Decision No. 568-A-2006

October 19, 2006

October 19, 2006

APPLICATION by Air Canada pursuant to subsection 78(2) of the Canada Transportation Act, S.C., 1996, c. 10, for a licence to operate a scheduled international service, medium aircraft and a scheduled international service, large aircraft, between points in Canada and points in Grenada.

File No. M4210/A74-4-65


Air Canada has applied to the Canadian Transportation Agency (hereinafter the Agency) for a licence to operate the service set out in the title. The application was received on October 3, 2006.

Under Licence No. 030161, Air Canada is authorized to operate a scheduled international service, medium aircraft and a scheduled international service, large aircraft, between Canada and Grenada.

Condition No. 2 of Licence No. 030161 states:

Unless terminated at an earlier date in accordance with the CTA, this licence shall terminate on October 29, 2006.

In its request, Air Canada states that it is applying for extension of the authority set out in Licence No. 030161 or issuance of a new scheduled international licence for a period of one year or such period that is consistent with the Agency's policy on granting extra-bilateral authority.

Licence No. 030161 was issued on a temporary basis pursuant to sections 69 and 78 of the Canada Transportation Act (hereinafter the CTA) because there is no bilateral air transport agreement or arrangement between Canada and Grenada for scheduled international services.

By letter dated March 23, 2004, the Minister of Transport designated Air Canada as eligible to hold a scheduled international licence to serve Grenada.

Pursuant to subsection 78(2) of the CTA, the Agency may issue a licence, on a temporary basis, for international air services that are not permitted in an agreement or arrangement relating to civil aviation to which Canada is a party.

The Agency has considered the application and the material in support thereof, and is satisfied that Air Canada meets the requirements of paragraph 69(1)(a) of the CTA.

The Agency notes that by Order No. 2006-A-52 dated January 30, 2006, Air Canada was exempted from the application of section 59 of the CTA, thereby permitting it to sell, cause to be sold or publicly offer for sale in Canada a scheduled international service, medium aircraft, and a scheduled international

service, large aircraft, between Canada and Grenada for travel beyond October 29, 2006, without holding the required licence.

The Agency finds it appropriate to grant the authority until October 31, 2007.

Accordingly, pursuant to subsection 78(2) of the CTA, the Agency hereby amends Condition No. 2 of Licence No. 030161 to read:

Unless terminated at an earlier date in accordance with the CTA, this licence shall terminate on October 31, 2007.

A new document of licence bearing Licence No. 030161 will be issued to Air Canada.

Any similar requests for a subsequent authority shall be submitted to the Agency for approval by no later than October 1, 2007.

Should Air Canada intend to sell, cause to be sold or publicly offer for sale in Canada a scheduled international service for transportation authorized by this licence to be provided beyond the termination date as set out in Condition No. 2 of the licence, it must file an application for and be granted an exemption from section 59 of the CTA by the Agency.

Members

  • Baljinder Gill
  • Mary-Jane Bennett
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