WOW, thats crazy that they do that kind of stuff. Car too low ... oh wow what have the ministry become ...
There are a few things you can do to get rid of the CEL.
-you can run O2 simulators , they cost about $40 and they are these little simulators that you slide into your existing post cat O2 sensors. Cheap and it will work.
-you can run O2 stacks aka defoulers. These are little stacks that you install and they act like a spacer between the exhaust gas and the tip of O2 sensor. Very cheap but at times the space is already limited and you cant install these stacks. Some headers will fit them some wont due to clearance. I had them on my E39, worked fine . I had to order from US thou , noone had the stacks n Canada
http://forum.e46fanatics.com/showthread.php?t=749327
-Or you can get a tune that will eliminate the CEL. AA, ESS, Evolve and maybe Shark but I cant remember if Shark does it, are all great tunes you can get, but you'd have to send your ECu in and wait a week before it comes back.
Right now I have MarkD software