Dear Member,
Please see below summary of the 2022 Pilotage Service Charges for the four Pilotage Authorities which the Pilotage Committee has been diligently reviewing.
| General Service Charge | New Service Charges | Other | Transport Canada Administration Fee | Effective Date | |
| APA | 2.4% | NA | Non-Compulsory Areas – 2% | Charges are blended into the rates | January 1, 2022 |
| LPA | 3% | NA | NA | $11.20 increase to $38.39/assignment | February 7, 2022 |
Atlantic Pilotage Authority
The APA have published an Announcement of Revised Service Charges which increase the overall fees by 2.4% effective January 1, 2022. The APA projected a small profit of $322K for 2021 which includes $943K from their deficit recovery surcharge introduced last year. They are budgeting for a loss of $612K in 2022 which includes $1.0M from the deficit recovery surcharge. The APA went to arbitration with their pilots which resulted in a $1.1M increase in pilot costs for 2022 as the decision favored the pilots. While cruise is expected to return for 2022, the traffic in Placentia Bay is not anticipated to return to previous levels. The Pilotage Committee reviewed the APA proposal and agreed not to object.
Laurentian Pilotage Authority
The LPA have published an Announcement of Pilotage Charges Revision which increases fees by 3% to be effective February 7, 2022. The LPA initial proposal of 3.5% was subsequently reduced to 3% following discussions with the Federation. A key concern with the LPA in recent years has been their rich reserve which reached $12.2M in 2021. The LPA will have a 2-year (2020/21) loss totaling $3.7M which will be absorbed by the reserve. The LPA also plan for $9.6M in CAPEX in 2022 including new PPUs, Les Escoumins wharf rehabilitation and a new pilot boat. The 3% increase is expected to generate a $660K profit and cash balance of $4.8M for 2022. The Pilotage Committee continues to review this increase as there are concerns regarding the lack of efficiency and the justification for the purchase of a new pilot boat.
Great Lakes Pilotage Authority
We continue to engage the GLPA to reconcile the recent CTA decision regarding the 2020 2021 Federation’s tariff objections. As advised, the CTA deemed the Continuous Transit Surcharge against the public interest, however they also recommended the GLPA increase the general tariff by an amount equal to the amount they collected from the Continuous Transit Charge up to a maximum of 11.5%. The decision would require the GLPA to re-calculate invoicing to all ships from 2020 to the present time – an unworkable situation – forcing the GLPA to petition the CTA to allow the present tariff to remain in place until the 2022 season. The GLPA have been delaying the 2022 Service Charge Proposal until this is resolved. We expect to see the 2022 proposal soon as they typically plan for new charges to coincide with the opening of the Seaway in late March.
Pacific Pilotage Authority
The PPA are currently in negotiations with the BC Coast Pilotage Corporation and will delay the 2022 service charge discussion the service agreement is settled. The PPA expect they will present a 2022 proposal in February to be effective in May.
We will keep members updated as information becomes available. Please contact the undersigned if you have any questions or comments.
Regards,
Director, Marine Operations