Nuclear substances, prescribed equipment and prescribed information
- Document symbol
- G/LIC/N/3/CAN/22
- Original language
- English
- Published on
- 01/11/2023
Outline of Systems
Q1. Give a brief description of each licensing system as a whole and, with respect to each, reply to the following questions as relevant, placing all of the material with respect to a given system in sequence together, and using cross references as appropriate when elements which have already been described are also present in another system.
The Nuclear Safety and Control Act (S.C., 1997, c.9) came into force 31 May 2000. The legislation established a national nuclear regulatory authority, the Canadian Nuclear Safety Commission (CNSC), for the purpose of administering the Act. The CNSC has established a comprehensive regulatory control system for the import, export, transfer, possession and use of nuclear substances, prescribed equipment and prescribed information (technology). Under this system, any person proposing to conduct these activities in Canada must do so only in accordance with a licence, subject to the regulations under the Act. Licence application requirements are specified in regulations, in general in the General Nuclear Safety and Control Regulations (SOR/2000-202). The Commission may not issue a licence unless it is satisfied that the applicant is qualified to conduct the activity to be authorized, and that the applicant will make adequate provision for the protection of the environment, the health and safety of persons, and the maintenance of national security and measures required to implement international obligations to which Canada has agreed.
Any person wishing to import a nuclear substance, prescribed equipment or prescribed information must obtain an import licence from the CNSC. Authority to import certain nuclear substances may be included in a licence to possess and use that nuclear substance, under general licensing provisions. However, import of controlled nuclear substances as defined in the Nuclear Non proliferation Import and Export Control Regulations (NNIECR) (SOR/2000-210) requires an import licence issued pursuant to those regulations. All controlled nuclear substances are prescribed as nuclear substances with respect to the import and export of those substances. Similarly, licensing authorization is required to import controlled nuclear equipment and information under the NNIECR. The Nuclear Safety and Control Act (NSCA) and its regulations are available through the CNSC website (http://www.nuclearsafety.gc.ca).
Purposes and Coverage of Licensing
Q2. Identify each licensing system maintained and state what products, appropriately grouped, are covered.
The purpose of the NSCA is two-fold: (i) to provide for the limitation of risks to national security, the health and safety of persons and the environment that are associated with the development, production and use of nuclear energy and the production, possession and use of nuclear substances, prescribed equipment and prescribed information; and (ii) to provide for the implementation in Canada of measures to which Canada has agreed regarding international control of the development, production and use of nuclear energy, including the non-proliferation of nuclear weapons and nuclear explosive devices. Nuclear substances are defined in the NSCA (section 2), and include uranium, thorium, plutonium, deuterium and their respective derivatives and compounds, radioactive nuclides, and substances that are prescribed by regulation as being capable of releasing nuclear energy or as being required for the production or use of nuclear energy. Additionally, the NNIECR define controlled nuclear substances, controlled nuclear equipment and controlled nuclear information that are subject to specific import and export licensing controls, and list these in the Schedule to the regulations. These items are controlled for the purpose of assuring that the Government of Canada meets international obligations to which it has agreed regarding the non proliferation of nuclear weapons; they are based primarily on international guidelines and control lists. There are some exemptions from licensing requirement and these are identified in the NNIECR (section 4).
Q3. The system applies to goods originating in and coming from which countries?
This licensing system applies to nuclear substances, prescribed equipment and prescribed information imported from any country.
Q4. Is the licensing intended to restrict the quantity or value of imports, and if not, what are its purposes? Have alternative methods of accomplishing the purposes been considered and if so which? Why have they not been adopted?
The licensing of imports is intended to ensure that the nuclear substances, prescribed equipment and prescribed information are transferred only to persons authorized to use them safely and securely, pursuant to the provisions of the NSCA and its regulations. Licensing also enables the CNSC to take actions to assure that any applicable international, bilateral or multilateral obligations that Canada has entered into are met, including those related to nuclear non-proliferation.
Import licences may specify the maximum allowable quantity of nuclear substances, prescribed equipment and prescribed information authorized for import. The purpose of the regulatory controls on imports is to assure that the imported items are possessed only by qualified and authorized persons pursuant to the NSCA, and to assure compliance with international obligations; licensing is not intended to otherwise restrict the quantity or value of imports.
Q5. Cite the law, regulation and/or administrative order under which the licensing is maintained. Is the licensing statutorily required? Does the legislation leave designation of products to be subjected to licensing to administrative discretion? Is it possible for the government (or the executive branch) to abolish the system without legislative approval?
The licensing of imports is a requirement of section 26 of the NSCA. Licensing procedures and licensing application requirements are prescribed by regulation. The Commission has established classes of licences authorizing the licensee to carry out any activity described in section 26 of the NSCA; this includes Import Licences. CNSC staff conducts risk-informed assessments of licence applications and supporting information and makes recommendations to the Commission for decision on issuance of licences. A licence may contain any term or condition that the Commission considers necessary for the purposes of the NSCA. The Commission has the power to delegate responsibilities to Designated Officers for issuance of licences in certain circumstances, pursuant to section 37 of the NSCA, and has done this for import and export licensing decisions.
Procedures
Q6. For products under restriction as to the quantity or value of imports (whether applicable globally or to a limited number of countries or whether established bilaterally or unilaterally):
Q6.I. Is information published, and where, concerning allocation of quotas and formalities of filing applications for licences? If not, how is it brought to the attention of possible importers? Of governments and export promotion bodies of exporting countries and their trade representatives? Is the overall amount published? The amount allocated to goods from each country? The maximum amount allocated to each importer? How to request any exceptions or derogations from the licensing requirement?
Q6.II. How is the size of the quotas determined: on a yearly, six-monthly or quarterly basis? Are there cases where the size of quota is determined on a yearly basis but licences are issued for imports on a six-monthly or quarterly basis? In the latter case, is it necessary for importers to apply for fresh licence on a six-monthly or quarterly basis?
Q6.III. Are licences allotted for certain goods partly or only to domestic producers of like goods? What steps are taken to ensure that licences allocated are actually used for imports? Are unused allocations added to quotas for a succeeding period? Are the names of importers to whom licences have been allocated made known to governments and export promotion bodies of exporting countries upon request? If not, for what reason? (Indicate products to which replies relate.)
Q6.IV. From the time of announcing the opening of quotas, as indicated in I above, what is the period of time allowed for the submission of applications for licences?
Q6.V. What are the minimum and maximum lengths of time for processing applications?
Q6.VI. How much time remains, at a minimum, between the granting of licences and the date of opening of the period of importation?
Q6.VII. Is consideration of licence applications effected by a single administrative organ? Or must the application be passed on to other organs for visa, note or approval? If so, which? Does the importer have to approach more than one administrative organ?
Q6.VIII. If the demand for licences cannot be fully satisfied, on what basis is the allocation to applicants made? First come, first served? Past performance? Is there a maximum amount to be allocated per applicant and, if so, on what basis is it determined? What provision is made for new importers? Are applications examined simultaneously or on receipt?
Q6.IX. In the case of bilateral quotas or export restraint arrangements where export permits are issued by exporting countries, are import licences also required? If so, are licences issued automatically?
Q6.X. In cases where imports are allowed on the basis of export permits only, how is the importing country informed of the effect given by the exporting countries to the understanding between the two countries?
Q6.XI. Are there products for which licences are issued on condition that goods should be exported and not sold in the domestic market?
Q7. Where there is no quantitative limit on importation of a product or on imports from a particular country:
Q7.a. How far in advance of importation must application for a licence be made? Can licences be obtained within a shorter time-limit or for goods arriving at the port without a licence (for example, owing to inadvertency)?
An import licence is normally issued within 30 calendar days of receipt of a complete application but can be issued in a shorter time if warranted.
Q7.b. Can a licence be granted immediately on request?
A licence cannot be granted immediately upon request; a risk-informed assessment of an application submitted in compliance with the regulations is required prior to a licensing decision..
Q7.c. Are there any limitations as to the period of the year during which application for licence and/or importation may be made? If so, explain.
No; there are no limitations as to the period of year in which applications may be made.
Q7.d. Is consideration of licence applications effected by a single administrative organ? Or must the application be passed on to other organs for visa, note or approval? If so, which? Does the importer have to approach more than one administrative organ?
The CNSC is the only body authorized to issue an import licence pursuant to the NSCA. The Commission has delegated the authority for making the licensing decision on imports to a Designated Officer, pursuant to section 37 of the NSCA.
Q8. Under what circumstances may an application for a licence be refused other than failure to meet the ordinary criteria? Are the reasons for any refusal given to the applicant? Have applicants a right of appeal in the event of refusal to issue a licence and, if so, to what bodies and under what procedures?
The Designated Officer, acting on behalf of the Commission, may refuse to issue a licence, or may revoke, suspend, transfer, or amend the terms and conditions of a licence, for reasons of: protection of the environment and of the health and safety of persons; maintenance of national security; and requirements related to international obligations to which Canada has agreed (section 24, NSCA). In such cases, the NSCA provides the applicant or, as appropriate the licensee, the opportunity to be heard by the Designated Officer before making their decision. The applicant or, as appropriate the licensee, can appeal the decision to the Commission, which can decide to uphold the decision of the Designated Officer or modify it.
Eligibility of Importers to Apply for Licence
Q9. Are all persons, firms and institutions eligible to apply for licences: (If not, is there a system of registration of persons or firms permitted to engage in importation? What persons or firms are eligible? Is there a registration fee? Is there a published list of authorized importers?) a) under restrictive licensing systems? b) under non-restrictive systems?
All persons, firms and institutions are eligible to apply for an import licence. There are no application fees for requests to import, nor is there a system of registration of entities that engage in import activities. However, nuclear substances may not be imported unless the applicant also holds a valid licence issued by the CNSC for the possession and use of the nuclear substance being imported. The CNSC does not publish a list of authorized importers.
Documentational and Other Requirements for Application for Licence
Q10. What information is required in applications? Submit a sample form. What documents is the importer required to supply with the application?
Information required on applications to import a controlled nuclear substance, controlled nuclear equipment or controlled nuclear information is specified in the Nuclear Non-proliferation Import and Export Control Regulations (NNIECR), and includes: name and contact information of the applicant and of each consignee; description of the substance, equipment or information; name and address of the supplier; country of origin of the imported item; intended end-use of the item by the final consignee and the intended end-use location; the number of any licence to possess the substance, equipment or information; and, as applicable, the measures that will be taken to facilitate Canada's compliance with certain international obligations. An application form, with instructions for completion, is provided on the CNSC website (Canadian Nuclear Safety Commission).
Q11. What documents are required upon actual importation?
Importers must present the import licence to a customs officer upon importing the authorized nuclear substance, prescribed equipment or prescribed information (section 18, General Nuclear Safety and Control Regulations).
Q12. Is there any licensing fee or administrative charge? If so, what is the amount of the fee or charge?
No; there are no licensing fees or administrative charges associated with the issuance of an import licence.
Q13. Is there any deposit or advance payment requirement associated with the issue of licences? If so, state the amount or rate, whether it is refundable, the period of retention and the purpose of the requirement.
No; there is no requirement for any deposit or advance payment associated with the issuance of an import licence.
Conditions of Licensing
Q14. What is the period of validity of a licence? Can the validity of a licence be extended? How?
The period of validity depends on the nature of the import, with a default term of one year. The validity of a licence may be extended through amendment upon written application.
Q15. Is there any penalty for the non-utilization of a licence or a portion of a licence?
No; there is no penalty for non-utilization of a licence.
Q16. Are licences transferable between importers? If so, are any limitations or conditions attached to such transfer?
Yes. The NSCA was amended in 2012 to allow for transfer of licences. Those amendments allow the CNSC to authorize the transfer of an import licence from the existing licence holder to another importer, upon receipt of an application and subject to applicable regulations. The CNSC must satisfy itself that the recipient of the licence proposed for transfer is qualified to conduct the activity to be authorized, and that the recipient will make adequate provision for the protection of the environment, the health and safety of persons, and the maintenance of national security and measures required to implement international obligations to which Canada has agreed.
Q17. Are any other conditions attached to the issue of a licence? a) for products subject to quantitative restriction? b) for products not subject to quantitative restriction?
The CNSC may include in an import licence any condition it considers necessary for the purposes of the NSCA, including compliance reporting conditions.
Other Procedural Requirements
Q18. Are there any other administrative procedures, apart from import licensing and similar administrative procedures, required prior to importation?
Applications to import items that are subject to the provisions of bilateral nuclear cooperation agreements that Canada has entered into with nuclear trading partners, for the purpose of assuring that Canada's nuclear non-proliferation policy requirements are met, may require the CNSC to implement administrative procedural requirements with regulatory counterparts in the exporting country. There are no additional requirements placed on importers as a result of this, but implementing these bilateral procedures can require additional time to complete the processing and assessment of import applications.