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Canada Transportation Act (S.C. 1996, c. 10)

Act current to 2021-09-11 and last amended on 2020-06-10. Previous Versions

PART IIIRailway Transportation (continued)

DIVISION VTransferring and Discontinuing the Operation of Railway Lines (continued)

Marginal note:Railway rights of way

 Sections 146.2 and 146.3 apply, with any modifications that are necessary, to railway rights-of-way, that are located in metropolitan areas or within the territory served by any urban transit authority and in respect of which the sidings and spurs have been dismantled, that a railway company plans to sell, lease or otherwise transfer.

  • 2007, c. 19, s. 42

Marginal note:Passenger railway stations

 Sections 146.2 and 146.3 apply, with any modifications that are necessary, to passenger railway stations in Canada that a railway company plans to sell, lease or otherwise transfer or dismantle.

  • 2007, c. 19, s. 42

Marginal note:Complaints

 If, after receiving a complaint, the Agency finds that a railway company is not complying with this Division, the Agency may order it to take any measures that the Agency considers appropriate to comply with this Division.

  • 2018, c. 10, s. 38

DIVISION VITransportation of Western Grain

Interpretation

Marginal note:Definitions

 In this Division,

crop year

crop year means the period beginning on August 1 in any year and ending on July 31 in the next year; (campagne agricole)

export

export, in respect of grain, means shipment by a vessel, as defined in section 2 of the Canada Shipping Act, 2001 , to any destination outside Canada and shipment by any other mode of transport to the United States for use of the grain in that country and not for shipment out of that country; (exportation)

government hopper car

government hopper car[Repealed, 2018, c. 10, s. 39]

grain

grain means

  • (a) any grain or crop included in Schedule II that is grown in the Western Division, or any product of it included in Schedule II that is processed in the Western Division, or

  • (b) any grain or crop included in Schedule II that is grown outside Canada and imported into Canada, or any product of any grain or crop included in Schedule II that is itself included in Schedule II and is processed outside Canada and imported into Canada; (grain)

joint line movement

joint line movement[Repealed, 2000, c. 16, s. 9]

maximum rate scale

maximum rate scale[Repealed, 2000, c. 16, s. 9]

movement

movement, in respect of grain, means the carriage of grain by a prescribed railway company over a railway line from a point on any line west of Thunder Bay or Armstrong, Ontario, to

  • (a) Thunder Bay or Armstrong, Ontario,

  • (b) Churchill, Manitoba for export,

  • (c) a port in British Columbia for export, other than export to the United States for consumption in that country, or

  • (d) a point west of Thunder Bay or Armstrong, Ontario, if the grain is to be carried to a port in British Columbia for export, other than export to the United States for consumption in that country; (mouvement du grain)

port in British Columbia

port in British Columbia includes Vancouver, North Vancouver, New Westminster, Roberts Bank, Prince Rupert, Ridley Island, Burnaby, Fraser Mills, Fraser Surrey, Fraser Wharves, Lake City, Lulu Island Junction, Port Coquitlam, Port Moody, Steveston, Tilbury and Woodwards Landing; (port de la Colombie-Britannique)

prescribed railway company

prescribed railway company means the Canadian National Railway Company, the Canadian Pacific Railway Company and any railway company that may be specified in the regulations; (compagnie de chemin de fer régie)

Western Division

Western Division means the part of Canada lying west of the meridian passing through the eastern boundary of the City of Thunder Bay, including the whole of the Province of Manitoba. (région de l’Ouest)

  • 1996, c. 10, s. 147
  • 2000, c. 16, s. 9
  • 2001, c. 26, s. 282
  • 2005, c. 24, s. 3
  • 2011, c. 25, s. 60
  • 2018, c. 10, s. 39

Application of Division IV

Marginal note:Application to tariffs and rates

 The provisions of Division IV apply, with such modifications as the circumstances require, to tariffs and rates under this Division to the extent that those provisions are not inconsistent with this Division.

Tariffs

Marginal note:Issuance and publication

  •  (1) A prescribed railway company shall issue and publish tariffs that include single car rates in respect of the movement of grain from each grain delivery point on its railway.

  • Marginal note:Prohibition

    (2) No prescribed railway company shall establish a single car rate in a tariff in respect of the movement of grain from a grain delivery point on one of its branch lines that is more than three per cent higher than any single car rate in its tariffs for the movement of the same type of grain under substantially similar conditions for a substantially similar distance from the grain delivery point on one of its main lines that is nearest, as measured in a straight line, to the grain delivery point on the branch line.

  • 1996, c. 10, s. 149, c. 18, s. 41
  • 2000, c. 16, s. 10

Maximum Grain Revenue Entitlement

Marginal note:Ceiling

  •  (1) A prescribed railway company’s revenues, as determined by the Agency, for the movement of grain in a crop year may not exceed the company’s maximum revenue entitlement for that year as determined under subsection 151(1).

  • Marginal note:Payment of excess and penalty

    (2) If a prescribed railway company’s revenues, as determined by the Agency, for the movement of grain in a crop year exceed the company’s maximum revenue entitlement for that year as determined under subsection 151(1), the company shall pay out the excess amount, and any penalty that may be specified in the regulations, in accordance with the regulations.

  • Marginal note:Items not included in revenue

    (3) For the purposes of this section, a prescribed railway company’s revenue for the movement of grain in a crop year shall not include

    • (a) incentives, rebates or any similar reductions paid or allowed by the company;

    • (b) any amount that is earned by the company and that the Agency determines is reasonable to characterize as a performance penalty or as being in respect of demurrage or for the storage of railway cars loaded with grain;

    • (c) compensation for running rights;

    • (d) any amount that is earned by the company at the interswitching rate determined in accordance with section 127.1; or

    • (e) any amount that is earned by the company for the movement of grain in containers on flat cars.

  • Marginal note:Impermissible reductions

    (4) For the purposes of this section, a prescribed railway company’s revenue for the movement of grain in a crop year shall not be reduced by amounts paid or allowed as dispatch by the company for loading or unloading grain before the expiry of the period agreed on for loading or unloading the grain.

  • Marginal note:Reductions from revenue

    (5) For the purposes of this section, if the Agency determines that it was reasonable for a prescribed railway company to make a contribution for the development of grain-related facilities to a grain handling undertaking that is not owned by the company, the company’s revenue for the movement of grain in a crop year shall be reduced by any amount that the Agency determines constitutes the amortized amount of the contribution by the company in the crop year.

  • Marginal note:Agency to determine revenue

    (6) The Agency shall make the determination of a prescribed railway company’s revenues for the movement of grain in a crop year on or before December 31 of the following crop year.

  • 1996, c. 10, s. 150
  • 2000, c. 16, s. 10
  • 2018, c. 10, s. 40

 [Repealed, 2000, c. 16, s. 10]

Marginal note:Maximum revenue entitlement

  •  (1) A prescribed railway company’s maximum revenue entitlement for the movement of grain in a crop year is the amount determined by the Agency in accordance with the formula

    [A/B + ((C - D) × $0.022)] × E × F

    where

    A
    is the company’s revenues for the movement of grain in the base year;
    B
    is the number of tonnes of grain involved in the company’s movement of grain in the base year;
    C
    is the number of miles of the company’s average length of haul for the movement of grain in that crop year as determined by the Agency;
    D
    is the number of miles of the company’s average length of haul for the movement of grain in the base year;
    E
    is the number of tonnes of grain involved in the company’s movement of grain in the crop year as determined by the Agency; and
    F
    is the volume-related composite price index that applies to the company, as determined by the Agency.
  • Marginal note:Canadian National Railway Company

    (2) For the purposes of subsection (1), in the case of the Canadian National Railway Company,

    • (a) A is $348,000,000;

    • (b) B is 12,437,000; and

    • (c) D is 1,045.

  • Marginal note:Canadian Pacific Railway Company

    (3) For the purposes of subsection (1), in the case of the Canadian Pacific Railway Company,

    • (a) A is $362,900,000;

    • (b) B is 13,894,000; and

    • (c) D is 897.

  • Marginal note:Volume-related composite price index

    (4) The following rules are applicable to a volume-related composite price index:

    • (a) in the crop year 2016-2017, each prescribed railway company’s index is 1.3275;

    • (b) an index shall be determined in respect of each prescribed railway company; and

    • (c) the Agency shall make adjustments to each prescribed railway company’s index to reflect the costs incurred by the prescribed railway company to obtain hopper cars for the movement of grain and the costs incurred by the prescribed railway company for the maintenance of those hopper cars.

  • Marginal note:When Agency to make determination

    (5) The Agency shall make the determination of a prescribed railway company’s maximum revenue entitlement for the movement of grain in a crop year under subsection (1) on or before December 31 of the following crop year and shall make the determination of a prescribed railway company’s volume-related composite price index on or before April 30 of the previous crop year.

  • Marginal note:Making of adjustments

    (6) Despite subsection (5), the Agency shall make the adjustments referred to in paragraph (4)(c) at any time that it considers appropriate and determine the date when the adjusted index takes effect.

  • 1996, c. 10, s. 151
  • 2000, c. 16, s. 10
  • 2007, c. 19, s. 43
  • 2018, c. 10, s. 41
 
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