New Marine Safety Inspection Fees

Summary#

The Marine Safety Fees Regulations (SOR/2021-59) set new fees for a range of marine safety inspections and related services. They replace older fee rules (including the Port Wardens Tariff), phase in higher fees between April 1, 2021 and April 1, 2023, and start annual indexation to inflation on April 1, 2024.

What it does#

• Introduces a consolidated set of inspection fees for marine cargo, dangerous goods, shippers’ procedure verifications, tank prewash work, and follow-up Port State Control inspections.
• Key final fee amounts (after the 3‑year phase-in) include:
  • Inspection for concentrated cargoes, grain or timber: $750 per day; document issuance after inspection: $1,010 per day.
  • Verification of shippers’ procedures: initial or modification $2,500; intermediate or renewal $1,250.
  • Inspections for solid bulk or packaged dangerous goods: $1,500.
  • Tank prewash witness or exemption review: fixed $3,075 for up to 3.75 hours, then additional hourly rates of $105, $307, or $336 depending on time/day.
  • Port State Control follow-up inspections: $1,870 (minor deficiencies) and $4,200 (to lift a detention).
• Repeals the Port Wardens Tariff and consolidates related charges into the single set of Marine Safety Fees Regulations.
• Fees are generally invoiced after the service; Transport Canada removed a pre‑payment requirement.
• Fees will be adjusted yearly for inflation under the Service Fees Act starting April 1, 2024.
• Service standards were set (for example, issuing a certificate within 24 hours of a satisfactory inspection).

Who's affected#

• Mainly vessel owners and operators — an estimated 95% of the cost impact falls on foreign vessel owners and 5% on Canadian vessel owners.
• Shippers who request verification of procedures for cargoes that may liquefy.
• “Interested persons” who ask for dangerous‑goods inspections.
• Masters or owners who request prewash exemptions or have tanks witnessed during prewash.
• The changes are administered by Transport Canada and link to other rules such as the Cargo, Fumigation and Tackle Regulations and the Vessel Pollution and Dangerous Chemicals Regulations.

Concrete cost estimates in the government analysis:

• Total incremental cost recovered through these fees over 2021–2030: $8.87 million.
• Estimated share borne by foreign vessel owners: $8.43 million; by Canadian vessel owners: $0.44 million.

Why it matters#

• The rule shifts more of the direct cost of marine inspections from Canadian taxpayers to the users of those services — mainly shipowners (mostly foreign).
• Shipping companies that load or operate vessels in Canada may see higher inspection bills. That can affect operating costs, scheduling and planning at ports.
• For the public, the change aims to keep inspection services funded and consistent without expanding taxpayer support. It also intends to simplify fee rules scattered across older documents.
• The regulation ties fees to inflation going forward, so charges can increase over time without separate rule changes.