Environment initiatives planned for April 2019 - April 2021

From: Transport Canada

This plan provides information on planned and potential regulatory initiatives that Transport Canada expects to bring forward over the next two years, as published in the Canada Gazette (CG). It also identifies public consultation opportunities and a departmental contact point for each regulatory initiative.

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CG I - Regulations Amending the Canadian Aviation Regulations (Greenhouse gas emissions from international aviation - CORSIA Phase 2) New

Enabling act

Aeronautics Act

Description

The proposed regulations requires operators with at least 10,000 tonnes of carbon dioxide (CO2) emissions on covered routes to monitor, report, and verify their emissions starting on January 1, 2019. Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) Phase 1 Regulations (i.e. monitoring, reporting, and verification) were published in Canada Gazette, Part II, in November, 2018.

Starting on January 1, 2021 operators will be required to offset a portion of their emissions based on an agreed equation that considers the size and growth rate of the operator and the sector. Operators can reduce their offsetting obligation through the use of sustainable aviation fuels. This amendment is to implement the offsetting and sustainable aviation fuel portions of CORSIA (Phase 2). The offsetting phase of CORSIA is from 2021 to 2035.

Potential impacts on Canadians, including businesses

The one-for-one rule may apply. There are no small businesses affected by CORSIA.

CORSIA is anticipated to increase costs to aeroplane operators as a result of a number of administrative activities and the carbon offsetting component of CORSIA. The total costs estimated for the carbon offsetting component (incurred by aeroplane operators between 2021 and 2035) are between $674M and $2.8B ($CAN 2017, PV, discounted at 7 per cent to base year 2018).

Regulatory cooperation efforts (domestic and international)

This regulatory proposal would align Canada’s regulations with its international obligations under the Chicago Convention (the requirements of CORSIA are set out in the International Standards and Recommended Practice in Annex 16, Volume IV of the Convention on International Civil Aviation). CORSIA was created through an international negotiation and passed by consensus by International Civil Aviation Organization’s (ICAO) 191 Member States in 2016. Under article 37 of the Convention, each Member State has agreed to collaborate in securing the highest degree of uniformity in regulation through the adoption of the standards and recommended practices (SARPs). As such, the proposed amendments fulfill Canada’s international obligations by adopting the CORSIA SARP into Canadian regulation. By conforming to the SARP, Canada is also aligning its regulations with ICAO and the jurisdictions of the other ICAO Member States.

This regulatory proposal also demonstrates Canada’s commitment to addressing climate change, in line with Canada’s goals under the Paris Agreement to the United Nations Framework Convention on Climate Change, and other action to address climate change at the international level through multilateral agreements.

Additionally, the implementation of CORSIA is in line with the Government of Canada’s Federal Sustainable Development Strategy. One of the goals of this strategy is to undertake effective action on climate change with a goal of reducing Canada's total greenhouse gas (GHG) emissions by 30% by 2030, relative to 2005 emission levels. The strategy states that Canada should also play a leading role in international efforts to address climate change through free trade agreements; interactions with key partner countries including the United States, Mexico, China and the European Union; multilateral environmental agreements; and participation in international fora such as the United Nations. This includes negotiations on GHG emissions in the maritime and aviation sectors and implementing Canada's climate finance pledge.

Implementing Phase 2 of CORSIA represents the culmination of these efforts and builds on Canada’s implementation of the Phase 1 CORSIA regulations (i.e. monitoring, reporting, and verification) in Canada.

Consultations

Consultations on CORSIA were held throughout the development of the program (2013-2017) as well as detailed consultations in advance of the publication of Phase 1 of CORSIA. Additional consultations are expected in mid-2019 that will focus on the upcoming submission of emissions reports and provide an opportunity to further discuss phase 2.

Anticipate a 60 day comment period in late 2019.

Departmental contact information

Kerri Henry
Manager/Senior Policy Advisor, Environmental Policy
Transport Canada
Telephone: 613-993-3541
Email: kerri.henry@tc.gc.ca

Gilles Bourgeois
Chief, Standards, Civil Aviation
Transport Canada
Telephone: 613-991-6037
Email: gilles.bourgeois@tc.gc.ca

First included in Transport Canada’s Forward Regulatory Plan: April 2019

CG I - Heritage Wreck Regulations

Enabling act

Wrecked, Abandoned or Hazardous Vessels Act (assented to February 28, 2019, coming into force July 2019) Section 131 (1)

Description

The Wrecked, Abandoned or Hazardous Vessels Act (WAHVA) authorizes the Minister responsible for Parks Canada and the Minister of Transport to jointly recommend the making of regulations respecting the protection and preservation of wrecks that have heritage value, including ocean war graves. There is currently no legal protection at the federal level for heritage wrecks in Canadian waters.

The proposed regulations would provide legal protection for wrecks of heritage value in all Canadian waters and would:

  1. Define wrecks or classes of wrecks that have heritage value, including ocean war graves;
  2. Create a framework of protections to preserve wrecks of heritage value, including ocean war graves;
  3. Define permitting requirements for activities directed at wrecks of heritage value; and
  4. Authorize the designation of enforcement officers and specify their powers.

Potential impacts on Canadians, including businesses

There may be business impacts. The "One-for-One" Rule and/or the Small Business Lens may apply.

Regulatory cooperation efforts (domestic and international)

The Parks Canada Agency and Transport Canada have joint regulation making authority for the protection of heritage wreck in Canadian waters. The Parks Canada Agency and Transport Canada continue to seek opportunities to work with municipal, provincial/ territorial, Indigenous, federal and international partners; as well as incorporate best practices from other jurisdictions in these regulations.

These regulations do not fall under any specific formal regulatory work plan.

Consultations

Authorities to make regulations for the protection of heritage wrecks were previously included under the Canada Shipping Act, 2001 (CSA, 2001). Consultations on proposed regulations were held in 2004-2005 with provinces and territories.

Parks Canada will recommence work on the proposed regulations with the updated authorities under WAHVA, and seek input from interested Canadians through public consultations to be held in 2019. Consultations will include communications with the Provinces / Territories and key stakeholders, and opportunities for the public to comment on-line through a Parks Canada consultation website.

The target date for pre-publication of the proposed amendments in the Canada Gazette, Part I, is winter 2020, for a 75 day comment period.

Departmental contact information

Rachel Grasham
Director, Policy, Legislative and Cabinet Affairs
Strategic Policy and Investment Directorate
Parks Canada
Telephone: 819-420-9115
Email: Rachel.Grasham@canada.ca

Jeff Johnson
Acting Director, Clean Water Policy
Environmental Policy
Transport Canada
Telephone: 613-998-6474
Email: Jeffrey.Johnson@tc.gc.ca

First included in Transport Canada’s Forward Regulatory Plan: April 2018

CG I Vessel Speed Regulations for the protection of marine mammals New

Enabling act

Canada Shipping Act, 2001

Description

Division 22 of Part 4 of the Budget Implementation Act 2018, No. 2 (Bill C-86), which received Royal Assent in December 2018, amends the Canada Shipping Act 2001.

The proposal amendment authorizes the Governor in Council to make regulations respecting the protection of the marine environment from the impacts of navigation and shipping activities, including to protect endangered whale populations.

To reduce the risk of lethal collision between vessels and the endangered North Atlantic Right Whales (NARW) in the Gulf of St. Lawrence the Government of Canada has used Section 7 of the Collision Regulations, under the CSA, 2001, to impose seasonal speed restrictions on vessels in 2017 and again in 2018. While acceptable as an interim measure, this approach may present a certain legal risk to the Crown. Purpose-designed regulations under the new authorities under the CSA, 2001 could address this risk.

Potential impacts on Canadians, including businesses

The impact of this new regulation would be similar to impacts of the current speed restriction imposed under the Collision Regulations in 2017 and 2018. Economic impacts include loss of direct income in communities impacted by cancelled or shortened port calls by cruise companies and additional costs to shipping from increased fuel consumption of alternative shipping methods to compensate for delays in slowdowns. While not all incremental operating costs associated with the slowdowns are passed on, some shippers may see surcharges applied to their shipments. Transport Canada is currently conducting quantitative analyses of these impacts in terms of community and supply-chain effects, cost-benefit analysis, and regional Gross Domestic Product impacts.

Regulatory cooperation efforts (domestic and international)

TC works closely with the Department of Fisheries and Oceans on all activities related to reducing the impacts of vessel traffic on endangered marine mammals and would continue to do so in the development of these regulations. Such regulations will be consistent with any requirements and commitments under the International Maritime Organisation, and will align with NARW conservation efforts in the United States as the current measures under the Collision Regulations do.

Consultations

All Canadian vessels and all international vessels in Canada’s territorial waters follow the Collision Regulations with Canadian modifications. Transport Canada will also continue to work collaboratively with international partners.

The target date for pre-publication of the proposed amendments in the Canada Gazette, Part I, is winter 2020, for a 30 day comment period.

Departmental contact information

Michelle Sanders
Director, Clean Water Policy
Environmental Policy
Transport Canada
Telephone: 613-949-2753
Email: Michelle.Sanders@tc.gc.ca

 

First included in Transport Canada’s Forward Regulatory Plan: April 2019

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