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News Release

Canadian Transportation Agency Finds Port of Nanaimo Passenger Fees Should Be Revised

OTTAWA - June 30, 2006 - The Canadian Transportation Agency has ruled that a passenger fee tariff introduced by the Nanaimo Port Authority (NPA) in March 2005 is, in part, unjustly discriminatory and that it should be replaced by a revised tariff. The Decision is the result of a number of complaints about various fees levied by the NPA in respect of persons travelling on passenger ferry and float plane services.

Under the Canada Marine Act (CMA), the Agency is empowered to hear complaints about port fees and determine if they are unjustly discriminatory. A port authority must govern itself according to an Agency Decision on such matters.

The complaints against the NPA were filed by 52 private citizens, Amigo Airways Corporation, Seair Seaplanes Ltd. and Kenmore Air Harbor Inc. Namaimo Harbour Link Corporation (also known as HarbourLynx) sought and obtained intervener status in support of the applicants, but later ceased operations.

In its Decision, the Agency stated that "the NPA made an attempt in good faith to generate additional revenue by introducing new passenger fees in March 2005". The Agency added that it did "not find that there was any deliberate attempt by the NPA to create situations of undue preference or undue disadvantage between the various port users". However, the Agency did find that "the manner in which the NPA applied the "new passenger fees", together with the arbitrary way in which fees were determined, resulted in situations which contravened the provisions of the CMA regarding allowable discrimination in fees between users or classes of users".

As part of its investigation into this matter, the Agency held a public hearing in Nanaimo from May 9 to 11, 2006.

The Canadian Transportation Agency is an independent quasi-judicial tribunal that regulates various modes of transportation under Government of Canada jurisdiction, including marine, air and rail.

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For further information, please contact:

Marc Comeau
Senior Communications Adviser
(819) 953-9961

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