Railway Costing Regulations (SOR/80-310)

11 Cost submissions to the Committee by railways other than Class I railways shall be made as follows:

• (a) the submissions shall be based on direct costing to the extent feasible;

• (b) where feasible, an empirical adaptation of factors employed by Class I railways shall be made for other than direct assignment of costs;

• (c) cost submissions shall be in the same form as those prescribed for Class I railways and shall be supported by a complete description of the methods and procedures used in determining output units and in assigning and allocating costs; and

• (d) cost submissions shall include an allowance for cost of capital as follows:

  • (i) where the railway companies have developed a capital structure satisfactory to the Committee, at an approved cost of capital rate developed in the same manner as prescribed for Class I railways in these Regulations, or

  • (ii) where the railway companies have not developed a capital structure satisfactory to the Committee, at a cost of capital rate prescribed by the Committee.