VANCOUVER—The National Energy Board on Jan. 18 set out a process for resolving permit disputes related to Kinder Morgan Canada’s Trans Mountain pipeline expansion project, which has faced repeated delays due to difficulty in obtaining permits.
The regulator said that under the new process it will consider future disputes between the company and provincial and municipal authorities, and provide a response within three to five weeks, providing a “measure of certainty” for all parties.
The announcement came a day after Kinder Morgan Canada, a division of Houston-based Kinder Morgan Inc., said the start-up of the expanded pipeline would be delayed until December 2020 due to permitting struggles.
Kinder Morgan said late Jan. 18 it was pleased with the NEB’s decision, adding it was committed to work with local authorities and would review the decision in more detail.
The Trans Mountain expansion, which would nearly triple capacity to 890,000 barrels per day, is hotly opposed by environmental groups, the province of British Columbia, and some local municipalities, including the Vancouver suburb of Burnaby, where the pipeline ends.
While the project has federal approvals, Burnaby last year refused to issue key construction permits, forcing Kinder Morgan to appeal to the NEB for permission to proceed with its work. The company won that appeal in December.
The NEB said it hopes the new process, which was requested by Kinder Morgan, will be used sparingly and that all participants will approach future permitting on a good faith basis, noting that the company must comply with all local laws.
Separately, the NEB said it will hold hearings in Burnaby starting next week on the final route of the expansion, which is a twinning of an existing line from Alberta’s energy heartland to the British Columbia coast.
Recommended Reading
Report: Crescent Midstream Exploring $1.3B Sale
2024-04-23 - Sources say another company is considering $1.3B acquisition for Crescent Midstream’s facilities and pipelines focused on Louisiana and the Gulf of Mexico.
For Sale? Trans Mountain Pipeline Tentatively on the Market
2024-04-22 - Politics and tariffs may delay ownership transfer of the Trans Mountain Pipeline, which the Canadian government spent CA$34 billion to build.
Energy Transfer Announces Cash Distribution on Series I Units
2024-04-22 - Energy Transfer’s distribution will be payable May 15 to Series I unitholders of record by May 1.
Balticconnector Gas Pipeline Back in Operation After Damage
2024-04-22 - The Balticconnector subsea gas link between Estonia and Finland was severely damaged in October, hurting energy security and raising alarm bells in the wider region.
Wayangankar: Golden Era for US Natural Gas Storage – Version 2.0
2024-04-19 - While the current resurgence in gas storage is reminiscent of the 2000s —an era that saw ~400 Bcf of storage capacity additions — the market drivers providing the tailwinds today are drastically different from that cycle.