Notice2024-20615
Extension of Time for Decision in Investigation Into Conditions Affecting United States Carriers in Connection With Canadian Ballast Water Regulation in the United States/Canada Great Lakes Trade
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
September 12, 2024
Issuing agencies
Federal Maritime Commission
Abstract
The Federal Maritime Commission (Commission) has extended by 90 days the time for decision in its investigation into conditions created by the Government of Canada (Canada) in connection with regulation of ballast water management systems that may adversely affect the operation of United States carriers in the United States/ Canada Great Lakes trade.
Full Text
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<title>Federal Register, Volume 89 Issue 177 (Thursday, September 12, 2024)</title>
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[Federal Register Volume 89, Number 177 (Thursday, September 12, 2024)]
[Notices]
[Pages 74273-74274]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-20615]
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FEDERAL MARITIME COMMISSION
[Docket No. FMC-2024-0008]
Extension of Time for Decision in Investigation Into Conditions
Affecting United States Carriers in Connection With Canadian Ballast
Water Regulation in the United States/Canada Great Lakes Trade
AGENCY: Federal Maritime Commission.
ACTION: Notice of extension of time and request for comments.
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SUMMARY: The Federal Maritime Commission (Commission) has extended by
90 days the time for decision in its investigation into conditions
created by the Government of Canada (Canada) in connection with
regulation of ballast water management systems that may adversely
affect the operation of United States carriers in the United States/
Canada Great Lakes trade.
DATES: Submit comments on or before October 15, 2024.
ADDRESSES: You may submit comments, identified by Docket No. FMC-2024-
0008, by the following method:
Federal eRulemaking Portal: Your comments must be written and in
English. You may submit your comments electronically through the
Federal eRulemaking Portal at <a href="http://www.regulations.gov">www.regulations.gov</a>. To submit comments
on that site, search for Docket No. FMC-2024-0008 and follow the
instructions provided.
FOR FURTHER INFORMATION CONTACT: For questions regarding submitting
comments or the treatment of any confidential information, contact
David Eng, Secretary; Phone: (202) 523-5725; Email: <a href="/cdn-cgi/l/email-protection#085b6d6b7a6d7c697a71486e656b266f677e"><span class="__cf_email__" data-cfemail="7f2c1a1c0d1a0b1e0d063f19121c51181009">[email protected]</span></a>.
SUPPLEMENTARY INFORMATION:
I. Introduction
On May 22, 2024, the Federal Maritime Commission (Commission)
initiated an investigation, pursuant to 46 U.S.C. 42302, of whether
conditions created by the Government of Canada (Canada) in connection
with regulation of ballast water management systems adversely affect
the operation of United States carriers in the United States/Canada
Great Lakes trade, in particular the carriers operating vessels that
may become subject to regulation in September 2024, within the meaning
of 46 U.S. Code, chapter 423 (Foreign Shipping Practices) (46 U.S.C.
42301-307). Having determined that the investigation would be enhanced
by gathering and reviewing additional information, the Commission now
extends by 90 days, from September 19, 2024, to December 18, 2024, the
time for decision under 46 U.S.C. 42302(c).
II. Summary of Status of Investigation
On May 22, 2024, the Commission on its own motion initiated a
Chapter 423 investigation into Canadian ballast water management
regulation in the Great Lakes. See Investigation into Conditions
Affecting United States Carriers in Connection with Canadian Ballast
Water Regulation in the United States/Canada Great Lakes Trade, FMC-
2024-0008, 89 FR 44979 (May 22, 2024) (May 2024 Notice of
Investigation). In 2020, the Commission had opened an investigation
under 46 U.S. Code, chapter 421 following a petition by the Lake
Carriers Association (LCA). See FMC Docket No. 20-10. The petition
alleged that Canadian regulation set to take effect in September 2024
would create conditions unfavorable to shipping by requiring U.S.
vessels to install new ballast water management systems. Meanwhile, it
became apparent that the U.S. Environmental Protection Agency (EPA), in
its rulemaking to implement the Vessel Incidental Discharge Act (VIDA),
is likely to issue rules that are less restrictive than those of
Canada. May 2024 Notice of Investigation, 89 FR 44979. In a February
2024 letter, the LCA had noted that only a small group of U.S. Lakers
built after 2008 (five vessels) would be affected by the Canadian
regulation in 2024, with about 50 older Lakers not subject to it until
2030. Id. The Commission's Notice of Investigation was issued on May
22, 2024 which, under the 120-day time limit set by 46 U.S.C. 42302(c),
means the current deadline to complete the investigation is September
19, 2024.
[[Page 74274]]
After the May 2024 Notice of Investigation, the investigation
proceeded, and the FMC received 14 comments in June 2024. The Canadian
government and those representing the interests of Canadian carriers,
as well as those representing environmental interests, opposed the
potential imposition of sanctions. On the other hand, those
representing the interests of U.S. carriers and workers were supportive
of such measures. At the same time Transport Canada, the responsible
Canadian agency, established a procedure for seeking exemptions that
became available to affected U.S. carriers in late July 2024, although
the Commission understands that a comparable process had been available
to Canadian carriers much earlier. See Procedure to request an
exemption to install Ballast Water Management Systems under Ballast
Water Regulations for foreign-flagged vessels in Canadian waters,
Transport Canada (July 25, 2024) (Exemption Procedure), available at
<a href="https://tc.canada.ca/en/marine-transportation/marine-safety-management-system-tp-13585-e-tier-ii-procedures/tier-ii-procedure-request-exemption-install-ballast-water-management-systems-under-ballast-water-regulations-foreign-flagged-vessels-canadian-waters">https://tc.canada.ca/en/marine-transportation/marine-safety-management-system-tp-13585-e-tier-ii-procedures/tier-ii-procedure-request-exemption-install-ballast-water-management-systems-under-ballast-water-regulations-foreign-flagged-vessels-canadian-waters</a>. The Commission
also understands that the relevant Canadian rule is due to take effect
as to U.S. carriers shortly, specifically on September 8, 2024.
In light of the above, the Commission now extends the time for
decision in its Chapter 423 investigation by 90 days, from the current
deadline of September 19, 2024, to December 18, 2024, and it
establishes a new comment period to gather more information on the
apparent disparity between the exemption processes available to U.S.
and Canadian carriers, including the difference in when the exemption
procedures became available. In particular, the Commission seeks to
gather and review more information about whether the exemption
processes may have themselves led to adverse conditions in violation of
46 U.S.C. 42302(a), including information about developments occurring
after the end of the initial comment period in June 2024. That will
help the Commission continue to investigate whether the laws, rules,
policies, or practices of Canada result in conditions that ``adversely
affect the operations of United States carriers in United States
oceanborne trade'' and that ``do not exist for foreign carriers of
[Canada] in the United States under the laws of the United States.'' 46
U.S.C. 42302(a).
If the agency concludes that the standard of section 42302(a) is
met, it is authorized to take certain actions to encourage remediation
of those conditions. See May 2024 Notice of Investigation, 89 FR 44979-
80. Specifically, the Commission may take actions ``against any foreign
carrier that is a contributing cause, or whose government is a
contributing cause, to those conditions.'' 46 U.S.C. 42304(a).
Potential actions include imposing limits and/or fees on Canadian-
flagged vessels that visit U.S. ports and requesting that the U.S.
Department of Homeland Security and the U.S. Coast Guard refuse
clearance and deny entry of such vessels into the U.S., or detain such
vessels. See 46 U.S.C. 42304, 42305. Any such fees could be
substantial, as they are authorized by law at a level up to $2,559,636
per voyage. See 46 CFR 506.4. Before any action is taken under 46
U.S.C. 42304 or 42305, the relevant determination is submitted for
Presidential review, within 10 days of receipt, under 46 U.S.C. 42306.
III. New Request for Comments
As explained above, the Commission determined that the above
situation meets the threshold requirements for consideration under the
relevant statutory and regulatory authority, and in May 2024, it
initiated a Chapter 423 investigation into whether the situation has
created conditions that adversely affect the operations of United
States carriers. See 46 U.S.C. 42302; 46 CFR 555.3, 555.5, 555.6.
The Commission now finds that it would enhance its investigation to
ask interested persons to submit written comments containing arguments,
experiences, and/or data relevant to the options that have been
available for carriers to seek an exemption from the Canadian ballast
water management regulations going into effect in September 2024. In
particular, the Commission seeks information about the extent to which
such processes have differed based on whether the carrier is a U.S.
carrier or a Canadian carrier, including but not limited to when the
exemption processes became available for affected carriers in those
categories; information that was unavailable when the last comment
period closed in June 2024; and information about when specific
carriers were granted or denied exemptions from the requirements at
issue, as well as the basis for such decisions.
The Commission's jurisdiction under 46 U.S.C. 42302 is broad, and
the agency welcomes comments not only from the Government of Canada,
but also from container shipping interests, bulk cargo interests,
vessel owners, individuals and groups with relevant information on
commercial and environmental considerations, and anyone else with
relevant information or perspectives on this matter.
As the Commission proceeds with this investigation, it may
determine to request additional comment or gather information through
other means as authorized under 46 U.S.C. 42303 and 46 CFR 555.5,
555.6.
By the Commission.
David Eng,
Secretary.
[FR Doc. 2024-20615 Filed 9-11-24; 8:45 am]
BILLING CODE 6730-02-P
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