Regulations Amending the Air Passenger Protection Regulations

All Canadian airlines operating domestic and international flights are affected, with roughly 4 large carriers and 27 small carriers subject to the new rules. The government estimates total compliance costs of $512.4 million (present value over 10 years), working out to about $0.99 per passenger segment — costs that airlines may pass on to travellers through higher ticket prices. The biggest cost drivers are expanded refund obligations ($217 million PV), more compensation payouts ($132 million PV), and mandatory meal vouchers for all disruptions over 2 hours regardless of cause ($129 million PV). Eleven carriers qualify as small businesses under the policy definition and face an average annualized compliance cost of about $13,149 each, with different (more lenient) rebooking timelines applying to small carriers to reflect the realities of remote and northern operations.