Order Fixing the Day on which this Order is Made as the Day on which Certain Provisions of that Act Come into Force: SI/2019-83

Canada Gazette, Part II, Volume 153, Number 17

Registration
SI/2019-83 August 21, 2019

BUDGET IMPLEMENTATION ACT, 2019, NO. 1

Order Fixing the Day on which this Order is Made as the Day on which Certain Provisions of that Act Come into Force

P.C. 2019-1144 August 7, 2019

Her Excellency the Governor General in Council, on the recommendation of the Minister of Transport, pursuant to section 269 of the Budget Implementation Act, 2019, No. 1, chapter 29 of the Statutes of Canada, 2019, fixes the day on which this Order is made as the day on which subsections 225(2) and (3) and sections 226 to 232, 234, 239, 240, 243 to 246, 258 and 266 of that Act come into force.

EXPLANATORY NOTE

(This note is not part of the Order.)

Proposal

This Order would bring into force subsections 225(2) and 225(3) and sections 226 to 232, 234, 239, 240, 243 to 246, 258, and 266 of the Budget Implementation Act, 2019, No. 1, chapter 29 of the Statutes of Canada, 2019. These provisions will amend the Pilotage Act and make consequential amendments to the Arctic Waters Pollution Prevention Act.

Objective

The objective of this Order is to bring into force certain amendments to the Pilotage Act (Act) in support of Government commitments to enhance safe navigation, prevent marine incidents and protect the environment.

Background

The modernization of the Act is an important element of the Government’s efforts to prevent marine incidents and protect coastal environments, and as such was identified as a priority of the Oceans Protection Plan (OPP) and included in the federal government’s submission to the National Energy Board in the context of the TransMountain Expansion Project initiative, in the fall of 2018.

The Act establishes the authorities to determine where and how marine pilotage services are provided, as well as the framework for pilotage certification and licensing, fee-setting and enforcement.

Because much of the Act remained largely unchanged since it was created in 1972, a comprehensive review of the legislation was identified as a priority under the OPP. The Pilotage Act Review (Review) was completed in 2018. It highlighted the need to modernize the framework for pilotage in Canada and identified a number of areas for improvement.

Transport Canada introduced amendments to the Act, which are largely aligned with the recommendations presented in the Review’s final report. The amendments improve the regulatory regime for pilotage, strengthen enforcement, enhance the governance of Canada’s Pilotage Authorities, streamline fee-setting, and increase transparency in the pilotage system. They provide for a stronger, modernized pilotage system, with increased national consistency, and greater efficiency and more accountability.

In order to avoid gaps and disruptions and to ensure continuity in the existing pilotage system, the amendments to the Act were designed to come into force at different times by Order in Council. Following the present Order, further Orders would be expected in the near future, once Transport Canada, the industry and the Pilotage Authorities are ready to implement these provisions.

Implications

This Order will commence the modernization process and set the stage for subsequent Orders by restructuring the Act, modernizing the language, and introducing some of the provisions to support transparency and accountability. Upon coming into force, the provisions in this Order will provide much-needed clarity for industry stakeholders, as well as Pilotage Authorities, regarding the framework of the Act.

This Order includes the addition of a Purpose and Principles in the Act. This particular provision has been widely welcomed by stakeholders as a means of clarifying the policy objectives of the legislation, and of activities of the Pilotage Authorities in providing services.

The Order also includes provisions that enhance transparency by requiring service contracts between Pilotage Authorities and pilot corporations to be made public, and ensuring that these contracts do not include matters that should be established by way of regulation. Furthermore, arbitrators in final offer selection processes regarding such contracts will be required to consider the Purpose and Principles of the Act. Finally, Pilotage Authorities will be allowed to enter directly into contracts with pilots in areas where no Pilotage Authority employee or pilots hired by a pilot corporation are available, thereby recognizing a practice that allows for service in remote communities.

Transparency and accountability will be increased by provisions that ensure the ineligibility of users or suppliers of pilotage services to be the Chairperson or other member of a Pilotage Authority.

This Order will allow the Minister of Transport to maintain the existing practice whereby the provision of pilotage services and administration of the Act is paid for by users.

To align the terminology in the Act with existing maritime legislation, the definitions will be modernized to reflect current legal terms. This will also result in a consequential amendment to the definition of “pilot” in the Arctic Waters Pollution Prevention Act to ensure that the term is defined consistently between the two Acts.

The Pilotage Authorities will be allowed to invest in a wider range of financial instruments, which could support their financial stability.

To accommodate the extensive amendments to the Act, the Order regroups and renumbers a number of existing provisions, and updates titles.

Another provision included in this Order is for the Minister of Transport to review the Act after 10 years once the relevant provision will come into force.

Consultation

The amendments to the Act have met with widespread support from stakeholders across the marine sector, including pilots and industry. This is reflective of a high degree of consultation that occurred prior to the presentation of the legislation.

The amendments followed an independent review of the Act, which involved extensive consultation with pilots, the Pilotage Authorities, shipping companies, shippers, and Indigenous Peoples. Following the completion of the Review, the Minister of Transport and Transport Canada officials engaged in further consultation on its findings.

Contacts

Colin Stacey
Acting Director General
Pilotage and MSOC Review
Transport Canada
Telephone: 613‑991‑2998
Email: Colin.Stacey@tc.gc.ca

Julie Bédard
Director
Marine Medicine and Pilotage Programs 
Transport Canada
Telephone: 613‑990‑1009
Email: Julie.Bedard@tc.gc.ca