New Marine Safety Management Regulations

Summary#

The Marine Safety Management System Regulations are final rules that expand safety-management requirements to most Canadian commercial vessels. They replace the old Safety Management Regulations and came into force on July 3, 2024.

What it does#

• Requires the ship manager (the person or company who runs a vessel’s shore-based and on-board operations) to develop, implement and keep a written safety management system (SMS) for almost all commercial Canadian vessels.
• Divides vessels into five classes and tailors requirements by size and role:
  • Class 1: SOLAS vessels (no change to existing ISM Code rules).
  • Class 2: vessels 500 gross tonnage or more, or 24 m+ certified for 50+ passengers.
  • Class 3: vessels 24 m+ but under 500 gross tonnage.
  • Class 4: vessels over 15 gross tonnage, or 15 gross tonnage or less if they carry passengers or are towboats.
  • Class 5: non‑passenger vessels 15 gross tonnage or less.
• Keeps international rules for foreign ships: foreign vessels subject to Chapter IX of SOLAS must carry valid ISM certificates and operate under their documented SMS while in Canadian waters.
• Sets certification and inspection steps: Documents such as a Canadian Document of Compliance and a Canadian Safety Management Certificate will be issued, inspected and (for some classes) periodically endorsed. Records of audits and reviews must be kept for 5 years.
• Staggers compliance deadlines so operators have time to adopt SMSs. The maximum transition period is 3 years, with many larger and passenger vessels expected to comply within 2 years.
• Adds enforcement tools, including new administrative monetary penalties. The government estimates the overall cost of the rules at $100.40 million (present value), with about $85.00 million of that falling on businesses. The government expects to recover about $2.00 million in fees.

Who's affected#

• Ship managers, vessel owners and authorized representatives who run commercial vessels in Canada.
• Masters and crew responsible for keeping SMS documents and following the SMS on board.
• Recognized Organizations (third‑party certifiers) and Transport Canada, which will inspect and certify many vessels.
• About 16,143 Canadian vessels are in scope.
• Roughly 5,209 small businesses are estimated to be affected.
• The Government of Canada (about 1,889 government‑owned vessels) will also have to comply for its vessels.

Why it matters#

• The rules extend a safety system already used for large international ships to most domestic commercial vessels. That is intended to improve planning for hazards, reduce accidents, and strengthen safety culture on board and ashore.
• Transport Canada and the Transportation Safety Board have said broader SMS coverage can reduce injuries, fatalities and pollution from marine incidents. The government’s break‑even estimate is an annual reduction of about 70 occurrences (roughly 25.6%) to offset costs.
• For operators, the change means new paperwork, audits, training and possible certification fees. For the public, it aims to lower the risk of marine accidents and environmental harm in Canadian waters.