Sunrise Expansion approved for T‑South pipeline

Summary#

An Order in Council directs the Commission of the Canadian Energy Regulator to issue a certificate (GC-135) to Westcoast Energy Inc. for the Sunrise Expansion Program, subject to 47 conditions. The project would add pipeline loops, compressor stations and power lines to increase capacity on the T‑South system by up to 300 MMcf/d and has an estimated capital cost of about $4 billion.

What it does#

• Directs the Commission to issue a Certificate of Public Convenience and Necessity (certificate GC-135) to Westcoast Energy Inc. under the Canadian Energy Regulator Act.
• Approves construction of the Sunrise Expansion Program, which includes:
  • 11 pipeline loop segments totalling about 139 km alongside the existing pipeline.
  • New electric‑driven and gas‑driven compressor units.
  • 2 new overhead power lines totalling about 10 km.
  • Decommissioning (removal) of about 350 m of deactivated pipe in the existing right‑of‑way.
• Authorizes capacity to be added to the T‑South system of up to 300 MMcf/d to meet forecast demand, including contracted service to Woodfibre LNG (expected 2027).
• Imposes 47 conditions covering construction, environmental protection, Indigenous participation and monitoring, species‑at‑risk measures, safety, and reporting.
• Notes expected timeline: construction could start in 2026 with a target in‑service date of November 1, 2028, and an operating life of at least 30 years.

Who's affected#

• Westcoast Energy Inc. (proponent) and its parent company Enbridge Inc..
• Communities and industries served by the T‑South pipeline: parts of British Columbia, the Lower Mainland, Vancouver Island and the U.S. Pacific Northwest.
• Woodfibre LNG, which has firm‑service contracts and is a driver of the added demand.
• Indigenous groups whose territories the project crosses or affects — the Crown identified 73 groups (including Treaty 8 and Treaty 6 nations). Specific reserve crossings mentioned include Sq’éwqel First Nation, Cheam First Nation, and McLeod Lake Indian Band.
• Local workers, contractors and businesses: peak construction workforce up to 2,500 and an estimated 20,700 full‑time equivalent person‑years of employment during the project’s lifetime.
• The environment and species at risk, including the Southern Mountain Caribou and the Spotted Owl.
• Regulators and public stakeholders who will monitor compliance — mainly the Canadian Energy Regulator.

Why it matters#

• Energy supply and prices: the project is intended to avoid a projected capacity shortfall of 300 MMcf/d and reduce the risk of service interruptions or price volatility in the region’s natural gas market.
• Big local economic impact: estimated contributions of about $3.4 billion to Canada’s GDP and roughly $1.88 billion in labour income, plus tax revenues ($305 million federal and $394 million provincial in B.C.).
• Environmental and Indigenous impacts remain: the Commission found residual environmental effects and medium‑level cumulative impacts on Indigenous and Treaty rights, and imposed conditions and monitoring requirements to reduce those effects.
• Ongoing oversight: the Canadian Energy Regulator will enforce the conditions and monitor compliance across the project lifecycle; Indigenous monitoring roles are included but remain advisory, which some groups have raised as a concern.
• Not unanimous: one Commission member raised concerns about whether consultation was deep enough and recommended stronger or additional conditions; the Government considered those views and still directed the certificate to be issued.