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Single Window Initiative / Licence Management System (LMS) April 2016. Single Window Initiative. 3 import programs administered by NRCan: Energy Efficiency program Kimberley Process (KP) Rough Diamonds program Explosives program
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Single Window Initiative / Licence Management System (LMS) April 2016
Single Window Initiative • 3 import programs administered by NRCan: • Energy Efficiency program • Kimberley Process (KP) Rough Diamonds program • Explosives program • All 3 NRCan programs are participating in CBSA-led Single Window Initiative (SWI) initiative. • Trade Chain Partners (TCPs) can submit program specific import information via an Integrated Import Declaration (IID) and receive a border decision up to 90 days in advance.
Explosives Program • The Explosives Safety and Security Branch (ESSB) is Canada’s national regulator of explosives and centre of expertise for explosives testing and research. The Explosives Regulatory Division (ERD) and the Canmet Canadian Explosives Research Laboratory (CERL) work in close partnership to lay the foundation for explosives related law, policy and science technology • The Explosives Regulatory Division (ERD) is responsible for administering Canada’s Explosives Act and Regulations. The department provides services and support to the explosives industry including manufacturers, importers, distributors and users of explosives. This is carried out through a system of licences and permits supported by a compliance inspection program • Explosives program requires a LPCO for import – a valid Explosives Import Permit issued by NRCan
Did You Know? • Approximately 430,000 MT explosives are produced in Canada each year in addition to imports of 36,000 MT, mostly from the USA • There are approximately 5,000 importations of explosives per year and over 40,000 authorized explosive products • Canada also produces, imports and exports other explosives such as specialty explosives and rocket motors which make up a large portion of the retail and commercial market
Current Explosives Importation Process • Approximately 90% of Canadian explosive import shipments are handled through brokerage services • The current state is a manual based process driven with hardcopy permits upon completion of an application for explosives import: • NRCan reviews the permit application and makes decision to issue a permit • TCP arrives at the border with import permit • CBSA validates the permit and contacts NRCan for guidance when permit is not valid or is missing • NRCan assesses the risks and advises CBSA to release/reject the shipment
Issues with Current Process • Border delays and safety risks can occur when CBSA must await a response when there are issues with shipments • Occasionally, an importer has had shipments detained at the border because they do not have their import permit or the information on the permit does not match the shipping documents • In the occurrence of a missing Importer’s Information Report, NRCan is unable to review the reports, accept or deny the Importer’s Information Report and cannot renew a permit if an import report is missing • The importer must, at least annually, submit an Importer Information Report (F04-02) to ERD about the types of explosives and quantities imported, resulting in transmissional delays • Information sharing across departments is cumbersome creating border entry/exit process challenges for commercial trade clients
Scenario 1: Explosives Permit at Declaration Level • Declaration Level: • Permit Type • Permit Number • Permit Holder Name • Commodity Level (multiple commodity lines): • Product ID or (Person who obtained product authorization and Product Name) • UNDG • Commodity Size or Quantity Unit Count • Note: No commodity can have an Explosives Permit at both the Declaration and Commodity Line Level
Scenario 2: Explosives Permit at Commodity Level • Commodity Level (multiple commodity lines): • Permit Type • Permit Number • Permit Holder Name • Product ID or (Person who obtained product authorization and Product Name) • UNDG • Commodity Size or Quantity Unit Count • Note: Each commodity line can have a different Permit
Scenario 3: Products with low Risk UN imported for Annual or Single Use Tour Permits • Commodity Level (multiple commodity lines): • Permit Type (only Annual or Single Use Tour Permits) • Permit Number • Permit Holder Name • UNDG • Commodity Size or Quantity Unit Count • Note: For these UNDG#s, product details not required. Size/Quantity to be aggregated at UN level, E.g. 200 products have 3 UNDG#s of low risk, the IID can have only 3 commodity lines • List of Low Risk UNDG#s can be found at: http://www.nrcan.gc.ca/explosives/importation/16793
Scenario 4: Not Regulated by Explosives Program • Declaration Level: • Permit Type • Permit Number • Permit Holder Name • Commodity Level (multiple commodity lines): • Commodity Type: Not regulated by Explosives Program • Note: As the Explosives Import permit is specified at the Declaration level it is assumed all products in the IID are regulated by Explosives program. To identify that a product is not regulated by Explosives Program the Commodity Type must be used.
Benefits • SWI will provide a common electronic Integrated Importation Declaration system to support a secure and streamlined pre-border process which will allow explosives brokers to complete the required declaration material prior to shipments arriving at the border. CBSA will have automated access to the relevant permit data to facilitate import verification and release • TCPs, based on their licence, certificate and permit needs would be able to access portal and transmit information electronically eliminating the current manual processes • The integration of processes and stakeholder specific portal interface avoids detention of shipments at the border through electronic and real-time verification of border documentation • Transaction reports will also be submitted automatically to fulfill your obligations under the Explosives Regulations,, 2013 eliminating the current manual F04-02 process • If you do not use a IID, paper permits will continue to be accepted (no change)
Next Steps • Go-live: • Energy and KP RoughDiamond Program IID submission live since mid-2015 • Explosives Program go-live planned for July 2016 • Transition Plan: • Energy Program: OGD-PARS-EDI (current process) for submission of 5 data elements will be supported during transition period • KP Rough Diamonds Program: Brokers can use IID to provide KPC information. The use of Form B3 will continue to be supported during transition period • Explosives program: Brokers are encouraged to be ready to use IID starting July 2016, but use of paper permit (current process) will continue during transition period
Licence Management System • Licence Management System (LMS) • New electronic LMS (eLMS) • Enrolment Schedule • eLMS Enrolment Process • Sample Screen Shots • Explosives Services • Enroll a Company • Enroll as an Individual • Enrolment Activation • My Companies • Licence & Permit Application • Application for Authorization of Explosives
ESSB’s Licence Management System • The LMS system supports all of ESSB’s licensing, compliance, product authorization and functions: • 1863 active licences; • 900 annual renewals of licences (including new applications); • 900-1200 annual inspections carried out; • 100 lab tests for product authorizations; • 2,000 authorizations of new articles per year; • 350 annual importation permits and 200 general import permits that have been issued to 290 companies. Each year ESSB receives about 50 requests for amendments on existing importation permits; • 400 active process vehicles with 15 new requests annually for process vehicle authorizations, and • 12,455 active pyrotechnic certificates that are issued with 1000 new requests annually.
New Electronic Licence Management System (eLMS) The modernization of the LMS system will provide significant benefits to explosives stakeholders. An integrated, easy-to-use secure web application that will allow stakeholders to apply, renew and make adjustments to licences online. Services include: • licences and certificates for manufacturing explosives – includes receiving and responding to new requests, amendments, renewals and fee payment; • explosives storage licences (magazines) – includes receiving and responding to new requests, change of location, renewals and fee payment; • processing of vehicle authorizations – includes receiving and responding to new requests and change of location; • fireworks supervisor and pyrotechnic certification – includes application, certification, renewal course scheduling and fee payment; • compliance and safety inspections – includes scheduling and reporting on inspections; • incident reporting – includes receiving and recording incident reports, and • 7 X 24 access.
eLMS Enrollment Process • Users will require either a Government of Canada MyKey or a Partner User Id and password. • Registration will include a ‘Request for Enrollment’ to enroll as either a company or an individual and a confirmation of applicant’s email address for email verification. • Once an enrollment request is approved, applicants will receive an Enrollment Letter in the mail that provides the User Access Code needed to complete the enrollment process.
