Registration Database for Dangerous Goods Sites

Summary#

The federal government is proposing changes to the Transportation of Dangerous Goods Regulations to create a new online registration database for places in Canada where dangerous goods are imported, offered for transport, handled or transported. This is a proposal (published June 25, 2022) — not law yet — and would mainly make businesses report basic site and goods information so Transport Canada can better target inspections.

What it does#

• Requires most people and businesses that import, offer for transport, handle or transport dangerous goods at a Canadian location (a “Site”) to register in a new online registration database.
• Requires registrants to give administrative details (for example, Canada Revenue Agency business number, contact info, and site addresses) and to list the classes/divisions of dangerous goods and modes of transport used at each Site.
• For certain higher‑risk goods, registrants must also report the UN number, their ERAP number, the quantity range in the previous year, and the number of consignments in the previous year.
• Requires annual renewal of registration and that registrants update administrative or activity changes within 30 days.
• Gives existing businesses a one‑year transitional window to register after the rules come into force; businesses that start afterwards must register within 90 days of beginning activities.
• Sets out a new definition of “Site” and gives examples for marine, air and rail locations. It also lists several exemptions (examples: some low‑risk retail/courier activities, oil wells, cross‑border movements with no Canadian HQ or Site, and self‑employed truck owner‑operators).
• Transport Canada estimates the monetized costs as $12.39 million to industry and $2.67 million to the government (total $15.07 million) over 2022–2031 (10‑year analysis). Expected safety benefits were not monetized.

Who's affected#

• Primarily businesses that import, offer for transport, handle or transport dangerous goods at Sites in Canada. Transport Canada estimates about 57,020 businesses would be affected.
• Most impacted businesses are expected to be small: about 80% of the affected businesses (around 45,616) are classified as small. The estimated present‑value cost to small businesses over the analysis period is $9.91 million, or about $196 per small business (annualized $27.85).
• The road transport sector would bear most of the cost (about 70% of the industry cost). The remainder (30%) would fall on air, rail and marine sectors.
• The government agency running this is Transport Canada, which would build and run the database and use the data for risk scoring and inspection planning.
• Some groups are explicitly exempted (see What it does). If it is unclear whether a particular activity or location is a “Site” under the proposal, the rules or examples in the proposed text should be checked.

Why it matters#

• Transport Canada says it currently lacks a complete list of Sites that handle dangerous goods. Between 2009 and 2021 about 2,500 reportable on‑Site incidents were notified to TC, and only 84 of those happened at Sites already in TC’s oversight system — about 96.6% of incidents happened at Sites that were unknown to TC. Better data could help focus inspections where the risk is highest.
• The new database is intended to help Transport Canada assign more accurate risk scores, prioritize inspections, and reduce the chance or severity of dangerous‑goods incidents. That could mean better protection for workers and nearby communities.
• There is an administrative cost and time burden for businesses (estimates include initial registration times of about 4 hours for higher‑risk registrants and 1.5 hours for lower‑risk registrants; annual renewals average 1 hour for higher‑risk and 25 minutes for lower‑risk registrants). The government expects to spend money to build and maintain the system.
• The proposal is intended to close a known information gap. The safety benefits are described qualitatively by Transport Canada but were not quantified in the analysis, so the size and timing of those benefits are uncertain.