Customs Notice 24-19: Arctic Shipping Electronic Commercial Clearance Pilot Program

Ottawa, June 3, 2024

1. This notice is to provide information on the Arctic Shipping Electronic Commercial Clearances (ASECC) pilot program and the Part 1 Business Profile Application submission period.

2. Under the Customs Act, carriers, regardless of where they arrive in Canada, whether near a Canada Border Services Agency (CBSA) designated Commercial Vessel port (C/VESS) or not, are required to report all cargo and conveyances to the nearest CBSA office designated for that purpose that is open for business.

3. The ASECC pilot program allows pre-approved low risk carriers and vessels to report and clear conveyance, crew and cargo electronically in order to meet the reporting requirements. The CBSA maintains the authority to reject the allowance of an electronic report and direct any vessel to a designated C/VESS port or may make arrangements with carriers to clear marine vessels and cargo while they are anchored at sea, on a special service or cost recovery basis.

4. It is important to note that any information submitted to the host region and the CBSA National Targeting Centre after the part 2 submission (required seven (7) days prior to departure from the foreign port) will result in the requirement to physically report to a designated C/VESS even if previously approved for the ASECC pilot program. For example: crew changes after the time of departure and release requests for the importation of goods.

5. Carriers using the ASECC pilot program are permitted to transport goods. Marine carriers transporting cargo to Canada, with few exceptions, are required to transmit Advance Commercial Information (ACI) for cargo and conveyance to the CBSA prior to load/arrival in Canada. Additionally, marine carriers are also required to electronically transmit the Conveyance Arrival Certification Message (CACM) upon arrival in Canada.

6. For goods that may be subject to Other Government Department (OGD) requirements, the importer must submit a release request and any other required documents seven (7) days in advance of the vessel's departure from the foreign port. Should the OGD-regulated goods need to be examined, the vessel will be obligated and instructed to report to a C/VESS port.

7. The CBSA strongly encourages ASECC participants to submit release request documents for all goods, including those not regulated by OGD requirements, within the same timeframes (seven (7) days in advance of the vessel's departure from the foreign port). This enables the CBSA to review the release information and reach a final approval decision on the goods well in advance of the vessel sailing into the Arctic, in order to avoid having to report to a designated C/VESS port for a vessel that has received ASECC clearance in part 2 of the approval process.

8. At this time, carriers transporting containerized cargo are prohibited from participating in the ASECC pilot program and must report to present without delay to the nearest CBSA office specifically designated for the clearance of vessels, type of cargo, and method of carriage.

9. The two (2) part approval process for the ASECC program is:

• Part 1: Carrier, (lowest legal entity that holds a CBSA approved carrier code), must submit a Business Profile Application form BSF786 prior to June 30th to nunavut_clearance@cbsa-asfc.gc.ca, with a copy to the CBSA National Targeting Centre at cbsa-asfc-pans-apa@cbsa-asfc.gc.ca
  • New applications to the ASECC pilot program received after June 30th will be reviewed and processed on a per case basis only if submitted to the CBSA four (4) weeks in advance of leaving the foreign port.
  • The ASECC season starts on July 1st of the application year and ends on June 30th the following calendar year.
  • Note: approval of part 1 applications does not negate the requirement to report to a CBSA C/VESS port. After the part one approval process, marine carriers still have an obligation to fulfil the reporting requirements under section 12 of the Customs Act. Approval or denial to report to the CBSA electronically and travel directly to the Arctic will be provided after the review of the part 2 ASECC voyage information.
• Part 2: Pre-Arrival Notice (PAN), ACI cargo, ACI conveyance, crew information and Voyage Information form, per vessel/per voyage, must be provided seven (7) days in advance of leaving the foreign port to the CBSA National Targeting Centre at cbsa-asfc-pans/aa@cbsa-asfc.gc.ca with a CC to the "host region". "Host region" is the region at which the request for clearance is submitted.
  • In the case of vessels transporting OGD-regulated goods, release request documents must be submitted to the "host region" seven (7) days in advance of leaving the foreign port. The list of transaction numbers must be included in the Voyage Information form.

10. Other Eligibility requirements:

• The remainder of the Inward Report Package must be submitted within regulated timeframes.
• If ACI is required prior to the seven (7) days in advance of leaving the foreign port, ACI regulated timeframes must be adhered to.
• Eligible carriers must have a solid history of compliance with CBSA policy and regulations.
• Carriers must demonstrate that vessel routing would make it impractical/cost prohibitive for the vessel to arrive at a designated C/VESS port.

11. For carriers submitting conveyance and cargo information, and Customs Brokers submitting release request information, the following port and warehouse codes should be used for transmitting ACI ("FPOA/Port of Report" on the ACI conveyance report and "FPOA/Port of Report" and "Port of Destination" on the ACI cargo report) and release requests ("Port of Release"):

• Nunavut:
  • Port Code – 403 (Iqaluit)
  • Warehouse Code – 9403 (Iqaluit)
• Québec:
  • Port Code - 312
  • Warehouse Code - 9312

12. All carriers are reminded of their obligation to report any illnesses/health issues related to communicable disease on board to the Public Health Agency of Canada (PHAC) quarantine officer for assessment as soon as possible prior to arrival at a Canadian port. In addition to providing this information to the CBSA National Targeting Centre and the host region, carriers will notify PHAC by emailing phac.cns-snc.aspc@canada.ca. Should a carrier need to reach a quarantine officer urgently, they may call 1-833-615-2384. PHAC should be notified only if there are concerns with respect to a communicable disease illness.

13. All carriers requesting processing under the ASECC pilot program will be required to use ACI to submit their pre-arrival data and arrival message.

14. Carriers coming to Canada in-ballast do have the option, at this time, of transmitting their ACI to the CBSA. If a carrier chooses this option, they must also report their arrival electronically by sending the CACM.

15. Marine carriers must hold a bonded carrier code for alternate processing, as a bond is required any time unreleased goods move beyond the first port of arrival.

16. Through the CBSA's compliance program initiatives, administrative monetary penalties and through the leveraging of OGDs such as the Canadian Coast Guard, Royal Canadian Mounted Police, Department of National Defense and Transport Canada, the CBSA will ensure vessels destined for arctic ports are compliant with CBSA alternate processing directives.

17. Inquiries related to this notice may be directed to: Northern Ontario Region: nunavut_clearance@cbsa-asfc.gc.ca, Fax: (613) 991-6912.