The group of provinces pushing the passport model instead of a single national securities regulator has published a report outlining their progress over the past year — and plans for the coming season.

The Provincial/Territorial Council of Ministers of Securities Regulation continues to advocate a passport system for improving the regulatory framework, notwithstanding the opposition of both Ontario and the federal government, who have actively championed a single regulator.

The report notes that there was continued co-operation and co-ordination among participating jurisdictions and the Canadian Securities Administrators in 2008 to harmonize, modernize and reform the securities regulatory system (including the introduction of single-window access for issuers, and further work towards similar access for registrants).

Looking ahead, the group says that legislative changes will be brought forward as needed to ensure that their jurisdictions’ legislative platforms “remain responsive to the capital markets developments.”

For the coming year, the council stresses that the CSA plans to implement the national registration rule and the passport jurisdictions will have registration-related amendments to support the new national registration rule in place.

“The only thing standing in the way of the CSA implementing the national registration rule by mid-2009 is Ontario’s lack of commitment to passing the draft registration proposals published for comment in February 2008 on a timely basis,” it warns, adding that “Ontario’s non-harmonized approach to legislation was strongly criticized by most commenters, variously describing the Ontario approach as regressive, out of touch and resulting in substantial uncertainty, a lack of transparency and increased cost and regulatory burden.”

Additionally, the council notes that it has asked the CSA to review existing derivatives legislation, including Québec’s new Derivatives Act and to provide recommendations to create harmonized legislation and rules across the country.

A working group of government officials continues to study the possible benefits of establishing an independent securities tribunal. The council has also asked the CSA to continue developing the passport fee model and to report back in 2009. And, it has a task force that it is looking at a harmonized legislative model to support the Canadian Public Accountability Board’s oversight role.