Latest developments

Improving Canada’s air passenger rights regime

In June 2023, legislative amendments to the Canada Transportation Act were approved in the Budget Implementation Act, 2023, No.1, to strengthen Canada’s air passenger rights regime and increase confidence in our air industry. These changes aim to:

• put the onus on air carriers to compensate passengers unless they can demonstrate otherwise
• streamline the processes for administering air travel complaints before the Canadian Transportation Agency
• increase air carrier accountability, and
• provide the Agency with enhanced enforcement authorities for non-compliance issues with the Air Passenger Protection Regulations

Acquisition of Sunwing Vacations and Sunwing Airlines by WestJet Airlines Ltd.  

During the year, Transport Canada conducted an extensive public interest assessment of the proposed acquisition of Sunwing (primarily selling vacation packages) by WestJet (the second largest Canadian operator), which included comprehensive consultations with all stakeholders, and review of submissions made by the parties as well as the assessment of the Competition Bureau. The department helped negotiate merger terms and conditions to mitigate some of the public interest concerns raised by the merger, including ensuring connectivity on some routes. The Governor in Council approved the merger in March 2023.

Improving transparency and accountability in air transportation

The department consulted air sector stakeholders in April 2023, on a range of key issues impacting the future of Canada’s air transportation system, including airport modernization, coordination, information sharing, service standards, regional connectivity, and labour challenges.

Building on the results of this consultation, in June 2023, the Minister of Transport introduced Bill C-52, which includes a proposed Air Transportation Accountability Act that would authorize the creation of air transport service standard regulations for air transport and establish an oversight framework for airports with a primary focus on noise consultations, climate change planning, and diversity.

Air transport agreements

Canada expanded our air transport agreements with several bilateral partners in 2023, in response to growing passenger traffic and trade. Canada’s expanded air transport agreements with Ethiopia will permit each country’s airlines to operate up to 7 flights per week, enhancing Canada’s connectivity to both Ethiopia and Africa. The expansion of Canada’s air transport agreements with the United Arab Emirates will now permit each country’s airlines to operate up to 14 flights per week, and expanding the Canada-Türkiye air transport agreement will now permit up to 7 cargo flights per week, per country.

With Jordan, Canada expanded our air transport agreement to permit up to 7 flights per week, per country. These 3 expansions significantly enhance Canada’s people-to-people and commercial connectivity to the Middle East region. Finally, Canada’s expansion of our air transport agreement with Panama offers increased options for travelers and shippers by increasing the number of passenger flights available to each country’s airlines to 14 and removing all restrictions on cargo services.

Permanent mission to the International Civil Aviation Organization (ICAO)

Canada played a key role in the global aviation community as a member of the council and as host country to the ICAO. Canada contributed to the organization’s work adopting standards and recommended practices and promoting safe, secure, environmentally sustainable, and accessible air travel in collaboration with ICAO Member States.

Mutual recognition of air cargo security programs 

Mutual recognition of air cargo security programs has become increasingly important for Canada's economy as international air cargo volumes rise and international standards are updated. Mutual recognition agreements streamline air cargo movements by reducing costs and eliminating redundant screening processes. While Canada and the U.S. have had a mutual recognition agreement for air cargo on passenger flights in place since 2012. Recent reviews of both countries' air cargo security programs were conducted to consider new international requirements for all-cargo flights.

Consequently, as of November 30, 2023, both countries formally recognized each other's all-cargo security programs as equal. This mutual recognition includes acknowledging screening measures for expedited couriers (like FedEx, UPS), and Canada's Explosives Detection Dog and Handler Team certification program (introduced in June 2021 and uses trained detection dogs as an efficient and effective means of screening air cargo). Signing this mutual recognition agreement helps facilitate the smooth movement of Canadian goods through major U.S. airport hubs, enhancing access of Canadian goods to international markets.

Verified traveller program 

Transport Canada is always working to improve the air traveller experience while keeping everyone safe. In June 2023, the Canadian Air Transport Security Authority (CATSA), working with TC, launched the Verified Traveller Program which provides approved air travellers with access to faster security screening. The program was first launched at airports in Calgary, Edmonton, Montreal, Toronto, Vancouver, and Winnipeg, and expanded with “peak time” pilots at airports in Halifax and Ottawa in August 2023.

Over time, the program aims to reduce airport crowding by moving approved travellers move efficiently through screening. Approved travellers receive benefits including being able to leave laptops, electronics, and permitted liquids, aerosols, and gels in their carry-on luggage, as well as keeping shoes, belts, and light jackets on while going through screening checkpoints. Travellers who can benefit from this program include members of NEXUS and Global Entry, active members of the Canadian and U.S. military, Canadian and foreign aircrew with valid work ID, and members of the RCMP. Canadians who want to take advantage of these verified traveller lines should consider applying for the NEXUS Program.

Air right touch 

In 2023, the government began an initiative to make the airport experience smoother for travellers, from check-in to boarding. Air right touch lets passengers choose to use a self-service, automated, and touchless system for travel. The key feature is creating a digital identity at the start of the trip. This makes it easy for facial recognition technology to verify passengers' IDs at different points in the airport, like when boarding. We will keep working with different airlines, airports, the Canadian Air Transport Security Authority (CATSA), the Canada Border Services Agency (CBSA), and Immigration, Refugees, and Citizenship Canada (IRCC) to make air travel smoother and more convenient while keeping security measures and identity verifications strong.

Aviation in Canada is of vital economic importance. Canadians and visitors to the country rely on aviation, as it’s the most capable mode of transport to cover Canada’s vast distance. Aircraft service is also vital to Northern and remote communities, where it’s often the only way to move people and goods. While there are significant benefits to aviation, fossil fuel use in the sector results in greenhouse gas emissions (GHGs). Canada is taking action domestically and internationally to support the use of low-carbon solutions, including sustainable aviation fuels.

ICAO and CORSIA

Transport Canada continues to be actively involved in maintaining the International Civil Aviation Organization’s (ICAO) Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA). The program addresses increases in international aviation emissions by requiring aircraft operators to buy emission units on the open market to offset a portion of their GHG emissions on international flights. This applies to any operator that will emit more than 10,000 tonnes of carbon dioxide emissions on international flights from 2019 to 2035.

In November 2023, Canada participated in ICAO’s Third ICAO Conference on Aviation and Alternative Fuels (CAAF/3) where an ambitious Global Framework for aviation fuels was agreed. Canada—along with other ICAO Member States—will work towards reducing aviation’s carbon intensity by 5% by 2030 using sustainable aviation fuels and other cleaner energies.

Aviation climate action plan

On September 27, 2022, Canada released its Aviation Climate Action Plan (2022-2030). This plan uses a whole-of-government approach that sets a net-zero vision for aircraft emissions by 2050 and defines key decarbonization measures and activities. These include:

• developing and adopting new green aircraft technologies, like electric and hydrogen powered aircraft
• continuing to improve in air and on the ground operations, and 
• using sustainable aviation fuel, which is expected to have the biggest emissions reduction impact, on a life-cycle basis, by 2050

The plan sets out an ambitious goal of 10% sustainable aviation fuel use by 2030 to send a clear signal of the importance of sustainable aviation fuels in emission reductions.

Sustainable aviation task force

In June 2023, Transport Canada and the National Airlines Council of Canada launched and now co-lead a new Sustainable Aviation Task Force, dedicated to overseeing and ensuring the implementation of the Aviation Climate Action Plan. Its membership is made-up of representatives of federal departments, provinces, territories, industry associations, non-governmental organizations, and academia.

Sustainable aviation fuels blueprint for Canada

In 2023, the Sustainable Aviation Task Force began working across government, industry, academia, and non-governmental associations to develop a Sustainable Aviation Fuels Blueprint for Canada. The blueprint’s goal is to lay out what is needed from both the public and private sector to make sure that Canada has enough sustainable fuel available to meet the goal of 10% sustainable aviation fuel use by 2030, while also including deployment forecasts for 2040 and 2050. The blueprint will be published by end of summer 2024.