The Canadian government has approved the C$7.4bn (£4.41bn) Trans Mountain expansion project (TMX project) citing that the pipeline expansion project is in national interest and will address environmental concerns associated with it.
Trans Mountain, the holding company of the pipeline, said that it is ready to re-start the pipeline expansion project following the federal approval.
Trans Mountain pipeline expansion project details
The Trans Mountain pipeline expansion project will involve the twinning of the 1,150km-long existing Trans Mountain Pipeline built between Strathcona County near Edmonton in Alberta and Burnaby in British Columbia. The pipeline expansion project is expected to boost the capacity of the Trans Mountain pipeline from 300,000 to 890,000 barrels of oil per day.
Canadian Prime Minister Justin Trudeau said that every dollar earned by the government from the pipeline expansion project will be invested in the clean energy transition of the country. The approval is based on the environmental protection measures to be implemented as outlined by the National Energy Board (NEB).
The Trans Mountain expansion project will also implement the C$1.5bn (£892.91m) Oceans Protection Plan and the national climate plan among other measures.
In late February, NEB recommended approval of the pipeline expansion project following the conclusion of a reconsideration report, while imposing 156 conditions that cover aspects like emergency preparedness and response, environment protection, consultation with affected indigenous communities, and pipeline safety. The regulator also outlined 16 recommendations to ensure that the project addresses certain environmental issues.
Trudeau said: “We have a responsibility to ensure that the decisions we make today move us toward a cleaner, sustainable economy. Major resource projects can move forward, but only if we do so in a way that protects the environment and respects Indigenous rights.
“The TMX project is a significant investment in Canadians and in Canada’s future that will create thousands of good, middle class jobs, maintain the highest environmental standards, and fund the clean energy solutions that Canada needs to stay competitive on the global stage.”
The approval from the Canadian government for the project comes less than 12 months after the Federal Court of Appeal quashed an earlier approval from NEB ruling that the process adopted in approving the pipeline project was flawed.
Trans Mountain president and CEO Ian Anderson said: “This is a major milestone, not only for us, but more importantly for the shippers, communities, workers, local businesses and Indigenous peoples who have been involved in the development of the Project and are waiting to share in its success.”
