Tariffs
KOTUG Canada is the sole and exclusive provider of Trans Mountain Tanker Escort to Trans Mountain Tankers within the Area of Operation [1].
For service, please contact KOTUG Canada’s 24/7 dispatch line or monitored email address:
24/7 Dispatch Telephpone +1 250 252 3558
E-mail dispatch@kotugcanada.ca
Request for Service Notices:
KOTUG Canada dispatch office shall only accept firm orders when confirmation that sufficient funds are on the disbursement account of the respective agent to guarantee payment.
All service orders must be placed with KOTUG Canada dispatch no later than 48 hours prior with final, firm confirmation in writing no later than 24 hours prior. Orders may be changed any time prior to the 24-hour firm-order deadline, however changes or cancellations issued after the firm 24-hour notice are subject to charges. Any bookings with less than 24 hours notice cannot be guaranteed and will be subject to additional surcharges.
Service:
For Trans Mountain Tanker Escort Towage Services, transit between Buoy QA and Buoy J is divided into two routes:
| Route 1: Buoy QA – Race Rocks | Route 2: Race Rocks – Buoy J |
Escort Towage Services on Route 2 (Race Rocks – Buoy J) can be performed by two categories of vessels, dependent on weather criteria determined by using the Tug Matrix as captured in Annex A – “Towage Conditions”.
- Tug Category A – Minimum 80 tonnes bollard pull escort rated tug (“Orca” / “Grizzly”) – up to 95th percentile weather conditions (3.80 meter significant wave height).
- Tug Category B – 200 tonnes bollard pull anchor-handling supply tug (“K.J. Gardner”) – above 95th percentile weather conditions (3.80 meter significant wave height).
- The ultimate Tug Category shall be determined by KOTUG Canada by reference to the Tug Matrix and weather criteria which shall be determined using a specific weather management forecasting tool. Access to the weather management forecasting tool may be provided to the agent upon request.
- All services supplied by KOTUG Canada Escort Tugs or by any Escort Tugs chartered by or otherwise engaged by KOTUG Canada to supply services shall be subject to KOTUG Canada’s standard towing conditions attached as Annex A hereto.[2]
Tariffs for Trans Mountain Tankers:
Tariffs are adjusted on the first day of each quarter as per the exclusive service agreement. All the following Rates and Terms and Conditions are subject to change without notice
| Basis of charge: | Rates effective as per 1st January, 2026 |
| Route 1: Buoy QA to Race Rocks | $43,042.93 |
| Route 2: Race Rocks to Buoy J | $30,744.95 |
| Fuel: The actual amount of fuel consumed during each escort round trip or at the commencement of conclusion of any other Service shall be measured by the Vessel’s flow meters and invoiced based upon the actual consumption | Rates include the posted rack price for ultra-low-sulphur-diesel (ULSD) delivered by SUNCOR (Petro Canada) in Vancouver, BC on the day of the escort in addition to all applicable and prevailing Federal and/or Provincial taxes. The Petro Canada rack price is posted here: https://www.petro-canada.ca/en/business/rack-prices |
| Fuel administration fee | an administration fee of 5% of rack price multiplied by the volume of fuel consumed is applied to all invoices. |
| Demurrage: any and all deviations, including cancellations and delays, from the standard service between Buoy QA and Buoy J will result in demurrage charges. This includes but is not limited to the following | Delays and Standby: Waiting time in excess of two (2) hours shall be charged at a rate of $2,000 per hour, per tug, plus fuel. Cancellations prior to 24-hour firm notice: no charge Cancellations after 24-hour firm notice: – If tugboat has not begun mobilization: 25% of total order – If tugboat has begun mobilizing or is on-site: 100% of total order Short notice: KOTUG Canada will pursue all reasonable means available to provide Services, however any orders issued with less than 24-hours notice are ultimately subject to availability. Short notice orders are charged at double the prevailing tariff and any incremental costs incurred to provide the service will be charged at cost plus 25%. |
| Emergency Services: Emergency services means participating in marine emergency response including Terminal Emergency Assistance, Oil Spill Response and Early Storage activities as required | $40,062.50 per day (and not pro-rata for part thereof) plus fuel, per tug. |
Payment terms:
Payment terms are 14 (fourteen) days from date of receipt of (electronic) invoice. Accounts not paid within 14 days shall bear interest at a rate of 2% per month (24% per annum) compounded annually.
[1] Refer Annex B
[2] KOTUG Canada’s standard towing conditions were developed after joint consultation between KOTUG Canada and Trans Mountain’s Marine Shippers’ Sub-Committee (chaired by Trans Mountain). These conditions are widely practiced globally, including on the west coast of Canada. They combine the internationally recognized UK Standard Conditions for Towage and Other Services, Eastern Canadian Tug Owners’ Association (ECTOA) Standard Towing and Insuring Conditions (2015), and additional terms for Trans Mountain Tanker Escort.
