Determination No. W-2023-216
Application by Algoma Tankers Limited, pursuant to the Coasting Trade Act, SC 1992, c 31 (Act), for a licence
Algoma Tankers Limited applied to the Minister of Public Safety and Emergency Preparedness (Minister) for a licence to use the Birgit Knutsen, an oil tanker registered in Malta, to transport approximately 580,000 to 650,000 barrels of clean petroleum, in multiple voyages, from Sarnia, Ontario, to Nanticoke, Ontario, and/or Sept-Îles, Quebec; from Nanticoke to Oakville, Ontario, and/or Montréal, Quebec, and/or Quebec City, Quebec, and/or Dartmouth, Nova Scotia; from Dartmouth to Sydney, Nova Scotia, and/or Corner Brook, Newfoundland and Labrador, and/or Sept Îles. The activity started on September 1, 2023, and will end on October 31, 2023.
On July 19, 2023, the Canadian Transportation Agency (Agency) determined, in Determination W‑2023‑151, that there was no suitable Canadian ship available to perform the activity described in Algoma Tankers Limited’s coasting trade licence application.
On October 26, 2023, Algoma Tankers Limited, pursuant to section 32 of the Canada Transportation Act, SC 1996, c 10, (CTA), applied for a variance of Determination W‑2023‑151, seeking permission to extend the licence deadline for the Birgit Knutsen from October 31, 2023 to December 1, 2023.
Algoma Tankers Limited submits that, due to the strike action taken by employees of the St. Lawrence Seaway Management Corporation since October 22, 2023, it has greatly restricted the ability for the Birgit Knutsen to move the required clean petroleum destined for Sept-Îles, Sydney, Corner Brook and Dartmouth. The applicant confirms that the approved amount of clean petroleum will not exceed the amount indicated in the original licence.
Pursuant to section 32 of the CTA, the Agency may review, rescind or vary any decision made by it if, in the opinion of the Agency, since the issuance of the decision, there has been a change in the facts or circumstances pertaining to the decision. Accordingly, the Agency must first determine whether there has been a change in the facts or circumstances pertaining to the decision and, if so, determine whether such a change is sufficient to warrant a variance of the decision.
The Agency has considered the application and finds, pursuant to section 32 of the CTA, that there has been a change in the facts and circumstances pertaining to Determination W-2023-151 since it was issued and that this change is sufficient to warrant a variance. The Agency considers that this change in facts and circumstances, being the recent strike action taken by employees of the St. Lawrence Seaway Management Corporation, could not have been known to Algoma Tankers Limited at the time of application for a coasting trade licence. The Agency further finds that the resulting restricted ability for the Birgit Knutsen to move the required clean petroleum in accordance with the original term of the licence is of sufficient magnitude to warrant a variance of the determination.
The Agency notes that other than extending the licence deadline for the Birgit Knutsen from October 31, 2023, to December 1, 2023, there are no other modifications to the nature or scope of the proposed activity.
Accordingly, the Agency, pursuant to section 32 of the CTA, varies Determination W‑2023‑151.
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