Decision No. 118-R-1992

March 4, 1992

File No. T6550-4/92

Section 41 of the Western Grain Transportation Act, S.C. 1980-81-82-83, c. 168 states:

"41.(1) The Commission shall, on or before March 31 of each year, designate and in the manner it determines publish a list of the railway branch lines or segments thereof in the Western Division that shall be deemed to be grain dependent branch lines for the next crop year.

(2) The Commission shall make the designation under subsection (1) where it is of the opinion that, based on the average of the three immediately preceding calendar or crop years,

(a) the tonnage of grain moved that originated or terminated on the line or segment thereof was equal to or greater than sixty per cent of the total tonnage of all traffic that originated or terminated on the line or segment thereof, and

(b) the freight revenue less volume-related variable costs in respect of traffic other than movement of grain received by the railway company that operates the line or segment thereof did not exceed the cost associated with the line or segment thereof,

or where it is of the opinion that the line or segment thereof is not used by the railway company for operations other than the movement of grain."

Section 355 of the National Transportation Act, 1987, R.S.C., 1985, c. 28 (3rd Supp.), states:

"355. The definition "Commission" in subsection 2(1) of the Western Grain Transportation Act is repealed and the following substituted therefor:

"Commission" means the National Transportation Agency;"

With respect to the branch lines or segments thereof in the Western Division listed in Schedule I (CN) and Schedule II (CP) attached, the National Transportation Agency is of the opinion that, based on the criteria set out in subsection 41(2) of the Western Grain Transportation Act, these lines should be designated.

Therefore, the National Transportation Agency hereby designates, under subsection 41(1) of the Western Grain Transportation Act, the railway branch lines or segments thereof in the Western Division listed in Schedule I (CN) and Schedule II (CP) attached, and these lines or segments shall be deemed to be grain dependent branch lines for the crop year 1992/93.