Civil Air Navigation Services Commercialization Act

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Sections467

• 1Short title

  This Act may be cited as the Civil Air Navigation Services Commercialization Act.

• 2Definitions
• 2(1)

  The definitions in this subsection apply in this Act.

• 2(1)[p3]

  aeronautical communication services means aeronautical broadcasting services, aeronautical fixed services and aeronautical mobile services as referred to in Annex 10 to the Chicago Convention. (services de communication aéronautique)

• 2(1)[p4]

  aeronautical information services means services necessary to meet those requirements of Annexes 4 and 15 to the Chicago Convention that relate to aeronautical information. (services d’information aéronautique)

• 2(1)[p5]

  aeronautical radio navigation services means aeronautical radio navigation services as referred to in Annex 10 to the Chicago Convention, and includes the provision of electronic radio navigation guidance information enabling aircraft operating under instrument flight rules to navigate during the departure, en route, approach and terminal phases of flight. (services de radionavigation aéronautique)

• 2(1)[p6]

  Agency means the Canadian Transportation Agency continued by subsection 7(1) of the Canada Transportation Act. (Office)

• 2(1)[p7]

  air navigation services means in respect of Canadian airspace or any other airspace in respect of which Canada has responsibility for the provision of air traffic control services. (services de navigation aérienne)

• 2(1)[p7](a)

  aeronautical communication services,

• 2(1)[p7](b)

  aeronautical information services,

• 2(1)[p7](c)

  aeronautical radio navigation services,

• 2(1)[p7](d)

  air traffic control services,

• 2(1)[p7](e)

  aviation weather services,

• 2(1)[p7](f)

  emergency assistance services, and

• 2(1)[p7](g)

  flight information services,

• 2(1)[p15]

  air traffic control services means services, other than flight information services, provided for the purpose of

• 2(1)[p15](a)

  preventing collisions between

• 2(1)[p15](a)(i)

  aircraft,

• 2(1)[p15](a)(ii)

  aircraft and obstructions, and

• 2(1)[p15](a)(iii)

  aircraft and vehicles on the manoeuvring area; and

• 2(1)[p15](b)

  expediting and maintaining an orderly flow of air traffic. (services de contrôle de la circulation aérienne)

• 2(1)[p21]

  airport air traffic control services means air traffic control services, other than en route air traffic control services, provided to aircraft on the manoeuvring area and in the airspace in the vicinity of an aerodrome, and includes the issuance of air traffic control clearances for aircraft to taxi, take off or land. (services de contrôle de la circulation aérienne en zone aéroportuaire)

• 2(1)[p22]

  apron means the part of an aerodrome that is intended to accommodate the loading and unloading of passengers and cargo, the refuelling, servicing, maintenance and parking of aircraft and any movement of aircraft, vehicles and pedestrians necessary for those purposes. (aire de trafic)

• 2(1)[p23]

  aviation weather services means the specification of the location and frequency of weather observations and forecasts for aviation purposes in accordance with the Aeronautics Act and regulations made under that Act, the procurement of those observations and forecasts and the dissemination of weather information for aviation purposes, including the dissemination by weather briefings. (services de météorologie aéronautique)

• 2(1)[p24]

  Chicago Convention means the Convention on International Civil Aviation signed at Chicago on December 7, 1944, as amended from time to time. (Convention de Chicago)

• 2(1)[p25]

  civil air navigation services means air navigation services other than when provided pursuant to the Minister of National Defence’s authority under the National Defence Act or the Aeronautics Act. (services de navigation aérienne civile)

• 2(1)[p26]

  Corporation means NAV CANADA, a corporation incorporated on May 26, 1995 under Part II of the Canada Corporations Act. (société)

• 2(1)[p27]

  designated civil air navigation services asset means an asset designated pursuant to subsection (3). (biens désignés)

• 2(1)[p28]

  designated employee means a person whose name appears on a list established pursuant to subsection (4). (employé désigné)

• 2(1)[p29]

  designated northern or remote services means

• 2(1)[p29](a)

  civil air navigation services designated pursuant to subsection (5); and

• 2(1)[p29](b)

  the services that result from a termination or reduction of designated northern or remote services in accordance with sections 18 to 22, including any civil air navigation services introduced in connection with the termination or reduction. (services aux régions nordiques ou éloignées)

• 2(1)[p32]

  emergency assistance services means services provided for the purpose of

• 2(1)[p32](a)

  assisting aircraft in a state of emergency, including aircraft in the uncertainty, alert and distress phases;

• 2(1)[p32](b)

  assisting aircraft involved in a hijacking; or

• 2(1)[p32](c)

  alerting rescue co-ordination agencies of missing or overdue aircraft. (services d’urgence)

• 2(1)[p36]

  en route air traffic control services means air traffic control services provided to aircraft operating between aerodromes, including aircraft flying through Canadian airspace or any other airspace in respect of which Canada has responsibility for the provision of air traffic control services without landing or taking off in Canada, and includes the issuance of air traffic control clearances for aircraft to proceed during the departure, en route and approach phases of flight. (services de contrôle de la circulation des aéronefs en vol)

• 2(1)[p37]

  Executive Employment Transition Policy means the Executive Employment Transition Policy approved by the Treasury Board on August 24, 1992, as amended from time to time. (Politique de transition dans la carrière pour les cadres de direction)

• 2(1)[p38]

  flight information services means

• 2(1)[p38](a)

  the dissemination of aviation weather information and aeronautical information for departure, destination and alternate aerodromes along a proposed route of flight;

• 2(1)[p38](b)

  the dissemination of aviation weather information and aeronautical information to aircraft in flight;

• 2(1)[p38](c)

  the acceptance, processing and activation of flight plans, amendments to flight plans and cancellations of flight plans;

• 2(1)[p38](d)

  the acceptance and processing of flight notifications;

• 2(1)[p38](e)

  the exchange of flight plan information with domestic or foreign governments or agencies or foreign air traffic services units; and

• 2(1)[p38](f)

  the provision of known information concerning ground and air traffic. (services d’information de vol)

• 2(1)[p45]

  flight notification means a flight notification within the meaning of regulations made under the Aeronautics Act. (avis de vol)

• 2(1)[p46]

  flight plan means a flight plan within the meaning of regulations made under the Aeronautics Act. (plan de vol)

• 2(1)[p47]

  manoeuvring area means the part of an aerodrome that is intended to be used for the taking off and landing of aircraft and for the movement of aircraft associated with take-off and landing, but does not include aprons. (aire de manoeuvre)

• 2(1)[p48]

  Minister means the Minister of Transport. (ministre)

• 2(1)[p49]

  public service has the same meaning as in subsection 2(1) of the Federal Public Sector Labour Relations Act. (fonction publique)

• 2(1)[p50]

  state aircraft means an aircraft, other than an aircraft operated for commercial purposes, that is owned and operated by the government of a country or the government of a colony, dependency, province, state, territory or municipality of a country. (aéronef d’État)

• 2(1)[p51]

  transfer date means the date provided for as the transfer date in an agreement between Her Majesty in right of Canada and the Corporation. (date de cession)

• 2(1)[p52]

  user means an aircraft operator. (usager)

• 2(1)[p53]

  Work Force Adjustment Directive means the Work Force Adjustment Directive issued on the recommendation of the National Joint Council of the Public Service and with the approval of the Treasury Board, that came into force on December 15, 1991, as amended from time to time. (Directive sur le réaménagement des effectifs)

• 2(2)Same meaning as Aeronautics Act

  Unless a contrary intention appears, words and expressions used in this Act have the same meaning as in subsection 3(1) of the Aeronautics Act.

• 2(3)Designation of assets

  The Minister may designate any asset that is under the management and control of the Minister and used in connection with the provision of civil air navigation services as a civil air navigation services asset.

• 2(4)List of designated employees

  The Minister may establish a list setting out the name of every person employed in the public service whom the Minister designates for the purposes of this Act.

• 2(5)Designation of northern or remote services

  The Minister may, before the transfer date, designate as designated northern or remote services any civil air navigation services that are provided at or in respect of such northern or remote locations as are specified by the Minister.

• 2(6)Civil air navigation services

  For the purposes of this Act, the introduction, increase, termination or reduction of civil air navigation services means the introduction, increase, termination or reduction of those services, or of any particular service included in the definition air navigation services in subsection (1), in respect of a particular location or airspace.

• 2(7)Designated northern or remote services

  For the purposes of this Act, the termination or reduction of designated northern or remote services means the termination or reduction of those services, or of any particular civil air navigation services making up those services, in respect of a particular location or airspace.

• 2(8)Minister of National Defence

  For the purposes of this Act, a person acting under the authority of the Minister of National Defence includes a person who is doing anything for a defence purpose pursuant to a contract or other arrangement with the Department of National Defence or the Canadian Forces.

• 3Binding on Her Majesty

  This Act is binding on Her Majesty in right of Canada or a province.

• 4Aircraft

  This Act applies in respect of every aircraft in Canadian airspace or any other airspace in respect of which Canada has responsibility for the provision of air traffic control services.

• 5Aeronautics Act

  Nothing in this Act affects the application of the Aeronautics Act.

• 6Authority of Minister of National Defence

  Nothing in this Act derogates from the authority conferred on the Minister of National Defence by the National Defence Act.

• 7Authority to transfer

  The Minister may sell, lease or otherwise transfer the right, title and interest of Her Majesty in right of Canada in designated civil air navigation services assets to the Corporation.

• 8Not agent of Her Majesty

  For all purposes the Corporation is not an agent of Her Majesty in right of Canada and, when providing civil air navigation services, is not doing so on behalf of Her Majesty in right of Canada.

• 9Obligation to provide services

  Subject to this Act, the Corporation shall, on and after the transfer date, provide all users with the civil air navigation services that the Department of Transport provided immediately before the transfer date and shall do so to the same extent as the services were provided by the Department of Transport.

• 10Prohibition
• 10(1)

  Subject to subsections (2) to (4), no person, other than the Corporation, shall, on or after the transfer date, provide in respect of Canadian airspace or any other airspace in respect of which Canada has responsibility for the provision of air traffic control services.

• 10(1)(a)

  aeronautical information services,

• 10(1)(b)

  air traffic control services, or

• 10(1)(c)

  specified flight information services,

• 10(2)Exceptions

  A person may do anything mentioned in subsection (1) if

• 10(2)(a)

  the person is acting under the authority of the Minister of National Defence; or

• 10(2)(b)

  the person is doing so with the written consent of the Corporation.

• 10(3)Exception — airport air traffic control services

  Where a person was providing airport air traffic control services at an aerodrome immediately before March 14, 1996, the person may provide airport air traffic control services at that aerodrome on and after the transfer date until the person is no longer providing the services at the aerodrome.

• 10(4)Exception — aeronautical information services

  A person may provide aeronautical information services if the person is disseminating aeronautical information

• 10(4)(a)

  that was initially disseminated by the Corporation; or

• 10(4)(b)

  that is urgently required for reasons of aviation safety or the safety of the public.

• 10(5)Meaning of specified flight information services

  For the purposes of this section, specified flight information services means

• 10(5)(a)

  the acceptance, processing and activation of flight plans, amendments to flight plans and cancellations of flight plans;

• 10(5)(b)

  the exchange of flight plan information with domestic or foreign governments or agencies or foreign air traffic services units; and

• 10(5)(c)

  the provision of known information concerning ground and air traffic in respect of an aerodrome, where the Corporation is providing that information in respect of that aerodrome.

• 11Designation of Corporation

  The Corporation is hereby designated as the authority in Canada responsible for providing

• 11(a)

  aeronautical information services for the purposes of Annexes 4 and 15 to the Chicago Convention; and

• 11(b)

  air traffic control services for the purposes of Annex 11 to the Chicago Convention.

• 12Technical and operational standards
• 12(1)

  In order to ensure that aeronautical radio navigation services are provided in accordance with technical and operational standards that are consistent and that persons who provide those services have adequate liability insurance in respect of those services, the Corporation may propose technical and operational standards, or the minimum amount of that insurance, to the Minister for inclusion in regulations made under the Aeronautics Act.

• 12(2)Recommendation of Minister

  If, after receiving a proposal under subsection (1), the Minister is satisfied that the standards, or the minimum amount of liability insurance, as the case may be, the Minister shall, after having consulted with interested persons, recommend to the Governor in Council that the standards, or the minimum amount of liability insurance, as the case may be, be incorporated by reference, or specified as the minimum amount of liability insurance, as the case may be, in regulations made under the Aeronautics Act.

• 12(2)(a)

  are adequate with respect to aviation safety and the safety of the public,

• 12(2)(b)

  do not impose an undue obligation on providers of aeronautical radio navigation services, and

• 12(2)(c)

  are reasonable, taking into account practices in other countries,

• 12(3)Publication of standards

  The Corporation shall publish all of its technical and operational standards that are incorporated by reference in regulations made under the Aeronautics Act.

• 13Corporation may plan and manage airspace

  Subject to the Governor in Council’s right under the Aeronautics Act to make regulations respecting the classification and use of airspace and the control and use of aerial routes, the Corporation has the right to plan and manage Canadian airspace and any other airspace in respect of which Canada has responsibility for the provision of air traffic control services, other than airspace under the control of a person acting under the authority of the Minister of National Defence.

• 14Corporation may make changes

  The Corporation may, in accordance with this Act but subject to the provisions of the Aeronautics Act and of any regulations made under that Act that relate to aviation safety or the safety of the public,

• 14(a)

  introduce or increase civil air navigation services;

• 14(b)

  terminate or reduce civil air navigation services; and

• 14(c)

  close or relocate facilities used by it in connection with civil air navigation services.

• 15Notice of changes
• 15(1)

  Where the Corporation proposes to do anything mentioned in section 14 and, in the opinion of the Board of Directors of the Corporation acting reasonably and in good faith, the proposal is likely to affect a significant group of users in a material way, the Corporation shall give notice of the proposal in accordance with this section.

• 15(2)Contents of notice

  The notice must

• 15(2)(a)

  set out the particulars of the proposal; and

• 15(2)(b)

  specify that persons interested in making representations in writing to the Corporation about the proposal may do so by writing to the address set out in the notice.

• 15(3)How notice is to be given

  The Corporation shall send, by mail or by electronic means, a copy of the notice to and, after having done so, the Corporation shall post an electronic version of the notice in a location that is generally accessible to persons who have access to what is commonly referred to as the Internet.

• 15(3)(a)

  representative organizations of users whose members will, in the opinion of the Corporation, be affected by the proposal, and

• 15(3)(b)

  every user and other person who has, at least 10 days before, notified the Corporation of their desire to receive notices or announcements under this Act,

• 16When proposal can be implemented

  Where a notice is required to be given under section 15 in respect of anything mentioned in section 14, the Corporation may only do that thing after 60 days have expired since the day the notice was posted in accordance with subsection 15(3).

• 17Order under s. 4.91(1) of the Aeronautics Act

  Sections 15 and 16 do not apply if the Corporation is increasing civil air navigation services in order to comply with an order made under subsection 4.91(1) of the Aeronautics Act.

• 18Notice of termination or reduction
• 18(1)

  Where the Corporation proposes to terminate or reduce designated northern or remote services and, in the opinion of the Board of Directors of the Corporation acting reasonably and in good faith, the proposal is likely to affect a significant group of users or residents in a material way, the Corporation shall give notice of the proposal in accordance with this section.

• 18(2)Contents of notice

  The notice must

• 18(2)(a)

  set out the particulars of the proposal, including whether civil air navigation services are going to be introduced as a result of the termination or reduction; and

• 18(2)(b)

  specify that persons interested in making representations in writing to the Corporation about the proposal may do so by writing to the address set out in the notice.

• 18(3)How notice is to be given

  The Corporation shall and, after having done so, the Corporation shall send, by mail or by electronic means, a copy of the notice to the government of every province affected by the termination or reduction.

• 18(3)(a)

  send, by mail or by electronic means, a copy of the notice to

• 18(3)(a)(i)

  representative organizations of users whose members will, in the opinion of the Corporation, be affected by the termination or reduction of services, and

• 18(3)(a)(ii)

  every user and other person who has, at least 10 days before, notified the Corporation of their desire to receive notices or announcements under this Act, and

• 18(3)(b)

  post an electronic version of the notice in a location that is generally accessible to persons who have access to what is commonly referred to as the Internet,

• 19Rejection of proposal
• 19(1)

  Subject to sections 20 to 22, where a notice is required to be given under section 18 in respect of a proposal to terminate or reduce designated northern or remote services, the Corporation may only implement the proposal if, within 45 days after sending the notice to the government of the provinces affected by the proposal, the Corporation is not notified in writing that the government of any province affected by the proposal, or users, have rejected it.

• 19(2)Rejection by users

  For the purposes of this section and section 20, users are deemed to have rejected a proposal if users accounting for at least one third of the revenues received by the Corporation in respect of civil air navigation services at the nearest aerodrome in the 12 months immediately before the day the notice required under section 18 was sent to the government of the provinces affected by the termination or reduction, indicate their disapproval of the proposal in writing.

• 20Minister may approve proposal
• 20(1)

  Where the Corporation may implement the proposal if the Minister approves it in writing and the Corporation complies with sections 21 and 22.

• 20(1)(a)

  the government of a province affected by a proposal to terminate or reduce designated northern or remote services has rejected the proposal, or

• 20(1)(b)

  users have rejected the proposal,

• 20(2)No compensation

  The Corporation is not entitled to financial compensation for any financial loss that results or may result from the Minister’s not approving a proposal.

• 21Announcement of termination or reduction
• 21(1)

  Before implementing a proposal to terminate or reduce designated northern or remote services in respect of which a notice is required to be given under section 18, the Corporation shall make an announcement in accordance with this section.

• 21(2)Contents of announcement

  The announcement must

• 21(2)(a)

  set out the particulars of the termination or reduction, including whether civil air navigation services are going to be introduced as a result of the termination or reduction; and

• 21(2)(b)

  specify when the termination or reduction will become effective.

• 21(3)How announcement is to be made

  The Corporation shall and, after having done so, the Corporation shall send, by mail or by electronic means, a copy of the announcement to the government of every province affected by the termination or reduction.

• 21(3)(a)

  send, by mail or by electronic means, a copy of the announcement to

• 21(3)(a)(i)

  representative organizations of users whose members will, in the opinion of the Corporation, be affected by the termination or reduction, and

• 21(3)(a)(ii)

  every user and other person who has, at least 10 days before, notified the Corporation of their desire to receive notices or announcements under this Act, and

• 21(3)(b)

  post an electronic version of the announcement in a location that is generally accessible to persons who have access to what is commonly referred to as the Internet,

• 21(4)Time for making announcement

  The announcement may only be made after 60 days have expired since the day the notice required under section 18 was sent to the government of the provinces affected by the termination or reduction.

• 22When proposal can be implemented

  The Corporation may only implement a proposal to terminate or reduce designated northern or remote services after 10 days have expired since the day the announcement required under section 21 was sent to the government of the provinces affected by the termination or reduction.

• 23Policies to be established
• 23(1)

  The Corporation shall, within one year after the transfer date, establish policies consistent with this Act concerning the levels of civil air navigation services it provides.

• 23(2)Application of policy

  Subject to this Act, the Corporation shall apply its level of service policies in a consistent manner.

• 23(3)Revising policies

  The Corporation may revise its level of service policies from time to time.

• 23(4)Publication

  The Corporation shall publish the level of service policies established or revised under this section.

• 23(5)Provision of services in excess of policy levels

  Where civil air navigation services are requested in excess of the levels provided for in the level of service policies, the Corporation is not required to provide those additional services unless the person requesting them establishes through written evidence that a majority of the users who will be affected in a material way by the provision of the additional services agree to the provision of the additional services.

• 23(6)Affected users

  For the purpose of subsection (5), a user shall be considered to be affected by the provision of additional services only if, in the opinion of the Board of Directors of the Corporation acting reasonably and in good faith, the user is likely to use the additional services, pay more for the service that is to be increased or experience a change in service as a result of the provision of the additional services.

• 23(7)Prior notice

  Before establishing level of service policies or revising those policies, the Corporation shall give notice of its proposal to establish or revise the policies, as the case may be, in accordance with subsections 15(2) and (3).

• 24Directions — northern or remote locations
• 24(1)

  The Governor in Council, on the recommendation of the Minister, may give directions in writing to the Corporation to provide civil air navigation services at or in respect of northern or remote locations designated in the directions.

• 24(2)Directions — international agreements

  Where Canada must, pursuant to an international agreement, provide civil air navigation services in a certain manner or to a certain extent, the Governor in Council, on the recommendation of the Minister, may give directions in writing to the Corporation requiring it to provide the civil air navigation services in that manner or to that extent.

• 24(3)Directions — national security

  The Governor in Council, on the recommendation of the Minister of National Defence, may give directions in writing to the Corporation to provide civil air navigation services if the Governor in Council is of the opinion that it is in the interest of national security to do so.

• 25Sections 15 to 22 do not apply

  Sections 15 to 22 do not apply if the Corporation is doing anything mentioned in section 14 in order to comply with a direction.

• 26Exemption

  A direction is exempt from examination, registration and publication under the Statutory Instruments Act.

• 27Prior consultations

  Before a direction is given, the appropriate Minister shall consult with the Corporation as to its content and timing.

• 28Obligation to implement

  The Corporation shall ensure that every direction it receives is implemented as soon as is practicable.

• 29Implementation in best interests of Corporation

  Compliance by the Corporation with a direction is deemed to be in the best interests of the Corporation.

• 30Notification of implementation

  Immediately after implementing a direction, the Corporation shall notify the appropriate Minister to that effect.

• 31Compensation
• 31(1)

  The appropriate Minister shall compensate the Corporation for any financial loss determined in accordance with subsection (2) that it has sustained or will sustain in complying with a direction under subsection 24(1) or (3) and for that purpose, the appropriate Minister may require an audit of the books and records of the Corporation to determine the amount of that financial loss.

• 31(2)Financial loss

  The financial loss for which compensation is payable under this section is the amount by which the incremental costs to the Corporation resulting from complying with the direction exceed the incremental revenues generated by the provision of the services.

• 31(3)Appropriation required

  The amount of compensation shall be paid out of money appropriated by Parliament for the purpose.

• 32Charges for availability or provision of services
• 32(1)

  The Corporation may impose charges on a user for the availability or provision of air navigation services provided by the Corporation or a person acting under the authority of the Minister of National Defence.

• 32(2)Exception

  No charge may be imposed under subsection (1)

• 32(2)(a)

  on a user who is a person acting under the authority of the Minister of National Defence; or

• 32(2)(b)

  on a user in respect of a state aircraft of a foreign country, unless the foreign country has been designated under subsection (3).

• 32(3)Designation

  The Governor in Council may, by order, designate any country to be a country in respect of which charges may be imposed for the purpose of subsection (2).

• 32(4)Deeming

  A charge imposed on a user under subsection (1) is deemed to be in respect of aircraft operated by that user.

• 32(5)Restriction

  No charge may be imposed under subsection (1) in respect of air navigation services provided by a person acting under the authority of the Minister of National Defence unless the Corporation provides and charges for similar services in respect of Canadian airspace or any other airspace in respect of which Canada has responsibility for the provision of air traffic control services.

• 32(6)Telecommunications Act

  The Telecommunications Act does not apply in respect of any charges imposed by the Corporation pursuant to this Act.

• 33Initial charges
• 33(1)

  Subject to this Act, the charges imposed by the Corporation on or after the transfer date for air navigation services shall be the charges that were imposed by the Minister immediately before the transfer date.

• 33(2)Charges not new or revised charges

  For the purposes of this Act, charges imposed under subsection (1) are not new charges for air navigation services or revised charges.

• 34New and revised charges
• 34(1)

  Subject to this Act, the Corporation may, on or after the transfer date, establish new charges for air navigation services and revise existing charges, including a charge referred to in subsection 33(1).

• 34(2)Where dollar amount changes

  The Corporation is deemed to be revising an existing charge each time the dollar amount of the charge changes.

• 35Charging principles
• 35(1)

  The Corporation shall observe the following principles when establishing a new charge for air navigation services or revising an existing charge:

• 35(1)(a)

  charges must be in accordance with a methodology established and published by the Corporation that is explicit and that also includes the terms and conditions affecting charges;

• 35(1)(b)

  charges must not be structured in such a way that a user would be encouraged to engage in practices that diminish safety for the purpose of avoiding a charge;

• 35(1)(c)

  charges for the same services must not differentiate between domestic and international flights of air carriers;

• 35(1)(d)

  charges for the same services must not differentiate among Canadian air carriers or among foreign air carriers;

• 35(1)(e)

  charges must differentiate between the provision of services in relation to the landing and take-off of aircraft and the provision of services in relation to aircraft in flight, and must reflect a reasonable allocation of the costs of providing the services in those circumstances;

• 35(1)(f)

  charges in respect of recreational and private aircraft must not be unreasonable or undue;

• 35(1)(g)

  charges for designated northern or remote services and for services directed to be provided under subsection 24(1) must not be higher than charges for similar services utilized to a similar extent elsewhere in Canada;

• 35(1)(h)

  charges must be consistent with the international obligations of the Government of Canada; and

• 35(1)(i)

  charges must not be set at a level that, based on reasonable and prudent projections, would generate revenues exceeding the Corporation’s current and future financial requirements in relation to the provision of civil air navigation services.

• 35(2)Value of the services

  The charging methodology may recognize that the value of the services differs among users.

• 35(3)Application of principle

  Where the Corporation’s charging methodology recognizes the value of the services and aircraft weight is used as a measure of the value of the services, the principle referred to in paragraph (1)(a) is deemed not to have been observed if aircraft weight is taken into account either directly proportionally or greater than directly proportionally.

• 35(4)Meaning of weight

  For the purpose of subsection (3), weight, in relation to an aircraft, means the maximum permissible take-off weight specified in the aircraft’s certificate of airworthiness or in a document referred to in that certificate.

• 35(5)Financial requirements

  For the purpose of paragraph (1)(i), the financial requirements of the Corporation in relation to the provision of civil air navigation services include, without duplication, the Corporation’s to the extent that they relate to the provision of those services, less the amount determined in accordance with subsection (6).

• 35(5)(a)

  costs incurred before the transfer date,

• 35(5)(b)

  operations and maintenance costs,

• 35(5)(c)

  management and administration costs,

• 35(5)(d)

  debt servicing requirements and financial requirements arising out of contractual agreements relating to the borrowing of money,

• 35(5)(e)

  depreciation costs on capital assets,

• 35(5)(f)

  financial requirements necessary for the Corporation to maintain an appropriate credit rating,

• 35(5)(g)

  tax liability,

• 35(5)(h)

  reasonable reserves for future expenditures and contingencies, and

• 35(5)(i)

  other costs determined in accordance with accounting principles recommended by the Chartered Professional Accountants of Canada or its successor,