441-00076 (Natural resources and energy)

The Government of Canada approved the Trans Mountain Expansion Project (TMX, or the Project) in 2019 because it is in the public interest. When approving the Project, the Government of Canada considered a wide variety of information, including the latest evidence-based science and the review by the Canada Energy Regulator (formerly the National Energy Board), regarding the Project’s impacts on the environment. The Government of Canada also reviewed and considered the results of extensive consultations with 129 Indigenous groups. The Project is important to Canada’s economic future and, once complete, will facilitate increased exports to global markets, thus ensuring producers receive a fair price for petroleum products.

Construction on the Project has continued during the COVID-19 pandemic, in full compliance with public health orders and directives. Necessary health and safety measures are in place to prevent the spread of COVID-19 among workers and communities. Construction is well underway across British Columbia and Alberta, creating more than 12,600 middle-class jobs—including over 1,200 jobs for Indigenous workers. As of December 22, 2021, construction of TMX is approximately 43 percent complete, with over 340 kilometres of new pipeline in the ground. The anticipated in-service-date for the TMX Project is December 31, 2022.

The Government of Canada is collaborating with all levels of government, Indigenous communities, federal and provincial regulators, and Trans Mountain Corporation to ensure that all necessary permits and regulatory authorizations are in place. On September 22, 2021, the Canada Energy Regulator issued its final order, approving all 1,147 kilometres of the Project’s route.

While Canada transitions to a sustainable energy future, Canadians will still rely on access to oil and gas for their daily needs, including heating and transportation. Collaboration and consultation with the natural resource sector is essential in establishing the path towards achieving net-zero emissions by 2050, while promoting the development of good jobs and a prosperous clean economy.

The Government thanks the petitioners for expressing their views about the importance of the oil and gas sector to the Canadian economy as well as views on expediting the Trans Mountain Expansion Project (TMEP).

The environment and the economy go hand-in-hand. When we create prosperity today, we can invest in the clean jobs, technologies, and infrastructure of the future — and help Canadians benefit from opportunities presented by a rapidly changing economy.

The key to creating prosperity is finding new markets for our businesses to sell their products and services. Nowhere is the need to diversify greater than for our energy sector, where 99 per cent of our conventional resources are sold to one market — and often at large discounts. Canadians understand that we need to open up new international markets, in order to get a full and fair price, support workers and their families, and foster competitiveness.

The Government is confident that the TMEP will generate a positive return for Canadians.

TMEP as it stands today is very different from the project that Kinder Morgan proposed in 2017. It has been designed to a higher standard for environmental protection, undergone rigorous consultation with Indigenous groups and will support union jobs in B.C. and Alberta. These enhancements have improved TMEP, ensured that construction proceeds in the right way, and that it will support the Canadian economy today and into the future.

The Government also announced that every dollar the federal government earns from TMEP will be invested in Canada’s clean energy transition. It is estimated that additional tax revenues from TMEP alone could generate $500 million per year once the project has been completed. This money will be invested in clean energy projects that will power our homes, businesses, and communities for generations to come.