Order No. 2018-R-130
IN THE MATTER OF Certificate of Fitness No. 15001 held by Logistec Stevedoring (Nova Scotia) Inc. carrying on business as Sydney Coal Railway.
Logistec Stevedoring (Nova Scotia) Inc. carrying on business as Sydney Coal Railway (Logistec) is the holder of Certificate of Fitness No. 15001, issued by the Canadian Transportation Agency (Agency) pursuant to subsection 92(1) of the Canada Transportation Act, S.C., 1996, c. 10, as amended (CTA), which permits Logistec to operate a railway in the province of Nova Scotia between the International Pier on the waterfront in Sydney and the Lingan power generating plant; the railway lines through the coal storage facility at Victoria Junction, including the railway maintenance center; and a portion of the Glace Bay railway line between the railway maintenance center and the end of the Old Tank siding, Cape Breton Island.
Paragraph 93.1(1)(b) of the CTA requires that the holder of a Certificate of Fitness maintain at all times the applicable minimum liability insurance coverage for the operation of the railway for which the certificate was issued.
Section 94.2 of the CTA states that the Agency shall suspend or cancel the Certificate of Fitness if it determines that the liability insurance coverage is no longer adequate.
On July 18, 2018, Logistec submitted that its operating and maintenance contract with Nova Scotia Power Inc. (NS Power), was concluding and that Logistec will consequently cease to operate this railway on July 28, 2018. On July 23, 2108, Logistec also confirmed that there will be no insurance on the railway and its assets as of midnight, July 28, 2018.
Based on the information submitted, the Agency finds that the applicable minimum liability insurance coverage for the rail operations authorized under Certificate of Fitness No. 15001 will not be maintained as required, beyond July 28, 2018. Therefore, pursuant to section 94.2 of the CTA, effective midnight, July 28, 2018, the Agency cancels Certificate of Fitness No. 15001.