Canada Gazette, Part I, Volume 151, Number 13: Regulations Amending the Transportation of Dangerous Goods Regulations (Marine Provisions)

April 1, 2017

Statutory authority

Transportation of Dangerous Goods Act, 1992

Sponsoring department

Department of Transport

REGULATORY IMPACT ANALYSIS STATEMENT

(This statement is not part of the Regulations.)

Issues

The marine provisions in the Transportation of Dangerous Goods Regulations (TDG Regulations) are outdated. Some have not been revised since 2001. The TDG Regulations currently refer to terms and definitions that are no longer in the Canada Shipping Act, 2001 (CSA 2001) or in regulations made under the CSA 2001, such as the Cargo, Fumigation and Tackle Regulations (CFTR) and the Vessel Certificates Regulations (VCR). In addition, there are other differences between the TDG Regulations and the CFTR which pose challenges for regulatees. Stakeholders have requested that the TDG Regulations be harmonized with the CSA 2001 and other Transport Canada regulations to minimize confusion with respect to requirements.

One difference in particular between the CFTR and the TDG Regulations is the distance contained in the definition “short-run ferry”. The TDG Regulations define a short-run ferry as “a ship that is operating over the most direct water route between two points not more than 3 km apart”, while the CFTR definition refers to a “direct water route between two points not more than 5 km apart”. This has raised concerns and impacted some stakeholders. Since both regulations provide exemptions for short-run ferries, consignors and carriers that transport dangerous goods on ferries with routes between 3 km and 5 km are eligible for exemptions under the CFTR but not under the TDG Regulations. For example, operators of these ferries are not restricted from carrying dangerous goods on board with passengers under the CFTR but are restricted under the TDG Regulations.

The way that the short-run ferry exemption in the TDG Regulations is worded has posed a challenge for regulatees. Misinterpretation of the exemption could lead to non-compliance with parts of the TDG Regulations, which could have potential negative impacts on safety.

The transport of gasoline and propane is currently limited to quantities of 100 L and 110 L respectively per means of containment under the passenger-carrying ship index in the TDG Regulations. This means that highway tanks of these dangerous goods cannot be transported on board ferries that travel routes with lengths greater than 3 km if they are carrying more than 25 passengers. Some stakeholders have indicated that this restriction has negative impacts on traffic and local businesses.

The TDG Regulations currently forbid the transport of UN3156, COMPRESSED GAS, OXIDIZING, N.O.S. on ships with more than 25 passengers. This has been identified as problematic by some stakeholders, as it inadvertently forbids the transport of enriched oxygen tanks required by underwater divers on board vessels with the divers and oxygen required for medical purposes in ambulances on board vessels.

Background

The Canada Shipping Act was updated in 2001 to simplify it and make it easier to understand. The TDG Regulations, however, have not yet been revised to reflect the changes in the CSA 2001, which came into force in 2007.

The TDG Regulations and the CFTR both provide exemptions from certain regulatory requirements for the transport of dangerous goods with respect to ferries that meet the definitions of short-run ferry in their respective regulations. The requirements of the TDG Regulations “that relate solely to the handling, offering for transport or transporting of dangerous goods by ship do not apply to dangerous goods in transport on a road vehicle or railway vehicle that is being transported on board a short-run ferry”. In practice, this provides an exemption from obtaining and keeping a shipping document, the quantity limits listed in the passenger-carrying ship index, as well as certain placarding requirements for flammable gases. The passenger-carrying ship index lists the maximum quantity of dangerous goods that may be transported, per means of containment, on board a ship carrying more than 25 passengers (or one passenger for each 3 m of the length of the vessel). The quantity limits in the passenger-carrying ship index are the same as those set out in the International Maritime Dangerous Goods (IMDG) Code, with the exception of the limits for a few dangerous goods, such as some heating fuels, medical equipment and explosives used in construction. The TDG Regulations specify increased limits for these dangerous goods that need to be transported domestically to remote locations by vessel, as other options are limited.

The CFTR include requirements for the loading, unloading and carriage of cargo for marine transportation, as well as requirements regarding fumigation practices aboard vessels and methods for using cargo gear. These requirements provide an exemption for cargo transport units carried on short-run ferries. The CFTR exempt these cargo transport units from the requirements for packaged goods, including requirements related to packaging, packing, carriage of packaged goods, precautions respecting wheeled cargo transport units, reporting of an accident or incident, and loading or unloading of explosives or ammonium nitrate.

Prior to 2007, the definition “short-run ferry” in both the TDG Regulations and the Dangerous Goods Shipping Regulations referred to a maximum distance of 3 km. In 2007, the Dangerous Goods Shipping Regulations were replaced by the CFTR and the distance was increased to 5 km. The distance threshold was changed after several decisions by the Board of Steamship Inspection allowed individual ferries to apply the 5 km maximum distance provision with no noted negative impacts. The TDG Regulations maintained the 3 km distance in the definition. This difference has been raised as a concern by some stakeholders.

To comply with the TDG Regulations, some ferry operators that are not eligible for the short-run ferry exemption offer designated dangerous goods runs, either at scheduled times throughout the week or when vehicles carrying dangerous goods arrive at the ferry terminal. However, some have expressed concerns regarding the negative impacts on local businesses and communities and longer wait times for passengers during peak seasons as a result of these designated runs. The dangerous goods of greatest concern for the ferry operators are gasoline and propane transported in highway tanks. These dangerous goods are needed by local industries, communities and businesses for heating, cooking and vehicle fuel. Following an assessment conducted by Transport Canada to examine risks and determine potential mitigation measures for transporting gasoline and propane on board ferries with passengers, temporary certificates were issued to two ferry operators who had applied for exemptions. These certificates specified conditions that must be met in order to transport these dangerous goods on board ferries with more than 25 passengers.

A survey conducted by Transport Canada in 2015 found that 60 operators provide service on 258 routes across the country. There are 112 ferries with routes of 3 km or less (to which the exemption in the TDG Regulations currently applies) and 17 ferries with routes between 3 km and 5 km long.

Operators identified that the majority of the dangerous goods transported by ferry are either Class 2.1, Flammable Gases, or Class 3, Flammable Liquids. Based on the information available, it is understood that shipments of Class 2.1 and Class 3 dangerous goods primarily involve the transport of gasoline, diesel or propane in highway tanks. While gasoline and propane have limited quantity indexes of 100 L and 110 L respectively when transported on board a passenger carrying ship, diesel has no quantity restriction for transport with passengers.

Objectives

This proposal has the following objectives:

— Update the marine provisions in the TDG Regulations to reflect the terminology and definitions used in the current version of the CSA 2001 and in regulations that are made under the authority of the CSA 2001;

— Update certain marine requirements to align with those in the CFTR and the 49 Code of Federal Regulations (CFR) and reduce duplication;

— Eliminate discrepancies between the definitions of short-run ferry in the TDG Regulations and in the CFTR and amend the exemption for short-run ferries in the TDG Regulations to provide clarity around the provisions from which it grants exemption;

— Allow the transport of gasoline and propane in highway tanks on passenger carrying ferries operating over the most direct water route between two points not more than 5 km apart under certain conditions; and

— Allow the transport of UN3156, COMPRESSED GAS, OXIDIZING, N.O.S. in quantities up to 25 L on passenger carrying vessels.

Description

Updated terminology

Terminology and definitions related to the marine provisions of the TDG Regulations would be updated to reflect the terminology and definitions used in the CSA 2001 and in regulations, such as the VCR and the CFTR, that are made under the CSA 2001. References to these terms would be updated throughout the TDG Regulations to reflect the changes.

The term “ship” would be replaced with “vessel” to align the terminology with that of the CSA 2001. “Vessel” would be defined as having the same meaning as in the CSA 2001.

The defined term “passenger carrying ship” would be replaced with “passenger carrying vessel”, and the definition would be aligned with the definitions for passenger carrying vehicles for the other transportation modes (i.e. “that is carrying one or more passengers”). Despite this change, the requirements of the TDG Regulations respecting the transport of dangerous goods other than explosives on board passenger carrying vessels would continue to apply only to vessels carrying more than 25 passengers or more than one passenger for each 3 m of length of the vessel. The requirements respecting the transport of explosives on board passenger carrying vessels would apply to passenger carrying vessels transporting more than 12 passengers. A new section (section 1.10) would be added to provide this rule.

The definition of “passenger” would be updated to reference the definition of passenger in the CSA 2001 instead of the definition in the repealed Canada Shipping Act.

The definition “short-run ferry” would be repealed to remove discrepancies with the CFTR definition, and references to “short-run ferry” throughout the TDG Regulations would be replaced with the definition “passenger carrying vessel” in some cases and, in others, with “vessel that is operating over the most direct water route between two points not more than 5 km apart”.

“Home-trade voyage” is not in the CSA 2001, so this term and the reference to its definition in the repealed Canada Shipping Act would be removed from the TDG Regulations and replaced with text that would reflect the current intent of the TDG Regulations.

The defined term “ro-ro ship” would replace “roll-on roll-off ship” in the English version to align with the term and definition used in the IMDG Code. The French term “navire roulier” would remain unchanged.

The defined terms “near coastal voyage, Class 1”, “near coastal voyage, Class 2”, “sheltered waters voyage” and “unlimited voyage” would be added to the definitions of the TDG Regulations and would have the same meanings as in the VCR.

Marine provisions
International transport

Requirements for international transportation of dangerous goods would remain the same (i.e. compliance with the IMDG Code and specified provisions in Parts 3, 4, 5 and 8 of the TDG Regulations) but the names of the types of voyages to which the requirements apply would be revised to reflect the updated terminology. The requirements would apply to the transport of dangerous goods by a vessel engaged on a “near-coastal voyage, Class 1” or an “unlimited voyage” to or from a point in Canada instead of a “home-trade voyage, Class I” or a voyage that “is not an inland voyage”. They would also continue to apply to the transport of dangerous goods between two points outside Canada on board a vessel registered in Canada. The changes in terminology would not alter the requirements of the affected provisions but would provide clarity by using terms for which definitions can be found in current regulations.

Domestic transport

Requirements for domestic transportation of dangerous goods would remain the same (i.e. compliance with the TDG Regulations) but would apply when dangerous goods are transported by a vessel that is engaged on a near coastal voyage, Class 2, or on a sheltered voyage. Currently, the domestic transport requirements in the TDG Regulations apply when dangerous goods are being transported by ship “other than on a home-trade voyage, Class I”, a term no longer used in the CFTR or the VCR. The current intent of the provision would be maintained while clarity would be provided through the use of terms that are defined in current regulations.

Notification of the loading or unloading of explosives or ammonium nitrate

Notifying the Marine Safety Office of Transport Canada and the harbour master would no longer be required under the TDG Regulations prior to the loading or unloading of explosives or ammonium nitrate.

Ferry exemption (currently called “Marine: Short-run Ferry Exemption”)

The short-run ferry exemption (section 1.30 of the TDG Regulations) would be renamed “Ferry exemption” and would be amended to apply to ferries operating over the most direct water route between two points not more than 5 km apart. The current exemption applies to ferries with routes of less than or equal to 3 km. It would also list the specific provisions from which exemption would be granted instead of referring to the requirements “that relate solely to the handling, offering for transport or transporting of dangerous goods by ship”.

There are three provisions from which exemption is currently granted for short-run ferries under the TDG Regulations that would be listed in the ferry exemption. Exemption would continue to be provided from the following provisions:

1. Paragraph 3.6(3)(a), which requires the indication of a marine pollutant and the flash point on the shipping document;

2. Subsection 4.16(3), which requires the flammable gas placard be displayed on a road or railway vehicle containing a flammable gas if is transported by ship despite the provision that allows the DANGER placard to be used on a large means of containment containing two or more dangerous goods; and

3. Paragraph 4.16.1(2)(d), which requires that a flammable gas placard be displayed on a road or rail vehicle containing a flammable gas if is transported by ship even if the gross mass of the flammable gas is less than or equal to 500 kg.

Thus, the flash point and marine pollutant indication would not be required on the shipping document. The DANGER placard would be allowed to be displayed on a road or railway vehicle containing two or more dangerous goods even if one of those goods is a flammable gas. A road or rail vehicle would not have to display a placard for Class 2.1, Flammable Gases, if the gross mass of the flammable gas is less than or equal to 500 kg.

There are three exemptions granted currently for short-run ferries that would be removed. The requirements would therefore apply. They are the following:

1. Section 1.6, which requires that the limits indicated in the passenger-carrying ship index under column 8 of Schedule 1 must be met if dangerous goods are transported on board a ship that is carrying more than 25 passengers, or more than one passenger for each 3 m of the length of the ship;

2. Section 3.9, which requires that the master of the ship have a copy of the shipping document readily available on or near the bridge of the ship; and

3. Paragraph 8.4(4)(d), which requires reporting of a release or anticipated release of dangerous goods to a Vessel Traffic Services Centre or a Canadian Coast Guard radio station.

Exemption for propane and gasoline in highway tanks on board passenger carrying vessels

A new exemption (section 1.30.1) is proposed that would allow the transport of highway tanks carrying gasoline or propane on passenger carrying ferries (i.e. carrying more than 25 passengers) operating over the most direct water route between two points not more than 5 km apart if the following conditions are met:

Other amendments

This proposal would remove the requirement to indicate the flash point on a small means of containment for transport by ship by repealing section 4.13.

This proposal would also amend the passenger-carrying ship index to include a new limit of 25 L for UN3156, COMPRESSED GAS, OXIDIZING, N.O.S.. It is currently forbidden for transport on a ship carrying more than 25 passengers.

The reference to the Dangerous Goods Shipping Regulations would be removed from the list of topics on which a person must be trained under the TDG Regulations.

“One-for-One” Rule

Transport Canada has considered the potential impacts of this proposed amendment on administrative burden for businesses and has determined that the “One-for-One” Rule would apply in this case. The requirement to report a release or anticipated release of dangerous goods on board a ferry has been identified as administrative burden on industry. The new exemption for transporting gasoline and propane in highway tanks on ferries has been identified as reducing administrative burden on industry. Overall, this proposed amendment would constitute an “OUT,” as the net reduction in administrative burden is higher than the cost.

A cost-benefit analysis has been conducted to assess the impact of the amendment on stakeholders where a 10-year (2018–2027) time period and a 7% discount rate were used.

Changes to short-run ferry exemption — Release reporting

The new requirement for reporting to the Canadian Coast Guard or the Vessel Traffic Services Centre when there is a release or anticipated release of dangerous goods on board ferries that travel 3 km or less would result in a slight increase in administrative cost to the person who has possession of the dangerous goods (carrier) at the time of the release. It is estimated that approximately four of these reports would be required each year as a result of a release or anticipated release of dangerous goods on board a ferry with a route of 3 km or less. Each report is estimated to take seven minutes. The present value of the estimated cost is $98 with an estimated annualized value of $14.

New exemption for propane and gasoline in highway tanks on board passenger carrying vessels — Temporary certificates

The addition of the exemption in section 1.30.1 would decrease administrative burden for the two operators of ferries with routes between 3 km and 5 km that currently have temporary certificates to transport gasoline and propane in highway tanks on board with passengers, as they would no longer be required to apply for them. Operators must reapply for a temporary certificate every two years, and it is estimated that an application requires approximately three hours to complete. The present value of the estimated cost is $628 with an annualized value of $89. This would represent an “OUT,” as the burden of having to apply for these certificates would be removed under this proposed amendment.

Therefore, the present value of the net “OUT” on this amendment would be $539 over the 10-year period, resulting in an annualized value of $75. The “One-for-One” Rule states that administrative burden needs to be measured in 2012 dollars, with a present value base year of 2012, as required by the Red Tape Reduction Act. The annualized value of the net administrative burden on businesses removed by the regulations expressed in constant 2012 dollars is $54.

Small business lens

This amendment does not fall within the area of applicability of the small business lens, as the total annualized costs on small businesses are under $1 million. Overall, the proposed regulations are expected to have a low impact on the industry, imposing a cost of $247,771 annually.

Consultation

Proposed changes with respect to provisions for short-run ferries and differences between the TDG Regulations and the CFTR were presented to the TDG General Policy Advisory Council during a semi-annual meeting held in Fall 2015. A Web consultation on the proposed amendment was initiated on February 10, 2016, followed by an 18-day comment period. Eight submissions were received during the consultation period from various stakeholders including provincial governments and provincial ferry services, a company that ships dangerous goods, industry associations representing operators, shippers, carriers and manufacturers of dangerous goods, and provincial police.

Comments received showed support for many aspects of the proposal. Specifically, support was expressed for changing terminology such as “ship” and “home-trade voyage, Class I” to align with terminology used in the CSA 2001. Stakeholders were supportive of the proposal to reduce inconsistencies with the CFTR by repealing the term “short-run ferry” in the TDG Regulations and by extending the exemption for ferries to include those that travel distances of up to 5 km. Stakeholders also supported the proposed revision of the ferry exemption to clarify from which provisions they would be exempt. They approved of the retention of exemptions from the requirements related to the shipping document (identify marine pollutants and indicate flash points) and to safety marks (display of the flammable gas placard and the marine pollutant mark) required on a road or railway vehicle transported on board a roll-on roll-off ship. Commenters supported the proposal to harmonize with the IMDG Code and the 49 CFR by repealing the requirement in the TDG Regulations to include the flash point for Class 3, Flammable Liquids, on small means of containment transported by ship. Support was also received for repealing the requirements with respect to notification of the loading or unloading of explosives or ammonium nitrate from a ship to reduce duplication with the CFTR.

One comment received recommended adding a definition for the term “domestic voyage”. Transport Canada does not feel that a definition is necessary, as the section on domestic transport in Part 11 of the TDG Regulations provides an explanation of what is considered a “domestic voyage”.

One commenter suggested that the definition of “short-run ferry” be revised instead of repealed. Transport Canada is proposing to repeal the definition to remove the confusion caused by having two different definitions for the same term within two Transport Canada regulations. Including the CFTR definition in the TDG Regulations would create challenges for regulatees, as the CFTR definition uses the term “cargo transport unit”, which does not correspond to terms used in the TDG Regulations. It also limits “short-run ferry” to ferries with unberthed passengers and open vehicle decks, which Transport Canada does not feel is needed for the purpose of the TDG Regulations. Alternatively, if a definition specific to the TDG Regulations were to be used, there would remain inconsistencies between the definitions in the two regulations. Thus, it is proposed to remove the definition from the TDG Regulations but to apply the exemption to ferries with routes of the same distance as those that are granted the short-run ferry exemption in the CFTR.

Clarification of what is considered a “highway tank” was requested by one stakeholder. “Highway tank”, as used in the proposed amendment, has the same meaning as it does in the CSA Standard B620 Highway Tanks and TC Portable Tanks for the Transportation of Dangerous Goods, which is referenced in the TDG Regulations with respect to requirements for means of containment. Transport Canada does not feel that a definition for “highway tank” needs to be included in the TDG Regulations.

One stakeholder expressed concern that a perimeter of 3 m around a highway tank would restrict the number of vehicles that could be loaded onto a ferry on a run where a highway tank was being transported. The perimeter has been changed to 1 m in this proposal. This is consistent with the perimeter requirement in the CFTR.

A stakeholder commented that the condition requiring the operator to ensure that the dangerous goods are in an approved means of containment that meets the requirements of Part 5 of the TDG Regulations would pose a challenge, as the operator would not have the knowledge to do so. Transport Canada agrees and, since the consignor and carrier must ensure that the dangerous goods are in the required means of containment prior to transport, the means of containment is expected to meet the requirements of Part 5 when it arrives at the ferry, thus this condition has been removed from the proposal.

A comment received also highlighted difficulties in requiring the operator to determine whether a highway tank that has been visually inspected by the driver should be accepted on board when it has not been inspected by the operator. Transport Canada agrees and has placed the onus on the driver who has conducted the inspection not to load the vehicle if there are dents or evidence of leakage.

Clarification was requested regarding how the short-run ferry exemption impacts the requirements of the marine provisions in Part 11 of the TDG Regulations. Confusion around the interpretation of the exemption has been ongoing for many years. The proposed changes aim to clarify the intent by explicitly listing the provisions within the TDG Regulations from which exemption would be granted.

Consultation also revealed that air tanks used by underwater divers can exceed 18 L. As a result, the new limit proposed in the passenger-carrying ship index for UN3156, COMPRESSED GAS, OXIDIZING, N.O.S. has been increased to 25 L.

Rationale

Updated terminology

Updating the marine terminology used in the TDG Regulations, including the types of voyages referred to in Part 11, would maintain the current intent of the TDG Regulations while providing clarity. Where appropriate, harmonization of terms and their definitions in the TDG Regulations with those found in other Canadian legislation and regulations would reduce confusion and increase efficiency for consignors, carriers and vessel operators, thereby decreasing burden on industry.

Notification of the loading or unloading of explosives or ammonium nitrate

The requirement to notify the harbour master and the Marine Safety Office of Transport Canada of the loading or unloading of explosives or ammonium nitrate from a ship would be removed from the TDG Regulations, as the CFTR also requires it. Having the requirement in only one regulation would reduce duplication and confusion for regulatees.

Ferry exemption (currently called “Marine: Short-run Ferry Exemption”)

Revision of the short-run ferry exemption (section 1.30) in the TDG Regulations to provide an exemption for ferries travelling distances of not more than 5 km would eliminate the discrepancy between the distances for ferries that are eligible for exemptions in the TDG Regulations (currently not more than 3 km) and in the CFTR (not more than 5 km) and would address concerns raised by some stakeholders. Listing all of the provisions for which an exemption would be granted would provide clarity. This clarity would benefit consignors and carriers who transport dangerous goods on board these ferries and would have a positive impact on compliance rates, as regulatees would have a better understanding of the regulatory requirements.

Ferry operators would no longer be exempt from having a copy of the shipping document on the ferry. This information must be readily available to the master of the vessel in case of an emergency and would increase safety on board the vessel. It is required in the United States 49 CFR.

The current exemption from the requirement to report a release or anticipated release of dangerous goods to a Vessel Traffic Services Centre or a Canadian Coast Guard radio station under Part 8 of the TDG Regulations was an unintentional result of the wording in the short-run ferry exemption and would be removed under this proposed amendment. Immediate reporting to these entities is needed to provide officials with information to allow them to assess the severity of an incident and to assist first responders during their intervention. The information collected is also needed to conduct risk analysis to help maintain public safety.

Under this proposal, ferries with routes of 3 km or less would no longer be exempt from the limits in the passenger-carrying ship index. Communications with ferry operators and results of the survey conducted by Transport Canada indicate that consignors and carriers who transport dangerous goods on ferries do not generally have difficulties meeting the quantity limits; the exceptions being the limits for gasoline and propane. Short-run ferries that are currently using the exemption are doing so primarily to transport gasoline and propane in highway tanks. They are transporting most other dangerous goods in quantities less than or equal to those prescribed in the index; thus removal of the exemption from the passenger-carrying ship index should have only a minor effect on consignors and carriers. Although most ferries that are currently eligible for the exemption don't transport dangerous goods other than gasoline and propane in quantities above the passenger-carrying ship index limits, this proposal would ensure that those limits are not exceeded in the future, which would provide increased safety for Canadians.

New exemption for propane and gasoline in highway tanks on board passenger carrying vessels

The proposed new exemption for highway tanks carrying gasoline and propane on board ferries would address concerns raised by some stakeholders regarding negative impacts on local businesses and wait times for passengers due to designated dangerous goods runs. This new exemption would improve access to propane and gasoline, as their delivery would no longer be restricted to dangerous goods runs. Ease of access to these fuels would provide improved quality of life for residents who rely on them. Some ferries with routes between 3 km and 5 km long only transport dangerous goods several times per week according to a set schedule. Carriers that currently have to transport gasoline or propane according to these designated dangerous goods run schedules would benefit from the flexibility afforded by not having to plan deliveries around them. The proposed amendment is expected to have a positive impact on wait times for ferry passengers that currently use ferries with routes that cover distances between 3 km and 5 km and that have designated dangerous goods runs.

By amending the TDG Regulations to allow gasoline and propane to be transported in highway tanks on passenger carrying ferries that travel distances of up to 5 km, a degree of safety would be removed on ferries that travel distances between 3 km and 5 km, as they are not currently allowed to do so. While there are few reports of past accidents involving dangerous goods on board ferries, there are potential risks related to the transport of these large volumes of flammable dangerous goods on ferries with passengers. Ferries present a special set of circumstances, as accessibility by emergency responders is limited and evacuation is not a viable option in most cases. In many situations, an emergency response vessel may not be immediately available in the area where the ferry is operating and may need to be transported to a launch site before it can set out towards the ferry. The proposed amendment aims to limit the safety risks by setting out criteria that must be met in order to use this new exemption, to ensure precautions are taken and measures are in place to respond to an emergency.

The introduction of these conditions would increase safety for passengers travelling on ferries with routes up to 3 km that currently use the short-run ferry exemption to transport highway tanks of gasoline and propane on board with passengers, as there are no conditions in the current exemption.

The condition that a highway tank containing gasoline or propane be visually inspected for evidence of leaks or other signs of damage prior to being loaded on a ferry is proposed, since the most probable scenarios for incidents involving these dangerous goods on ferries are the result of leaking or spilling. Minimizing the chance of a leak from a highway tank on board a ferry would greatly improve safety.

Several conditions would be imposed to decrease the risk of ignition during transport should there be a leak of gasoline or propane from a means of containment. One condition of the exemption would be that a safety perimeter of at least 1 m be established around the tank truck. This is similar to a condition for using the short-run ferry exemption in the CFTR. The safety perimeter would reduce the chance of contact between passengers and the tank and would also reduce the risk of potential damage to a highway tank while being transported on the ferry. The engine of the highway tank would not be allowed to be restarted for the duration of the ferry voyage if it is shut off after boarding, since sparks could ignite gasoline or propane if there is a leak. This condition is similar to a requirement in the 49 CFR, but, whereas the 49 CFR requires motor and vehicle lights to be shut off for the duration of the voyage, Transport Canada is proposing that they be allowed to run to keep heaters working during cold weather or air conditioning during hot weather as long as they are not restarted, since it is ignition that poses the risk. Another condition to decrease the risk of ignition would be the placement of notices prohibiting smoking, use of an open flame or use of spark-producing equipment where they are visible to passengers. This condition is similar to requirements in the CFTR and in the 49 CFR which prohibit smoking and the use of spark-producing equipment. A flammable gas detector would also be required on board the ferry for early detection of leaks. A gas detector could be used to confirm the presence of a leak if one is suspected.

As evacuation is not a viable option in most cases when there is an incident on a ferry and emergency responders are not easily able to reach the site, emergency equipment on board the ferry is necessary so that vessel operators can react quickly should an emergency arise. In order to use the exemption, extinguishing equipment, including foam cannon units capable of providing coverage for the highway tank and absorbing material, would have to be installed on board the vessel.

Other conditions would be included to ensure that the vehicle remains stationary and monitored during transport. The condition that the parking brakes of the tank truck be set securely would align with requirements in the CFTR and the 49 CFR. The condition that the driver of the tank truck remain with the vehicle while it is on the vessel is also a requirement of the 49 CFR regarding the transport of vehicles containing hazardous materials on board ferry vessels. The requirement for the vessel's master to ensure that the tank truck is constantly monitored by a crew member while it is on board is a requirement in the CFTR when service vehicles carrying propane are transported on vessels. The IMDG Code also requires regular inspections of storage spaces of dangerous goods throughout the voyage.

The addition of this proposed new exemption would decrease the burden for operators of ferries with routes between 3 km and 5 km in distance that might want to transport gasoline and propane in highway tanks on board with passengers, as they would no longer be required to apply for temporary certificates in order to request approval to do so. There are currently two operators that have these temporary certificates.

Other amendments

Removal of the requirement to indicate the flash point on a small means of containment for transport by ship would align the TDG Regulations with the IMDG Code and 49 CFR, which do not require it.

The amendment to the passenger-carrying ship index to allow UN3156, COMPRESSED GAS, OXIDIZING, N.O.S. to be transported on passenger carrying vessels in quantities of up to 25 L would enable enriched oxygen tanks to be carried on board with underwater divers and tanks of oxygen required for medical purposes to be transported in ambulances on board vessels.

Costs
Ferry exemption (currently called “Marine: Short-run Ferry Exemption)

A slight cost increase is expected for the few consignors and operators of ferries that travel up to 3 km that currently transport dangerous goods other than gasoline and propane under the exemption in section 1.30, as they would no longer be able to use the exemption. They would have to transport those dangerous goods in quantities that meet the limits in the passenger-carrying ship index, on designated dangerous goods runs, or find an alternate way to ship the goods. This cost is expected to be minimal, as ferry operators have indicated that very few currently use the exemption to transport dangerous goods other than gasoline and propane.

Release reporting

There would be a slight increase in administrative cost to the person who has possession of the dangerous goods (carrier) at the time of a release or anticipated release of dangerous goods on board a ferry that travels up to 3 km, as they would no longer be exempt from reporting to the Canadian Coast Guard or the Vessel Traffic Services Centre.

Conditions of exemption for propane and gasoline in highway tanks on board passenger carrying vessels

There would be costs to ferry operators associated with the implementation of some of the conditions for transporting gasoline and propane in highway tanks on passenger carrying ferries. Results of the survey conducted by Transport Canada indicate that many ferry operators, including those with routes under 3 km that are eligible to use the current exemption, choose to have designated dangerous goods runs. There would be no additional costs for ferry operators if they continue to have designated runs and not use the new exemption for propane and gasoline in highway tanks. The conditions of the exemption would only have to be met if they choose to use the exemption. It is expected that operators of ferries with routes less than or equal to 3 km that currently have designated dangerous goods runs would continue to do so and would not choose to use the proposed exemption 1.30.1 thus they would not be considered to have increased costs.

If the ferry operators choose to use the exemption, they would be required to have extinguishing equipment, including foam cannons, on board. Some ferry operators have indicated that they already have emergency equipment in place on board when transporting dangerous goods thus the costs for them to meet the conditions necessary to use the exemption would be low. Many ferries already have firefighting equipment but do not have the foam cannons that would be required under the exemption. The cost of retrofitting the existing firefighting equipment to include foam cannons on ferries would be approximately $5,000. Ferries that do not have firefighting equipment on board would have to install a new system, which would cost approximately $100,000. The annual maintenance cost of the firefighting equipment is approximately $5,000. Training of crew members with respect to the use of firefighting equipment would cost about $8,000.

Another condition of the exemption is that a flammable gas detector must be available on board the ferry. A flammable gas detector costs approximately $100 and associated operator training is estimated to be approximately $2,900.

Of the 112 ferries that are currently eligible for the exemption under section 1.30 of the TDG Regulations (ferries with routes less than or equal to 3 km), 71 have confirmed that they do not transport dangerous goods on board with passengers. It is assumed that they will continue this practice. The other 41 ferries with routes of 3 km or less have either indicated that they do carry dangerous goods with passengers or they did not provide the information to Transport Canada. Based on available data, 20 of those 41 ferries are too small to carry both a tank truck and vehicles containing more than 25 passengers. Thus it is estimated that there are 21 ferries that might choose to use the new exemption to transport gasoline or propane in highway tanks on board with passengers. This number is used to estimate the costs of this proposal; however, it is most likely high, as it is expected that many ferry operators would choose to have designated runs instead of meeting the conditions necessary to use the exemption, as was indicated in comments submitted by one stakeholder. It is assumed that most have some form of firefighting equipment on board and would need to retrofit it with foam canons, while a few would need to install a complete firefighting system.

Of the 17 ferries with routes between 3 km and 5 km, there are 13 that provide the only means of access to the islands that they service. It is assumed that all 13 of these ferries might opt to use the exemption. Two of those ferries are already operating under temporary certificates and have the required equipment in place, so there would be no installation costs for them. Based on the data available to Transport Canada, it is assumed that the other 11 ferries already have firefighting equipment but may require a retrofit to include foam cannons.

The estimated annualized cost of meeting the conditions is $247,685, although the number of ferries used to estimate this cost is most likely high since, as mentioned above, it is expected that many ferry operators would consider having designated dangerous goods runs preferable to using the exemption.

Temporary certificates

The addition of the exemption for propane and gasoline in highway tanks would decrease administrative burden for operators of ferries with routes between 3 km and 5 km  that would want to transport these dangerous goods on board with passengers, as they would no longer be required to apply for temporary certificates in order to request approval to do so.

Implementation, enforcement and service standards

Proper implementation of regulatory amendments is a key aspect of the regulatory life cycle. Once regulatory amendments become law, the TDG Directorate develops new training and awareness material for inspectors and stakeholders. New regulatory requirements are disseminated using a communication network that is already well established. Some of the main tools used to implement regulatory changes are

Compliance with the Transportation of Dangerous Goods Act and the TDG Regulations is verified through inspections. These inspections are carried out at both the federal level and the provincial level and involve all modes of transport and all consignors of dangerous goods. The implementation objective is to update and enhance inspector training tools to ensure that oversight is undertaken by properly trained staff. This proposed amendment is anticipated to have a minor impact on TDG inspectors. Information would be provided to them to keep them updated and aware of the new requirements.

Contact

Geneviève Sansoucy
Chief
Regulatory Development Division
Regulatory Affairs Branch
Transport Dangerous Goods Directorate
Department of Transport
Place de Ville, Tower C, 9th Floor
330 Sparks Street
Ottawa, Ontario
K1A 0N5
Telephone: 613-990-5766
Fax: 613-993-5925
Email: TDGRegulatoryProposal-TMDPropositionReglementaire@tc.gc.ca

PROPOSED REGULATORY TEXT

Notice is given that the Governor in Council, pursuant to section 27 (see footnote a) of the Transportation of Dangerous Goods Act, 1992 (see footnote b), proposes to make the annexed Regulations Amending the Transportation of Dangerous Goods Regulations (Marine Provisions).

Interested persons may make representations concerning the proposed Regulations within 30 days after the date of publication of this notice. All such representations must be in writing and cite the Canada Gazette, Part I, and the date of publication of this notice, and be sent to Geneviève Sansoucy, Regulatory Affairs Branch, Transport Dangerous Goods Directorate, Department of Transport, Place de Ville, Tower C, 9th Floor, 330 Sparks Street, Ottawa, Ontario K1A 0N5 (tel.: 613-990-5766; fax: 613-993-5925; email: TDGRegulatoryProposal-TMDPropositionReglementaire@tc.gc.ca).

Ottawa, March 23, 2017

Jurica & #268;apkun
Assistant Clerk of the Privy Council

Regulations Amending the Transportation of Dangerous Goods Regulations (Marine Provisions)

Amendments

1 (1) The entry for section 1.10 in the Table of Contents of Part 1 of the Transportation of Dangerous Goods Regulations (see footnote 1) is replaced by the following:

Requirements Respecting the Transportation of Dangerous Goods on Board Passenger Carrying Vessels ... 1.10

(2) The entry for section 1.30 in the Table of Contents of Part 1 of the Regulations is replaced by the following:

Ferry Exemption ... 1.30

Propane and Gasoline in Highway Tanks on Board Passenger Carrying Vessels ... 1.30.1

2 (1) The definitions passenger carrying ship, ship and short-run ferry in section 1.4 of the Regulations are repealed.

(2) The definition roll-on roll-off ship in section 1.4 of the Regulations is replaced by the following:
ro-ro ship has the same meaning as in section 1.2.1 of the IMDG Code. (navire roulier)
(3) The definition means of transport in section 1.4 of the English version of the Regulations is replaced by the following:
means of transport means a road or railway vehicle, aircraft, vessel, pipeline or any other contrivance that is or may be used to transport persons or goods. (moyen de transport)

(4) Paragraph (a) of the definition passenger in section 1.4 of the Regulations is replaced by the following:

(5) Section 1.4 of the Regulations is amended by adding the following in alphabetical order:
near coastal voyage, Class 1 has the same meaning as in section 1 of the "Vessel Certificates Regulations". (voyage à proximité du littoral, classe 1)
near coastal voyage, Class 2 has the same meaning as in section 1 of the "Vessel Certificates Regulations". (voyage à proximité du littoral, classe 2)
passenger carrying vessel means a vessel that is carrying one or more passengers. (bâtiment à passagers)
sheltered waters voyage has the same meaning as in section 1 of the "Vessel Certificates Regulations". (voyage en eaux abritées)
unlimited voyage has the same meaning as in section 1 of the "Vessel Certificates Regulations". (voyage illimité)
vessel
(from the Act)		 has the same meaning as in section 2 of the "Canada Shipping Act, 2001". (bâtiment)

3 The Regulations are amended by adding the following after section 1.9:

1.10 Requirements respecting the transportation of dangerous goods on board passenger carrying vessels

(1) The requirements of these Regulations respecting the transportation of dangerous goods other than explosives on board a passenger carrying vessel apply to a passenger carrying vessel that is transporting more than 25 passengers or more than one passenger for each 3 m of the length of the vessel.

(2) The requirements of these Regulations respecting the transportation of dangerous goods that are explosives on board a passenger carrying vessel apply to a passenger carrying vessel that is transporting more than 12 passengers.

4 Paragraph 1.19.2(e) of the Regulations is replaced by the following:

5 Section 1.30 of the Regulations is replaced by the following:

1.30 Ferry Exemption

Paragraph 3.6(3)(a) of Part 3 (Documentation), subsection 4.16(3) and paragraph 4.16.1(2)(d) of Part 4 (Dangerous Goods Safety Marks) do not apply to dangerous goods in transport on a road vehicle or railway vehicle that is being transported on board a vessel that is operating over the most direct water route between two points that are not more than 5 km apart.

1.30.1 Propane and Gasoline in Highway Tanks on Board Passenger Carrying Vessels

Subsection 1.6(1) of Part 1 (Coming into Force, Repeal, Interpretation, General Provisions and Special Cases) and paragraph 3.6(3)(a) of Part 3 (Documentation) do not apply to dangerous goods that are UN1203, GASOLINE or UN1978, PROPANE that are in a highway tank that is being transported by a tank truck on board a passenger carrying vessel that is operating over the most direct water route between two points that are not more than 5 km apart if the following conditions are met:

6 The entry for section 4.13 in the Table of Contents to Part 4 of the Regulations is struck out.

7 Part 4 of the Regulations is amended by striking out the last paragraph of italicized text under the heading “Background” after the Table of Contents.

8 (1) The term “short-run ferry” in the italicized list after the heading “Definitions” in Part 4 of the Regulations is struck out.

(2) The term “roll-on roll-off ship” in the italicized list after the heading “Definitions” in Part 4 of the English version of the Regulations is struck out.

(3) The italicized list after the heading “Definitions” in Part 4 of the English version of the Regulations is amended by adding the following in alphabetical order:

ro-ro ship

9 Section 4.13 of the Regulations is repealed.

10 Paragraph 4.22(2)(a) of the English version of the Regulations is replaced by the following:

11 Clause 4.22(2)(b)(ii)(B) of the Regulations is replaced by the following:

12 Paragraph 6.2(m) of the Regulations is replaced by the following:

13 (1) The entry “Background” in the Table of Contents of Part 11 of the Regulations is struck out.

(2) The entry for section 11.1 in the Table of Contents of Part 11 of the Regulations is replaced by the following:

International Transport ... 11.1

(3) The entry for section 11.4 in the Table of Contents of Part 11 of the Regulations is struck out.

14 The heading “Background” after the Table of Contents of Part 11 of the Regulations and any italicized text after it are struck out.

15 The italicized list after the heading “Definitions” in Part 11 of the Regulations is amended by adding the following in alphabetical order:

near coastal voyage, Class 1

near coastal voyage, Class 2

sheltered waters voyage

unlimited voyage

16 The portion of section 11.1 of the Regulations before subsection (2) is replaced by the following:

11.1 International Transport

(1) A person who imports, offers for transport, handles or transports dangerous goods by vessel must comply with the IMDG Code if

17 The portion of section 11.2 of the Regulations after the title is replaced by the following:

A person who imports, offers for transport, handles or transports dangerous goods by vessel that is engaged on a near coastal voyage, Class 2, or on a sheltered waters voyage must comply with these Regulations.

18 Section 11.4 of the Regulations is repealed.

19 The portion of UN Number UN3156 of Schedule 1 to the Regulations in column 8 is replaced by the following:

Col. 1

UN Number

Col. 8

Passenger-Carrying Ship Index
UN3156 25

20 The reference “FARINE DE POISSON STABILISÉE” in column 1B of Schedule 3 to the English version of the Regulations opposite the reference to “FISH MEAL, STABILIZED, regulated only when transported by ship” is replaced by the following:

FARINE DE POISSON STABILISÉE, réglementée seulement lorsqu'elle est transportée par bâtiment

21 The reference “DÉCHETS DE POISSON STABILISÉS, réglementés seulement lorsqu'ils sont transportés pas navire” in column 1B of Schedule 3 to the English version of Regulations opposite the reference to “FISH SCRAP, STABILIZED, regulated only when transported by ship” is replaced by the following:

DÉCHETS DE POISSON STABILISÉS, réglementés seulement lorsqu'ils sont transportés par bâtiment

22 The reference “DÉCHETS DE POISSON STABILISÉS, réglementés seulement lorsqu'ils sont transportés pas navire” in column 1A of Schedule 3 to the French version of the Regulations is replaced by the following:

DÉCHETS DE POISSON STABILISÉS, réglementés seulement lorsqu'ils sont transportés par bâtiment

23 The reference “FARINE DE POISSON STABILISÉE, réglementée seulement lorsqu'elle est transportée pas navire” in column 1A of Schedule 3 to the French version of the Regulations is replaced by the following:

FARINE DE POISSON STABILISÉE, réglementée seulement lorsqu'elle est transportée par bâtiment

24 The Regulations are amended by replacing “ship” with “vessel” in the following provisions:

25 The Regulations are amended by replacing “passenger carrying ship” and “passenger carrying-ship” with “passenger carrying vessel”, with any necessary modifications, in the following provisions:

26 The French version of the Regulations is amended by replacing “navire” with “bâtiment”, with any necessary modifications, in the following provisions:

27 The English version of the Regulations is amended by replacing “Passenger-Carrying Road Vehicle or Passenger-Carrying Railway Vehicle” with “Passenger Carrying Road Vehicle or Passenger Carrying Railway Vehicle” in the following provisions:

Transitional Provision

28 A person may, for a period of six months that begins on the day on which these Regulations come into force, comply with the Transportation of Dangerous Goods Regulations as they read immediately before that day.

Coming Into Force

29 These Regulations come into force on the day on which they are published in the Canada Gazette, Part II.

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