The Marine Safety Management System Regulations (SOR/2024-133) under the Canada Shipping Act, 2001, represent a significant improvement of marine safety requirements in Canada. This new regulatory framework addresses existing disparities in safety protocols among vessels and complies with international standards mandated by the International Convention for the Safety of Life at Sea (SOLAS). Previously, the Safety Management Regulations (SOR/98-348) applied only to a limited number of vessels subject to SOLAS, leading to a substantial gap in safety standards for many Canadian ships. Under the former regulations, only 96 vessels were covered, while the new regulations will extend to approximately 16,000 vessels.

The main objective of the Marine Safety Management System Regulations is to ensure that all commercial marine operators adopt formal safety management systems (SMS), which are crucial for improving safety culture and operational preparedness against onboard incidents. The regulations categorize the Canadian fleet into five classes, each with different requirements for SMS implementation and oversight based on vessel size, type, and operation. Class 1 vessels are required to comply with the International Safety Management (ISM) Code, while Classes 2 to 5 have varying transition periods for compliance with SMS requirements, depending on their operations. The primary responsibility for implementing the SMS lies with the ship manager, who is appointed by the vessel’s Authorized Representative (AR) and is tasked with developing, maintaining, and documenting the SMS. Certification of the SMS will be handled by a Recognized Organization or Transport Canada, following the procedures outlined in the MSMSR Guide.

To ensure compliance, the regulations establish a risk-based inspection regime managed by marine safety inspectors, who will conduct regular oversight. Transition periods have been introduced to help various vessel classes adapt to the new requirements, with the longest being three years. Additionally, the regulations amend existing penalties and introduce new violations within the framework of the Administrative Monetary Penalties and Notices (CSA 2001) Regulations, reinforcing the seriousness of compliance.

Implementing the regulations will incur estimated costs of $100.40 million from 2024 to 2035, primarily borne by ARs (approximately $94.61 million). This investment covers expenses related to developing and implementing SMS, as well as service fees for inspections and certifications. Despite these costs, the regulations are expected to lead to a reduction of about 70 marine occurrences annually.

By expanding SMS requirements to a larger segment of the fleet and aligning national regulations with international standards, the new regulations aim to foster a robust safety culture, mitigate risks, and improve overall safety in Canadian waters. Addressing long-standing gaps in safety management, these regulations are critical in ensuring the protection of individuals and the marine environment while striving to reduce the risk of fatalities and environmental damage associated with marine incidents.

Canada (SOR/2024-133) July 3, 2024