Canada energy regulator approves Trans Mountain tolls settlement
The Canada Energy Regulator on Monday approved Trans Mountain's negotiated tolls settlement, finding the tolls just and reasonable and setting a new framework for tariffs and transportation services on the pipeline system.
The decision allows up to 90% of the pipeline’s capacity to be contracted to shippers, up from 80%, the regulator said.
The regulator said Trans Mountain can still ensure other shippers have meaningful access to available pipeline capacity.
The settlement resolves an 18-month dispute over tolls charged on the expanded pipeline, which began operations in 2024 after a C$34-billion ($23.98-billion) expansion.
The expanded 890 000-barrels-per-day pipeline is Canada’s only east-west oil pipeline and gives producers direct access to China and other Asian markets.
No commercially interested parties opposed the negotiated settlement, the regulator said.
Trans Mountain has proposed boosting capacity by up to 300 000 bpd through optimization projects by 2028 and earlier this year, launched a bidding process for roughly 90 000 bpd of new capacity.