Canada's New Air Passenger Rights: Why Regulatory Reform is Stuck on Tarmac

Updates to Canada air passenger rights have been stalled for over two years. The federal government first promised improvements in its 2023 budget. These changes target the existing Air Passenger Protection Regulations (APPR). The delay leaves Canadian air travelers waiting for stronger consumer protections.

Regulatory Gridlock and Stalled Reforms

The independent regulator, the Canadian Transportation Agency (CTA), proposed new rules a year ago. Consultations on these proposals concluded in March 2025. However, the updated regulations are not yet finalized. They must be presented to the federal Cabinet for final approval before taking effect.

Transport Minister Steven MacKinnon expressed frustration with the current system. When asked, he did not clarify if the proposals are still with the CTA or if they have reached Cabinet. "It is a state of affairs that I'm not happy with," he told reporters. The lack of a clear timeline worries consumer advocates.

The Growing CTA Complaint Backlog

This regulatory delay occurs while the Canadian Transportation Agency backlog continues to swell. The CTA is responsible for enforcing the APPR, which first came into force in 2019. As of August 2025, the agency faced a backlog of approximately 85,000 air travel complaints. This number is up from 84,398 cases reported as of March 31, 2025.

Passengers often accuse airlines of unfairly denying compensation claims. For example, one passenger, Gerald Van De Ven, has waited since April 2023 for a decision on his claim. He expressed deep frustration with the slow process. The current system forces consumers to hold airlines accountable, he noted.

• The CTA closed over 33,600 complaints in the 2024-25 fiscal year.
• This is a significant increase from previous years.
• Yet, the agency received over 46,000 new complaints in the same period.
• This imbalance means the backlog continues to grow.

To address this, the government earmarked $75.9 million in 2023. This funding was meant to help clear the massive backlog. However, this temporary funding is scheduled to run out in the 2025-2026 fiscal year. The CTA is exploring options like artificial intelligence to improve efficiency. The current wait time for a resolution can stretch to two years or more.

Proposed Changes and Industry Reaction

The new regulations aim to simplify the complicated system. They seek to strengthen flight delay compensation Canada rules. The changes would place more onus on airlines for flight disruptions. Airlines would need to compensate passengers unless they can prove "exceptional circumstances". These circumstances include security threats or environmental disasters. This shift would eliminate the current three categories of disruption. The goal is to make it harder for airlines to deny claims.

Ian Jack of the Canadian Automobile Association (CAA) criticized the delay. He stated the government is taking too long to implement the improvements. He argued the original APPR was too complex, creating loopholes. This complexity forces most complaints to the regulator, which was intended as a last resort.

The National Airlines Council of Canada has raised concerns. President Jeff Morrison suggested the proposed updates could lead to higher costs for travelers. The council urged the government to evaluate the negative consequences. They warn of potentially higher costs and less choice in the Canadian air travel industry. The International Air Transport Association (IATA) often highlights the economic impact of new regulations.

Conservative transport critic MP Dan Albas called the current system dysfunctional. He suggested the government lacks the "political will" to fix the problem. He also criticized the high turnover in the Transport Minister role. The transport file was recently handed to Minister MacKinnon, who is also the Liberal House leader.

Stakeholders across the Canadian aviation sector await clarity. The final regulations are expected to come into force in 2025 or 2026. This delay impacts both passengers and airline operations. Stay informed on this and other key developments in commercial aviation news. The CTA, overseen by Transport Canada, must balance consumer protection with industry viability. Major manufacturers like Airbus watch regulatory shifts closely. They impact airline operating costs and fleet decisions.