Ottawa could be suspended from rights to trade carbon dioxide if found to be in breach of the rules by the enforcement branch of the UN's Kyoto Protocol. Greece was suspended in April, the first nation to face such a sanction under Kyoto.
On May 5, 2008 Canada was given an official notification of the decision of the enforcement branch to proceed with a formal question over Canada's compliance with rules on registering emissions, the enforcement branch said in a statement.
The enforcement branch, a panel of legal experts, had warned Canada in April that it risked scrutiny over alleged shortfalls in its greenhouse gas registry. It said Canada missed a January 1, 2007, reporting deadline by more than two months.
A national registry is a computerized system used to track holdings of greenhouse gas credits, similar to the computerized accounting system of a bank, it said.