Trans Mountain Pipeline Expansion Faces New Challenges

Shippers express concerns over variance request and approved interim tolls as project aims for Q1 2024 operation start.

Trans Mountain has requested a variance to install a smaller diameter pipe in a challenging section of the pipeline, which has raised concerns among shippers.
The Canada Energy Regulator (CER) has approved preliminary interim tolls for the expanded Trans Mountain pipeline system, despite opposition from some shippers.
The interim benchmark toll is set at $11.46 per barrel, nearly double what Trans Mountain estimated it would be in 2017 due to increased construction costs.
The final decision on the variance request and the final tolls are yet to be made by the CER.
The Trans Mountain expansion project, which has faced regulatory delays and cost over-runs, is expected to start operations by the end of the first quarter of 2024.