Mandate:
The Ship-source Oil Pollution Fund (SOPF) is managed by an arm’s-length Administrator who is appointed by Order in Council and who reports to Parliament through the Minister of Transport. Established under the Marine Liability Act, SOPF pays compensation for claims related to losses or damage caused by ship-source oil pollution in Canadian waters.
The SOPF is generally called upon to compensate claims for oil pollution response costs, or preventive measures taken to minimize damage caused by the discharge — or the risk of a discharge — of any type of oil. The Administrator has a duty to investigate and assess claims made to the Fund and to make an offer of compensation to the claimant for whatever portion of the claim that the Administrator finds to be established and reasonable.
Canada’s marine oil pollution liability and compensation regime is based on the polluter pays principle; therefore, it holds ship-owners strictly liable for oil pollution damage caused by their ship. As such, the SOPF is funded by industry members and not from the Consolidated Revenue Fund and taxpayers.
The SOPF also fulfills Canada’s obligations to the International Oil Pollution Compensation Funds by reporting oil receipts, and paying Canada’s contributions.
Administrator: Anne Legars