Direction Respecting Flight Cancellations for Situations Outside of a Carrier’s Control: SOR/2020-283

Canada Gazette, Part II, Volume 155, Number 1

Registration

SOR/2020-283 December 18, 2020

CANADA TRANSPORTATION ACT

The Minister of Transport, pursuant to subsection 86.11(2) footnote a of the Canada Transportation Act footnote b, issues the annexed Direction Respecting Flight Cancellations for Situations Outside of a Carrier’s Control.

Ottawa, December 17, 2020

Marc Garneau
Minister of Transport

Direction Respecting Flight Cancellations for Situations Outside of a Carrier’s Control

Direction

1 The Canadian Transportation Agency must make a regulation respecting a carrier’s obligations towards passengers in the case of flight cancellations due to situations outside of the carrier’s control that prevent it from ensuring that passengers complete their itinerary within a reasonable time.

Refunds

2 The regulation made by the Canadian Transportation Agency must provide for refunds to passengers for flight cancellations due to situations outside of a carrier’s control, including the situations listed in subsection 10(1) of the Air Passenger Protection Regulations, that prevent it from ensuring that passengers complete their itinerary within a reasonable time.

Lengthy delay

3 In the regulation, the Canadian Transportation Agency may determine that refunds be provided for lengthy delays due to situations outside of a carrier’s control resulting in passengers not being able to complete their itinerary within a reasonable time.

Coming into force

4 This Direction comes into force on the day on which it is registered.

REGULATORY IMPACT ANALYSIS STATEMENT

(This statement is not part of the Direction.)

Executive summary

Issues: Ministerial regulations are required to issue a direction to the Canadian Transportation Agency (the Agency) in order to regulate the provision of refunds for flight cancellations due to situations outside the air carrier’s control, and where it is not possible for the air carrier to complete the passenger’s itinerary within a reasonable time.

Description: The ministerial regulations will serve as a direction to the Agency to create regulations respecting the provision of refunds when flights are cancelled for reasons outside an air carrier’s control and where it is not possible for passengers to complete their itineraries within a reasonable time. It will also give the Agency the authority to determine, in the development of the regulation, whether lengthy delays resulting in the passenger not being able to complete their itinerary within a reasonable time should be captured by the regulation.

Rationale: Pursuant to subsection 86.11(2) of the Canada Transportation Act (the Act), a ministerial regulation is required to issue a direction to the Agency.

Issues

Ministerial regulations are required to issue a direction to the Agency in order to regulate the provision of refunds for flight cancellations outside the air carrier’s control.

Background

This ministerial regulation issues a direction to the Agency to create regulations respecting the provision of refunds for flight cancellations due to situations outside an air carrier’s control and where it is not possible for the carrier to complete the passenger’s itinerary within a reasonable time. The purpose of the regulations is to ensure that Canada’s Air Passenger Protection Regulations (APPR) address refunds for flight cancellations due to situations that are outside the carrier’s control. As per the Statutory Instruments Act, the Direction must be drafted as a ministerial regulation.

Objective

The objective of this ministerial regulation is to fill a gap in the APPR to establish a consistent and fair policy (that is reflected in regulation) with respect to refunds in situations outside of an air carrier’s control, as contemplated in the illustrative list found in subsection 10(1) of the APPR and which result in flight cancellations. The COVID-19 pandemic has highlighted that the Canadian regulatory framework does not address the issue of refunds for flight cancellations due to situations outside of air carriers’ control — such as due to a pandemic — and where it is not possible for the carrier to complete the passenger’s itinerary within a reasonable time.

Description

The ministerial regulation will issue a direction to the Agency to make regulations respecting the provision of refunds towards passengers when flights are cancelled due to situations outside an air carrier’s control and where it is not possible for the carrier to complete the passenger’s itinerary within a reasonable time.

As a result of the direction, the regulation made by the Agency will cover flight cancellations due to situations outside an air carrier’s control including, but not limited to, the situations listed in subsection 10(1) of the APPR and where it is not possible for the carrier to complete passengers’ itinerary within a reasonable time. Furthermore, the direction will provide some flexibility for the Agency to determine, as a result of stakeholder consultations, whether refunds should be provided for lengthy delays due to situations outside the carrier’s control resulting in the passenger not being able to complete their itinerary within a reasonable time.

Regulatory development

Modern treaty obligations and Indigenous engagement and consultation

There are no impacts on Modern treaty obligations and Indigenous engagement and consultations identified for this proposal.

Instrument choice

Directions made under subsection 86.11(2) of the Act are ministerial regulations for the purposes of the Statutory Instruments Act. The Statutory Instruments Act requires such regulations to be registered by the Privy Council Office before they come into force, and must be published in the Canada Gazette.

Regulatory analysis

Benefits and costs

There are no additional costs to industry for implementing these Regulations

One-for-one rule

The one-for-one rule does not apply to this proposal, as there is no change in administrative burden to business.

Strategic environmental assessment

In accordance with the Cabinet Directive on the Environmental Assessment of Policy, Plan and Program Proposals, a preliminary scan concluded that a strategic environmental assessment is not required.

Gender-based analysis plus

No gender-based analysis plus (GBA+) impacts have been identified for this proposal.

Implementation, compliance and enforcement, and service standards

This Direction comes into force on the day on which it is registered.

Contact

Vincent Millette
Acting Director
National Air Policy Services Division
Transport Canada
330 Sparks Street
Place de Ville, Tower C
Ottawa, Ontario
K1A 0N5
Telephone: 343‑996‑9858
Fax: 613‑991‑6445
Email: vincent.millette@tc.gc.ca