Energy Minister Tim Hodgson has thrown cold water on Trans Mountain\u2019s ask to prioritize optimizing the capacity of the government-owned oil pipeline before greenlighting new major pipeline projects.<\/p>\n
Prime Minister Mark Carney has promised to turn Canada into a world-leading energy superpower and his party passed the Building Canada Act in June, which gives the government sweeping new powers to approve major projects of national interest.<\/p>\n
\u201cThe optimization\u2026 I don\u2019t think that\u2019s a project of national interest,\u201d Hodgson said Wednesday. \u201cIf there\u2019s a case to be made for optimization, they will make that case \u2026 and we\u2019ll consider it through the normal course.\u201d<\/p>\n
The Trans Mountain pipeline ships oil from Alberta to the B.C. coast. In 2018, the federal government purchased the pipeline and funded a major expansion that has nearly tripled the pipeline\u2019s capacity. <\/p>\n
The expanded pipeline, which started shipping oil in May 2024, can now handle up to 890,000 barrels per day – but that capacity could be increased to nearly 1.2 million barrels per day through optimization, according to Trans Mountain CEO Mark Maki.<\/p>\n
\u201cMy personal belief is that you look at the optimization of your existing pipelines, it\u2019s the first thing you do, because it\u2019s the easiest thing to do,\u201d Maki said in an interview<\/a> with CTV News Chief Political Correspondent Vassy Kapelos in Burnaby, B.C., on Tuesday.<\/p>\n \u201cIt\u2019s much harder to build another TMX somewhere,\u201d he added. \u201cAnd for that reason, optimize the kit that you have, which you can do in steps over time, and then add capacity as it\u2019s needed, and then you have time to evaluate the bigger issue, which is, do you need another pipeline somewhere?\u201d<\/p>\n While optimization could further increase the potential capacity of Trans Mountain, the pipeline is currently operating at 85 per cent of its current maximum capacity. <\/p>\n