Registration of non-pleasure craft (small commercial vessels) in the “Small
Vessel Register” – New requirements under the Canada Shipping Act 2001 (CSA
2001)
TABLE OF CONTENTS
Background ^
Under the Canada Shipping Act 2001 (CSA 2001), expected to come into
force in July 2007, all non-pleasure craft (small commercial vessels) will be
required to be registered. All non-pleasure crafts currently licensed by
Transport Canada under the Small Commercial Vessel Licensing System will also be
required to be registered with the department’s Small Vessel Register. This
procedural change is outlined under Part 2, Registration, Listing and Recording
of CSA 2001. Pleasure crafts are no longer required to be registered but must be
licensed unless the owner chooses to be registered.
The main difference between the registration of small commercial vessels in
the large Register (mandatory registration of vessels over 15 gross tons)
and those in the Small Vessel Register (non-pleasure vessels less than or
equal to 15 gross tons) is that vessels on the large Register can
register a mortgage whereas vessels on the Small Vessel Register cannot.
Under the current Small Commercial Vessel Licensing System there is a $50
registration fee and a $50 renewal fee every five years. For the Small Vessel
Register, under the proposed Vessels Registry Fees Tarrif owners of a
fleet of vessels will qualify for a flat fee of $50. To qualify for a flat fee,
there must be two or more vessels, each being less than 5 gross tonnage, that
are owned by the same person. This provision will not apply to government
vessels or to vessels owned and in the service of a municipality or in the
exclusive possession of a municipality.
Transitional Period
There
will be a grace period under Part 13 of the CSA 2001, which will affect small
commercial vessels:
Under Section 272(a) and (b)
- Non-pleasure craft of less
than or equal to 15 gross tons tonnage (GT), that meet the requirements of s.46
of the Act and were licensed under section 108 of the Canada Shipping Act,
chapter S-9 of the Revised Statutes of Canada, 1985 when Part 2 comes into force
whose licences were issued by a customs office on behalf of Transport Canada
will have to be registered (copy of a sample licence attached below). Those
vessels will, however, be deemed to be registered in the Small Vessel Register
until one of two things happens:
- Upon a transfer of ownership wherein the new
owner must apply for registration; OR
- If there is no transfer of ownership,
five years after Part 2 comes into force
- Non-pleasure craft of less than or
equal to 15 GT, that meet the requirements of s.46 of the Act and were licensed
under section 108 of the Canada Shipping Act, chapter S-9 of the Revised
Statutes of Canada, 1985 when Part 2 comes into force whose licences were issued
by Transport Canada when Part 2 came into force, will have to be registered
(copy of a sample licence attached below). Those vessels will, however, be
deemed to be registered in the Small Vessel Register until one of two things
happens:
- Upon expiry of the Small Commercial Vessel Licence (which is valid
for a period of 5 years from the issue date); OR
- Upon a transfer of ownership
wherein the new owner must apply for registration
Sample of Certificate of Registry for vessels under section 54 (1) ^
 Samples of Licences
for vessels under section 272 (a) and (b) ^
S.46 of the Canada Shipping Act 2001 states: ^
Mandatory registration of vessels
46. (1) A vessel must be registered under this Part if it
- is not a pleasure
craft;
- is wholly owned by qualified persons; and
- is not registered, listed
or otherwise recorded in a foreign state.
Obligation of owner
(2) Every owner of
a vessel described in subsection (1) shall ensure that it is registered under
this Part.
Mandatory registration- government vessels
(3) Every government
vessel must be registered under this Part.
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