Trans Mountain has reached a toll settlement with oil shippers after prolonged negotiations, ending a dispute over pipeline fees for the expanded pipeline. The agreement, announced July 8, 2026, resolves a contentious issue that had delayed the pipeline's full commercial operations.
Settlement Details
The settlement sets tolls for shipping crude oil on the Trans Mountain pipeline, which was expanded to nearly triple its capacity to 890,000 barrels per day. The terms were not disclosed, but sources familiar with the matter said the rates are competitive with other pipeline tariffs in Western Canada.
Negotiations had been ongoing for months, with shippers arguing that initial toll proposals were too high. The Canada Energy Regulator had been involved in mediation efforts.
Impact on Shippers
Oil producers and shippers welcomed the settlement, saying it provides certainty for moving crude to the Pacific Coast. According to a statement from a shipper group, the agreement ensures that tolls are fair and reflect the pipeline's value.
"This settlement is a positive outcome for all parties," said one industry representative. "It allows shippers to plan their logistics and supports the long-term viability of the pipeline."
Pipeline Background
The Trans Mountain expansion project cost an estimated $34 billion and began commercial service in May 2024. It connects Alberta's oil sands to the Burnaby terminal near Vancouver, opening up Asian markets for Canadian crude.
The pipeline has faced environmental protests and regulatory hurdles, but the federal government purchased it in 2018 to ensure the expansion proceeded.
