Order No. 2015-A-173

APPLICATION

Kelowna Flightcraft Air Charter Ltd. carrying on business as KF Cargo (KF Cargo) has applied to the Canadian Transportation Agency (Agency) for the above exemptions to apply the tariff applicable to its scheduled international cargo services, the International Air Transport Association’s (IATA) Air Cargo Tariff manuals (TACT manuals), to its non‑scheduled international cargo and domestic cargo services.

KF Cargo wishes to proceed in this manner for practical reasons and to alleviate the necessity of developing separate standalone non-scheduled international cargo and domestic cargo tariffs.

ANALYSIS AND FINDINGS

Paragraph 80(1)(b) of the Canada Transportation Act, S.C., 1996, c. 10, as amended (CTA) provides that the Agency may exempt a person from the application of provisions of the Air Transportation Regulations (ATR) where the Agency is of the opinion that an action taken by the person is as effective as actual compliance with the provision.

The Agency has considered the application and finds that the proposed action would be as effective as actual compliance with the provisions identified by KF Cargo in its application.

Therefore, the Agency, pursuant to paragraph 80(1)(b) of the CTA, exempts KF Cargo from paragraph 107(1)(b) and subsections 107(2), 107(3), 110(1), 114(5), 114(6), 115(1), 120(1) and 120(2) of the ATR to the extent necessary to permit KF Cargo to apply the terms and conditions set out in the TACT manuals to its non‑scheduled international cargo and domestic cargo services.

Non-scheduled international service

To apply the terms and conditions set out in the TACT manuals to its non-scheduled international cargo service, KF Cargo must file with the Agency a declaration specifying the following:

1. The Canadian Transportation Agency, pursuant to Order No. 2015-A-173, granted exemptions to KF Cargo to permit it to incorporate by reference the terms and conditions of its tariff for its scheduled international cargo services into its tariff for its non‑scheduled international cargo service.
2. With respect to its non-scheduled international cargo service, KF Cargo adopts, ratifies and makes its own in every respect the content of its tariff for its scheduled international cargo services, as it applies to KF Cargo, including supplements or amendments.

Domestic service

To apply the terms and conditions set out in the TACT manuals to its domestic cargo service, KF Cargo must issue a public declaration specifying the following:

1. The Canadian Transportation Agency, pursuant to Order No. 2015-A-173, granted exemptions to KF Cargo to permit it to incorporate by reference the terms and conditions of its tariff for its scheduled international cargo services into its tariff for its domestic cargo service.
2. With respect to its domestic cargo service, KF Cargo adopts, ratifies and makes its own in every respect the content of its tariff for its scheduled international cargo services, as it applies to KF Cargo, including supplements or amendments.

KF Cargo is required to retain a copy of this declaration as part of its records for the purpose of ensuring that it will meet the public inspection requirement established by section 67 of the CTA.

While the Agency is granting KF Cargo the exemptions, the Agency notes that, at this time, KF Cargo’s domestic and non‑scheduled international licences are suspended with respect to small, medium and large aircraft. Therefore, until such time as KF Cargo’s licences are reinstated, the tariffs will only apply in practice to its all‑cargo services.