogen oxide) released into the atmosphere from the equipment’s operation.
Every piece of equipment with a diesel engine is affected, from air compressors to generators to light towers.
With each progressing classification Tier of equipment, fewer levels of NOx are released. This means that Tier 4 equipment is much more environmentally friendly as it releases fewer NOx emissions than Tier 1, 2, or 3 equipment does.
Tier 4 regulations call for a substantial cut in diesel engine NOx emissions in comparison to previous tiers. It is up to equipment manufacturers to come up with solutions to meet legislative regulations on these emissions. For most engines, the Tier 4 emission regulation was more than the exhaust gas recirculation (EGR) alone could handle. The solution was to install a new exhaust aftertreatment system called selective catalytic reduction (SCR).
This means that Tier 4 diesel engines are cleaner than ever before, and in many cases more fuel efficient, too. These new engines, while better for the environment, are costlier not just to manufacture, but also to operate as they require additional maintenance.
What are some of the challenges with this transition?
The challenges that come with the new Tier 4 regulations don’t end at the initial higher price tag, but also in how Tier 4 equipment will operate in comparison to Tier 3 products.
As well as the equipment itself, the Tier 4 equipment parts are considerably higher priced than its Tier 3 counterpart.
In addition, many Tier 4 equipment uses DEF (diesel exhaust fluid), which is an extra product customers will need to stock up onsite. Luckily, Axiom Equipment Group is your one-stop shop for equipment needs and supplies DEF tanks for your jobsite convenience.
It’s important to note that that while some Tier 4 equipment may require DEF, other pieces of equipment require DPF (diesel particulate filter). In some cases, bigger engines may have both DEF and DPF. These fluids and filters are additional expenses and supplies to think about for future project planning in 2019 and onwards.
With this current change in Tier 4 equipment regulations, down the road, some work sites may only be able to bring Tier 4 equipment on-site.
What will happen to Tier 3 equipment?
A question that has been on the minds of many is what the value of new and used Tier 3 equipment will be once the new Tier 4 regulations come into effect. Although it’s hard to predict dollar amounts now, one thing that is certain is that the demand for Tier 3 will be higher and will have higher resale prices whether new or used.
A side note to consider is that modifying or disabling the emission devices on Tier 4 machines will mean even more expenses for machines that are already higher priced than Tier 3 units.
What is Axiom Equipment Group doing to transition under this new program?
During the months leading up to the new Tier 4 equipment program, Axiom Equipment Group is working hard to make sure our customers understand the new change and experience a smooth transition.
We’ve been working closely with vendors to stock up on our Tier 3 equipment inventory before the new changes take effect.
In addition to stocking up on Tier 3 equipment inventory, Axiom Equipment Group is also securing quality Tier 4 equipment, as well as accessories and parts. Axiom Equipment Group will be ready to order quality Tier 4 equipment in 2019 as necessary for our customers.
If you have any questions about this transition, please feel free to contact us and we would be happy to answer your questions!
Axiom Equipment Group’s team has decades of combined experience in equipment rental, sales and service. Working with other internationally accredited organizations, we have the unique ability to provide on-demand products for sale and rent. With our large fleet of new, reliable, well-maintained site equipment, we can meet large project demands quickly and supply quality equipment for smaller projects cost-effectively.
At Axiom Equipment Group, we believe in ZERO DOWNTIME so much that we stand behind it with a unique iron clad promise that combines a reliable equipment fleet with a rapid response program, around-the-clock availability, expert service and a financing option to fit every budget. Gain peace of mind knowing that if your equipment breaks down, we have the inventory to repair and replace it on the fly!
Note: this article was adapted from the original article Tier 4 engine adoption program – what is it, challenges with it and what can I do about it? by Account Manager Barry Cavenagh.
