CN Below, CPKC Above Grain Revenue Entitlements, 2024-2025
Summary
The Canadian Transportation Agency determined that CN's grain revenue of $1,454,604,793 fell $5,913,453 below its entitlement of $1,460,518,246, while CPKC's grain revenue of $1,066,938,687 exceeded its entitlement of $1,064,278,437 by $2,660,250. CPKC must pay the overage amount plus a five percent penalty of $133,012 to the Western Grains Research Foundation within 30 days. The 2024–2025 crop year saw 49,002,694 tonnes of Western grain moved, a 12.1 percent increase from the prior year's 43.7 million tonnes.
“CPKC now has 30 days to pay the amount by which it exceeded its 2024–2025 revenue entitlement, in addition to a five percent penalty of $133,012.”
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GovPing monitors Canada CTA News for new government & legislation regulatory changes. Every update since tracking began is archived, classified, and available as free RSS or email alerts — 3 changes logged to date.
What changed
The CTA issued a determination under the Canada Transportation Act finding that CPKC exceeded its maximum revenue entitlement for the 2024–2025 crop year by $2,660,250, triggering a mandatory payment obligation plus a five percent penalty totaling approximately $2.79 million. CN was found to be compliant, with revenue $5,913,453 below its entitlement. Both railways benefited from a significant 12.1 percent increase in grain volumes moved year-over-year. Affected parties should note that the revenue entitlement framework operates as an economic ceiling on railway charges for Western grain shipments, with any overage subject to mandatory payment and penalty.
What to do next
- CPKC has 30 days to pay the amount by which it exceeded its 2024–2025 revenue entitlement, in addition to a five percent penalty of $133,012
Penalties
$2,660,250 overage plus $133,012 five percent penalty, payable to Western Grains Research Foundation
Archived snapshot
Apr 23, 2026GovPing captured this document from the original source. If the source has since changed or been removed, this is the text as it existed at that time.
OTTAWA, ON, Dec. 19, 2025 /CNW/ - In a determination issued today, the Canadian Transportation Agency (CTA) ruled that revenue of the Canadian National Railway Company (CN) was below and the Canadian Pacific Kansas City Railway Company (CPKC) was above their respective maximum grain revenue entitlements for the crop year 2024–2025.
- CN's grain revenue of $1,454,604,793 was $5,913,453 below its entitlement of $1,460,518,246.
- CPKC's grain revenue of $1,066,938,687 was $2,660,250 above its entitlement of $1,064,278,437. CPKC now has 30 days to pay the amount by which it exceeded its 2024–2025 revenue entitlement, in addition to a five percent penalty of $133,012.
Regulations require this payment to go to the Western Grains Research Foundation.
An increase in the volume of grain moved this crop year
In the 2024–2025 crop year, 49,002,694 tonnes of Western grain were moved. This represents a 12.1 percent increase in volumes compared to the last crop year, which saw 43.7 million tonnes transported. The increase in the volume of grain can be attributed to the increase in shipments for both CN and CPKC as compared to last year.
Determining the Maximum Revenue Entitlement
The Canada Transportation Act requires the CTA to determine each railway company's annual maximum revenue entitlement (MRE) and whether each entitlement has been exceeded. The revenue entitlement is a form of economic regulation that enables CN and CPKC to set their rates for services, provided the total amount of revenue collected from their shipments of Western grain remains below the ceiling set by the CTA.
Additional Resources
- Maximum Revenue Entitlement guide
- Maximum revenue entitlement determinations since 2000–2001 To learn more about CTA's mandate, please visit its website.
SOURCE Canadian Transportation Agency
Media Relations, Canadian Transportation Agency, [email protected], 819-934-3448
Organization Profile
Canadian Transportation Agency
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