Canada Transportation Act

Marginal note:Long-haul interswitching rate

• 135 (1) The following rules apply to the determination of the long-haul interswitching rate:

  • (a) for the first 30 km, the rate is to be the interswitching rate; and

  • (b) for the remainder of the distance, the Agency shall determine the rate by having regard to the revenue per tonne kilometre for the movement by the local carrier of comparable traffic in respect of which no long-haul interswitching rate applies.

• Marginal note:Minimum rate

  (2) The Agency shall not determine the rate described in paragraph (1)(b) to be less than the average of the revenue per tonne kilometre for the movement by the local carrier of comparable traffic in respect of which no long-haul interswitching rate applies.

• Marginal note:Factors to consider — comparable traffic

  (3) For the purpose of paragraph (1)(b), the Agency shall determine what constitutes comparable traffic by having regard to

  • (a) the type of traffic;

  • (b) the distance over which the traffic is moved;

  • (c) the conditions of the movement of the traffic, including whether it is moved as single cars, blocks of cars or unit trains;

  • (d) the type and ownership of the cars used to move the traffic;

  • (e) the handling requirements for the traffic;

  • (f) the volume and frequency of the traffic;

  • (g) any undertaking given by the shipper in respect of the volume of the traffic;

  • (h) any incentives, rebates or any similar reductions in respect of the traffic; and

  • (i) any other factor related to the requirements of the shipper and the local carrier that the Agency considers appropriate.

• Marginal note:Factors to consider — rate

  (4) The Agency shall determine the rate described in paragraph (1)(b) by having regard to the factors described in subsection (3), the density of traffic on the lines of the local carrier on which the traffic is to be moved and any long-term investment needed in those lines.