Changes in the Framework for Canada’s Drone Regulations

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On June 24, 2023, the Government of Canada (GoC) issued a Regulatory Impact Analysis Statement under the Aeronautics Act, addressing the regulatory framework for remotely piloted aircraft systems (RPAS). This initiative by the Department of Transport aims to respond to rapid technological advancements in the RPAS sector, particularly concerning larger systems and increased automation. The initial RPAS regulations, introduced in 2019, focused on small RPAS operating within visual line-of-sight (VLOS) but have become insufficient as the industry has expressed a pressing need for clearer regulations governing medium-sized RPAS and beyond visual line-of-sight (BVLOS) operations.

The proposed regulatory amendments seek to foster economic growth and enhance the safety and efficiency of RPAS operations. By allowing RPAS weighing up to 150 kg to operate within VLOS and establishing guidelines for routine BVLOS operations in sparsely populated areas and uncontrolled airspace, the GoC aims to streamline the approval process. Currently, operators must seek case-by-case approvals through a Special Flight Operations Certificate (SFOC), which can be cumbersome and time-consuming. The new framework would eliminate the need for an SFOC for certain operations, thus reducing administrative burdens and enabling more competitive practices in the global market.

The regulatory proposal includes new pilot certification requirements, updated technical standards for RPAS, and specific operational procedures, such as maintaining distances from airports and populated areas. It also introduces new service fees related to these regulatory changes. These updates are expected to facilitate innovative use cases for RPAS, including applications in package delivery, environmental assessments, and infrastructure inspections, which are increasingly performed more efficiently than traditional methods.

Financially, the proposed amendments are projected to incur costs of approximately $26.02 million over a ten-year period (2024-2033), primarily affecting industry players through maintenance and certification expenses. The GoC will also bear costs for maintaining an online service platform and regulatory enforcement. In contrast, the anticipated benefits of these changes are estimated at $40.23 million over the same timeframe, stemming from increased operational efficiency, reduced need for SFOCs, enhanced profitability for domestic manufacturers, and a rise in recreational flying activities. This results in a net benefit of approximately $14.21 million.

This collaboration aims to align Canada’s regulations with those in other jurisdictions, such as the United States, the European Union, Brazil, and Australia, promoting a more cohesive international framework for RPAS operations.

These regulatory amendments are designed to support the evolving RPAS industry by providing a more flexible and predictable regulatory environment. This initiative aims to spur economic recovery in Canada post-pandemic by leveraging advancements in RPAS technology for various practical applications.

Canada (Proposed) June 24, 2023