Based on coverage from Global News, Castanet, and Winnipeg Free Press.
Trans Mountain has been fined $196,000 by the Canada Energy Regulator for environmental lapses along its pipeline route in British Columbia. The penalty, the largest cumulative fine of its kind, follows a January 2024 storm that caused significant flooding in the lower mainland of B.C. The regulator cited the company's failure to have enough environmental workers on hand to manage the floodwater and its decision to direct all crews to a single location for weld repairs, leaving other areas unattended.
Storm Exposes Environmental Oversight Gaps
The January storm hit just three months after Trans Mountain was warned by the regulator about similar lapses. In October 2023, an inspection revealed issues at a wetland complex along the Fraser Valley pipeline route, including improper garbage and soil handling. The regulator noted that the company was falling behind on environmental compliance, with less than 80% of deficiencies being resolved in a timely manner. Despite a memo from a senior director emphasizing the importance of safety and environmental compliance, the company's focus remained on production.
High-Risk Situations Despite Low Immediate Harm
While the regulator acknowledged that the lapses did not result in significant immediate harm, the potential risks were considerable. Flooding could have impacted two dairy farms and a section of highway, while landslides posed a danger to workers. Erosion risks included soil entering streams, affecting fish and water quality. The regulator found 25 spots along the pipeline route where pumps were available but not activated during the flood, exacerbating the situation.
Trans Mountain's Troubled History
The Trans Mountain project, which twinned an existing pipeline from Alberta to the B.C. coast, has faced numerous challenges since its inception. Originally proposed by Kinder Morgan in 2012 to enhance Canada's oil exports, the project encountered strong environmental and Indigenous opposition. The federal government purchased the project in 2018 for $4.5 billion, but costs ballooned to around $34 billion by its completion in May 2024. The company has faced previous penalties, including a $164,000 fine in 2022 related to a workplace death and a reduced fine for disturbing bird nests.
Future Implications for Trans Mountain
The regulator initially issued four administrative penalties totalling $292,000, later reduced to $196,000 upon review. The maximum daily penalty stands at $100,000. As Trans Mountain navigates these regulatory challenges, questions remain about how the federal government will repay substantial loans tied to the project's escalating costs. The company has yet to comment on the recent fine, leaving stakeholders and the public awaiting further developments.
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This story was built from multiple outlets. All of them reported Trans Mountain's $196,000 fine for environmental lapses after a January 2024 storm, but they differed in their presentation and emphasis:
- Global News provided detailed context about the company's delayed response to issues like a small landslide and sediment-laden floodwater, highlighting the high risk despite minimal harm.
- Castanet included a visual element by describing crude oil tankers at the Trans Mountain Westridge Marine Terminal, adding a local perspective with the mention of the residential area in Burnaby, B.C.
- Winnipeg Free Press focused on the regulatory aspect, mentioning the outreach to Trans Mountain for comment, and included a note about agreeing to terms and conditions, which was not present in other sources.
