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| ‍‍COS Weekly News - Friday, 03 July, 2026 |
| | ‍In the news... | | | ‍Local News | Seasonal rail pricing raises concerns for grain exports A report by Quorum Corporation indicates that Canadian railways have adopted seasonal pricing for grain shipments, increasing freight rates by approximately 20 to 30 per cent during the fall harvest period before reducing rates later in the crop year. The higher transportation costs are being reflected in wider elevator basis levels, reducing the prices received by Prairie grain producers for crops such as wheat and canola. While both Canadian National Railway and Canadian Pacific Kansas City note that rates remain within the limits of Canada's Maximum Revenue Entitlement system, Quorum's Warren Bohm argues that the increased variability in rail freight pricing is adding challenges for grain exporters who are making sales when rail freight costs may change significantly before it is time to deliver. Critics also warn that efforts to redistribute grain shipments throughout the year could undermine Canada's export competitiveness by limiting the industry's ability to respond to seasonal market opportunities. | National Maritime Group appoints Debbie Murray as new CEO The National Maritime Group has appointed Debbie Murray as its new President and Chief Executive Officer. Murray brings more than 20 years of experience in public policy, regulatory affairs, stakeholder engagement, and government relations, with a strong focus on the maritime transportation sector. She joins the organization from the Association of Canadian Port Authorities, where she most recently served as Vice President, Government and Industry Affairs. Industry leaders noted her extensive experience in maritime policy, trade, supply chains, infrastructure, and regulatory matters, highlighting her ability to advocate effectively on behalf of Canada's private-sector maritime operators and employers. | Port Alberni seeks input on cruise growth The Port Alberni Port Authority is exploring opportunities to increase cruise ship visits to Port Alberni and is seeking community feedback as part of its planning process. The input gathered will help inform future decisions on cruise tourism development and ensure that any growth aligns with local priorities, community values, and economic objectives. The initiative reflects ongoing efforts to assess the potential benefits and impacts of expanding cruise activity in the region. Take the survey here. | Search suspended after charter vessel sinking in Strait of Georgia The search for six people missing after a charter vessel sank near Roberts Bank in the Strait of Georgia has been suspended, with authorities now treating the operation as a recovery effort. The vessel reportedly began taking on water approximately 10 nautical miles southwest of Vancouver International Airport, with ten people believed to have been on board. Four individuals were rescued, while the remaining six are presumed drowned. The rescue operation involved multiple agencies and assistance from nearby mariners, who helped recover survivors from the water. Authorities have transferred responsibility for the incident to the RCMP, and an investigation is underway to determine the circumstances surrounding the sinking. | Five rescued after Gulf Islands vessel sinking Five people were safely rescued after their vessel struck a reef and sank near Saturna Island in British Columbia’s southern Gulf Islands on Monday evening. According to rescue officials, all occupants were recovered by nearby boaters and no injuries were reported. Authorities noted that the group initially was not wearing life jackets but put them on after being warned by a passing Jet Ski operator as the vessel began taking on water. The incident occurred one day after a separate fatal marine accident near Richmond, where a charter vessel sank in rough conditions with ten people on board. Four people were rescued, while six others are presumed drowned following an extensive search and rescue operation. Officials are reminding all boaters of the importance of wearing personal flotation devices and maintaining safe boating practices. | Nova Scotia advances offshore wind development Nova Scotia has moved closer to developing Canada’s first offshore wind projects after the Canada-Nova Scotia Offshore Energy Regulator announced the companies and consortiums that have qualified to participate in the upcoming seabed licence bidding process. Qualified participants include major international and Canadian renewable energy developers such as Northland Power, DEME Concessions Wind, and Ming Yang Smart Energy Group. The province plans to launch its first call for bids later this year for four designated offshore wind areas, with projects expected to utilize both fixed-bottom and floating turbine technologies. Provincial leaders view offshore wind as a major economic and energy opportunity, with ambitions to significantly expand generating capacity and position Nova Scotia as a future supplier of clean electricity for domestic and export markets. | | ‍Government News | Canada advances new West Coast pipeline proposal The federal government has announced that a proposed new west coast oil pipeline from Alberta will be referred to the Major Projects Office for review as a potential national interest project. The pipeline would transport up to one million barrels of oil per day to global markets, largely following the existing Trans Mountain corridor and terminate at Roberts Bank, thereby not compromising the Oil Tanker Moratorium Act on the north coast.  The project involves the governments of Canada and Alberta, Indigenous partners, Pembina Pipeline Corporation, and Trans Mountain Corporation and includes an agreement to advance the Pathways carbon capture project, which is expected to reduce emissions from oil sands operations. Governments estimate the combined initiatives could generate significant investment, create thousands of jobs, expand export capacity, and strengthen Canada's position as a major global energy supplier. | Federal government launches second labour relations consultation The Government of Canada has launched a second round of consultations aimed at strengthening and modernizing the federal labour relations framework. The process will examine issues including section 107 of the Canada Labour Code, expedited grievance arbitration, bad-faith bargaining, strike and lockout mandates, first collective agreements, paid medical leave, and wage theft enforcement. The consultations will include stakeholder roundtables and written submissions from employers, unions, workers, Indigenous partners, and other interested parties. Feedback gathered through both phases of consultation will help inform potential policy, regulatory, or legislative changes affecting federally regulated sectors, including marine, rail, road, and air transportation. Written submissions will be accepted until August 2, 2026. | Carney signals shift in Canada’s emissions strategy Mark Carney has acknowledged that Canada’s greenhouse gas emissions are likely to be higher in the coming years than previously projected under the former federal climate plan. In a video address, Carney argued that the emissions strategy inherited from the previous government was not sustainable over the long term due to affordability concerns and changing economic conditions. While reaffirming a commitment to reducing emissions over time, he did not outline new emissions targets and emphasized the importance of expanding Canada’s energy production and infrastructure. Carney highlighted growing access to international markets through the Trans Mountain Expansion Project and support for additional energy corridor development. He also promoted plans to significantly expand Canada’s electricity system by 2050, positioning energy security, economic growth, and national unity as key priorities alongside the transition to lower-emission energy sources. | Washington links carbon market with California and Québec Washington has signed a carbon market linkage agreement with California and Québec, advancing plans to create an integrated carbon trading market across the three jurisdictions. The agreement supports greater cooperation on greenhouse gas reduction efforts and is expected to provide businesses with more predictable investment conditions for clean energy and emissions-reduction technologies. Once fully implemented, the linked market will become part of the world's largest subnational carbon trading system, helping to lower compliance costs while encouraging additional investment in low-carbon solutions. Washington's linkage process is largely complete under its Climate Commitment Act, while California and Québec must still finalize regulatory changes before the integrated market can begin operating, which is currently anticipated in 2027. | Poilievre reshuffles Conservative critic roles Pierre Poilievre has announced changes to the Conservative Party's shadow cabinet, appointing Michael Chong as the new finance critic. Chong replaces Jasraj Hallan, who moves to the national revenue portfolio. Other changes include Aaron Gunn becoming ethics and government accountability critic, while Michael Barrett takes on the veterans affairs file. Shuv Majumdar has been appointed critic for Canada–U.S. relations as preparations begin for the formal review of the Canada-United States-Mexico Agreement. The reshuffle leaves the party’s senior leadership team unchanged and comes as Parliament prepares to consider several high-profile economic, trade, and ethics-related issues. | BC launches unified compliance and enforcement agency The Province of British Columbia has established the BC Compliance and Enforcement Agency (BC-CEA), bringing together compliance, enforcement, and investigative functions from multiple natural-resource and environmental organizations into a single agency. Effective July 1, 2026, the new organization will consolidate services from the BC Conservation Officer Service, Natural Resource Officer Service, Environmental Assessment Office, and several environmental compliance and support branches. The province says the change will improve coordination, accountability, data integration, and consistency in enforcement while maintaining existing legal authorities and front-line operations. The agency will employ more than 400 staff and will also oversee certain administrative penalties and licensing sanctions related to environmental and wildlife regulations. | | ‍US News | Oil majors expected to post strong profits amid fuel price concerns Major U.S. oil companies, including Exxon Mobil and Chevron, are expected to report their strongest quarterly earnings since 2022, driven by higher fuel margins and tighter global energy markets following disruptions linked to the Middle East conflict. The anticipated profit surge comes as Donald Trump continues to push for lower gasoline prices ahead of the U.S. midterm elections. While crude oil prices have eased following the reopening of shipping through the Strait of Hormuz, gasoline prices remain elevated due to tight fuel inventories and refining market conditions. | Republican lawmakers urge end to Jones Act waiver A group of 52 Republican lawmakers, led by James Comer and Mike Johnson, is calling on the Trump administration to allow the current Jones Act waiver to expire on August 16, 2026. The lawmakers argue that the waiver, introduced to address fuel and fertilizer costs, has enabled foreign-flagged vessels to participate in domestic U.S. trade, potentially undermining American shipbuilding, maritime jobs, and national security interests. They urged the administration to pursue alternative measures to address energy costs while maintaining protections for the U.S. maritime industry and preserving the long-term competitiveness of the domestic fleet. | US cites China ties in CUSMA renewal dispute The United States has identified Canada's growing economic relationship with China as a key concern in its decision not to renew the Canada-United States-Mexico Agreement for a new 16-year term. U.S. Trade Representative Jamieson Greer said Washington is concerned that Chinese investment and products could gain indirect access to the U.S. market through Canada. While the decision does not terminate CUSMA, it triggers annual reviews through 2036 and introduces continued uncertainty for North American trade. Other issues raised by the U.S. include Canada's dairy supply management system and digital policies affecting American technology companies. | GPS interference event affects vessels near Los Angeles A GPS/GNSS interference event affected multiple vessels approaching the Port of Long Beach on January 29, 2026, causing erroneous position data, AIS anomalies, and reported navigation disruptions across an area exceeding 100 miles. At least seven vessels reported GPS outages to vessel traffic services, while AIS data showed sudden position jumps and unrealistic speeds consistent with spoofing or signal interference. No incidents occurred, largely due to the short duration of the event and favourable weather conditions. Investigators believe the disruption was likely linked to a scheduled GPS testing exercise conducted off the California coast. | | ‍International News | Scrubber demand rises following Hormuz fuel price volatility Recent volatility in bunker fuel markets during the Hormuz crisis has strengthened the economic case for exhaust gas scrubbers, as the price spread between very low sulphur fuel oil (VLSFO) and high sulphur fuel oil (HSFO) more than doubled and remains elevated despite easing fuel prices. The wider spread has increased fuel cost savings for vessels equipped with scrubbers, prompting renewed interest in the technology. Newbuilding orders increasingly include scrubber installations, particularly in the tanker and dry bulk sectors, where adoption rates for vessels on order significantly exceed those of existing fleets. While scrubber uptake remains high in some containership segments, new installations have slowed compared to other vessel types. | New IMO pilot transfer requirements adopted The International Maritime Organization has adopted new mandatory performance standards for pilot transfer arrangements that will apply to both new and existing vessels. From January 1, 2028, all pilot transfer arrangements must comply with updated requirements for inspection, maintenance, stowage, and operation. For existing SOLAS vessels, compliance with the new design, construction, securing, and installation standards must be verified at the first survey on or after January 1, 2029, while non-SOLAS vessels will have until the first survey on or after January 1, 2030. The changes may require physical modifications to pilot ladders, securing points, winches, stanchions, and related equipment. | LNG remains leading alternative fuel for newbuilds New orders for alternative-fuelled vessels declined slightly during the first half of 2026, but LNG remained the dominant choice among shipowners, according to data from DNV. A total of 137 alternative-fuelled vessels were ordered, with LNG accounting for 73 of those orders, particularly among containerships and car carriers. Orders for LPG and ethane-fuelled vessels also increased significantly, while ammonia, methanol, ethanol, and hydrogen-powered vessels represented a smaller share of newbuild activity. The period also saw the delivery of the world's first oceangoing dual-fuel ammonia vessel by Exmar. The data highlights that shipowners continue to pursue multiple fuel pathways as the industry works toward decarbonization amid evolving regulations, fuel availability, and infrastructure development. | Industry calls for stronger safeguards on enclosed space safety A maritime safety expert is urging the shipping industry to move beyond procedural compliance and place greater emphasis on engineering controls to prevent fatalities in enclosed spaces. While welcoming the recent updates to the International Maritime Organization guidance on enclosed space entry, the article argues that training, permits, and checklists alone have not eliminated accidents, as fatalities continue to occur despite longstanding awareness of the risks. The author advocates for measures such as fixed gas detection systems, interlocked barriers, automated warning systems, and vessel design improvements that reduce or eliminate the need for personnel to enter hazardous spaces. The article suggests that safety systems should be designed to account for human error and focus on preventing unsafe entry rather than relying solely on individuals to follow procedures perfectly. | | ‍Upcoming Events | | | ‍Ship of the Week | | 03 July - AcadiaGreat Lakes Dredge & Dock has taken delivery of Acadia, the first U.S.-flagged and Jones Act-compliant subsea rock installation vessel, marking a significant addition to the country's offshore construction fleet. Built by Hanwha Philly Shipyard in Philadelphia, the vessel will initially support the Empire Wind 1 and Sunrise Wind developments off the U.S. East Coast before undertaking offshore energy projects in Europe during 2027. Designed to transport and place up to 20,000 tonnes of rock on the seabed, Acadia provides protection for subsea cables, pipelines, and offshore wind foundations. The vessel's delivery represents both a milestone for U.S. shipbuilding and a strategic expansion by Great Lakes into the offshore energy sector, supported by growing international demand for specialized subsea construction services. |
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