The June 2022 deadline for ELD compliance in Canada has been pushed back to January 1st, 2023.
CCMTA (Canadian Council of Motor Transport Administrators) announced the full ELD enforcement extension on March 7, 2022.
The ELD mandate enforcement was originally scheduled for June 12, 2021, however, the enforcement was delayed by a year due to the unprecedented challenges caused by the COVID-19 pandemic, and other challenges related to certification.
With this current extension, the CCMTA decided to extend full ELD enforcement due to the small number of certified ELD providers. At the time of writing this article, there are 14 out of approximately 700 ELD providers certified on the Transport Canada website.
“Jurisdictions have been monitoring progress and determined that an extension of the transition period is required. This will allow sufficient time for the industry to purchase and install certified ELD devices, and conduct training to be compliant. Based on these factors, jurisdictions will continue to support the mandate through a period of education and awareness through to January 1, 2023.” – Announcement by CCMTA.
This extension will ensure that carriers can have sufficient time to purchase, install ELDs and educate drivers to comply with the ELD mandate rules.
What should carriers do during this period?
While we hope that the delay in full enforcement would allow carriers to have sufficient time to prepare for the ELD mandate, the fact is you need to get started as soon as possible.
ELD price increases are expected due to the shortage of certified ELDs providers in Canada, and ongoing supply chain shortages, causing device costs to go up. The following factors pressure ELD providers and end up causing price increases.
Lengthy process of ELD registration & Certification
Unlike the USA, Canada takes a more systematic approach to ELD certification. In Canada, ELDs can only be third-party certified and can not be self-certified. In the process, 3 independent certifying bodies work with manufacturers to test and approve their devices. See the image of the process with duration figures. It can take up to 1 year to get an ELD solution approved.
Certification costs
According to trucknews.com, ELD providers can submit only three models at a time, the certification fee is approximately $50,000 USD per device. This only includes 1 mobile OS (like Android or iOS). If an ELD provider wants to get both mobile operating systems approved for each device, then the cost doubles. Each year, 25% of the ELDs will have to be retested for which ELD providers will have to pay $12,000 to $25,000 per device model.
An answer to the question: What should carriers do during this period?
Get ready for ELD Compliance as soon as possible
Looking at the cost and the lengthy process, you can clearly see why so few providers are certified today, almost 1 year after the mandate has been implemented.
That being said, most or all ELD providers are expected to raise their rates by up to 40%. Essentially these high costs of certification and upkeep are being passed on to the consumer. If you already have an ELD today, there is a good chance it won’t get certified in Canada. If it does, expect a cost increase of your services along with it.
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