No. H 133/07
For release July 3, 2007

Canada Shipping Act, 2001 Ushers in New Era of Safety and Protection of the Marine Environment

OTTAWA — The Canada Shipping Act, 2001 (CSA 2001) came into effect on July 1, 2007, announced the Honourable Lawrence Cannon, Minister of Transport, Infrastructure and Communities. It replaces the Canada Shipping Act (CSA) as the principal legislation governing safety in marine transportation and recreational boating, as well as protection of the marine environment.

"The coming into force of CSA 2001 is a significant milestone in Canada's maritime history," said Minister Cannon. "After more than one hundred years, new legislation has been enacted that values, first and foremost, the principles of safety and protection of our marine environment."

The new Act promotes the sustainable growth of the shipping industry without compromising safety. It represents an updated and streamlined version of the original CSA, making it clearer and easier to understand. The CSA 2001:

• promotes safety and provides better protection for the marine environment, through new and enhanced regulations;
• shifts from an inspection-based regime to a compliance-based regime, where vessel operators are encouraged to take a more active approach to safety;
• introduces a new method of enforcement with the introduction of administrative monetary penalties;
• replaces the Board of Steamship Inspection with the new Marine Technical Review Board; and
• establishes a new set of voyage classifications for the safer operation of vessels.

The CSA 2001 will help the marine community operate in a manner that is safer, more efficient, environmentally sound, and responsive to the needs of Canadians in a global economy. It applies to Canadian vessels operating in all waters and to foreign vessels operating in Canadian waters, ranging from canoes and kayaks to cruise ships and tankers.

Although the new Act was passed in 2001, it now comes into effect, as time was needed to review existing regulations, develop new regulations, and consult with a wide range of marine stakeholders. Some regulations come into effect immediately, and consultations continue as Transport Canada develops further regulations that support the Act.

Members of the marine community are encouraged to participate in education and awareness initiatives, and help contribute to the development of a safety culture within the industry.

For more information about environmental protection or environmental response systems, please visit Transport Canada's Marine Safety Operations and Environmental Programs website at www.tc.gc.ca/marinesafety/oep.

If you would like more information about the Canada Shipping Act, 2001 reform, please visit the Canadian Marine Advisory Council website at www.cmac-ccmc.gc.ca.

A backgrounder about the CSA 2001 and how its supporting regulations apply to the marine industry is attached.

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BACKGROUNDER

CANADA SHIPPING ACT, 2001

The Canada Shipping Act, 2001 (CSA 2001) is an updated and streamlined version of the Canada Shipping Act, which dates back more than 100 years. The CSA 2001 comes into force in July 2007. It is the principal legislation that governs the activities of Canadian vessels in all waters, and of all vessels in Canadian waters.

The Act applies to a marine transportation industry that is as diverse as the country it serves - from pleasure craft to fishing vessels, from tugs and barges to lakers and cruise ships.

The CSA 2001 is the result of extensive consultations with a wide range of marine stakeholders. It will help the marine community to operate in a manner that is safer, more efficient, environmentally sound, and responsive to the needs of Canadians in a global economy.

Throughout the reform process, Transport Canada will maintain the highest possible standards in the important area of marine safety.

The CSA 2001 regulatory reform has evolved in two phases

In order to give full effect to the CSA 2001, more than 100 regulations needed to be reviewed and updated. The regulatory review process has two phases:

• Phase one includes the reform of those regulations that did not align with the CSA 2001 as well as those that have a great impact on safety and the environment.
• Phase two will update regulations that do align with the CSA 2001, as well as those that are not critical to the Act's entry into force. Work on phase two regulatory reform begins once the Act is in effect.

Changes included in the Canada Shipping Act, 2001

The Canada Shipping Act reform began in 1997 and evolved on two tracks.

Track One resulted in Bill C-15, which revised provisions dealing with ship ownership, registration, and mortgages. It also added a preamble to make the Act's objectives easy to understand and its content easier to interpret. Bill C-15 received Royal Assent in June 2001.

Track Two resulted in Bill C-14, which received Royal Assent on November 1, 2001 as the Canada Shipping Act, 2001 Now in force, its provisions better protect and support crews, enhance passenger and vessel safety, and better protect the marine environment.

The Act itself has been simplified by:

• including definitions only when the ordinary dictionary meaning has been narrowed or expanded;
• removing technical details from the Act to simplify the legislative framework. They are placed in regulations, standards or other documents;
• using language that is clearer and much easier to understand; and
• moving all liability provisions to the Marine Liability Act.

The CSA 2001 authorizes the development of supporting regulations that clarify and improve existing vessel safety requirements, environmental protection, and personnel certification and training.

Key regulations under Phase one Regulatory Reform include:

Administrative Monetary Penalties Regulations
Administrative Monetary Penalties Regulations are being introduced to provide an alternative to judicial methods of enforcement. While new to the marine sector, they have been used in the aviation sector for some time.

Marine Personnel Regulations
Marine Personnel Regulations ensure that ship owners employ sufficient crew for the safe operation of vessels. They also ensure that crews are trained and certified to perform their duties and are able to manage and operate vessels. Newly added to these regulations are the "Maritime Labour Standards," which establish the labour working conditions on vessels.

Environmental Response Regulations
Environmental Response Regulations deal with the prevention of and response to marine spills from vessels and oil handling facilities. Response organizations will need to be certified to enter into agreements with vessels and oil handling facilities. These facilities will be required to have prevention and response plans in place.

Prevention of Pollution from Ships and for Dangerous Chemicals Regulations
Regulations for the Prevention of Pollution From Ships and for Dangerous Chemicals are designed to eliminate the deliberate, negligent, or accidental discharge of ship-source pollutants into the marine environment. They also promote the safe operation of chemical tankers.

Small Vessel Regulations
Small Vessel Regulations, 2007 address the safety needs of pleasure craft of all sizes as well as all other small non-pleasure craft up to 15 gross tonnage that are not fishing vessels.

Fishing Vessel Safety Regulations
New Fishing Vessel Safety Regulations provide an enhanced level of safety. They require fishing vessels to be built and outfitted for safety, equipped for emergencies and manned by competent crews.

You can learn more about the Canada Shipping Act, 2001 reform at the Canadian Marine Advisory Council website at www.cmac-ccmc.gc.ca.

July 2007