Ottawa fast-tracks $3.5-billion LNG expansion on B.C. coast

Skip to Content News Archives Economy Energy Oil & Gas Renewables Electric Vehicles Mining Commodities Agriculture Real Estate Mortgages Mortgage Rates Finance Banking Insurance Fintech Cryptocurrency Work Wealth Smart Money Wealth Management Investor Personal Finance Family Finance Retirement Taxes High Net Worth FP Comment Executive Women Puzzmo Newsletters Financial Times Business Essentials More Innovation Information Technology FP500 Podcasts Small Business Lives Told Tails Told Shopping Financial Post Store Obituaries Place a Notice Advertising Advertising With Us Advertising Solutions Postmedia Ad Manager Sponsorship Requests Classifieds Place a Classifieds ad Working Profile Settings My Subscriptions My Offers Newsletters Customer Service FAQ News Economy Energy Mining Real Estate Finance Work Wealth Investor FP Comment Executive Women Puzzmo Newsletters Financial Times Business Essentials This advertisement has not loaded yet, but your article continues below.HomeEnergyOttawa fast-tracks $3.5-billion LNG expansion on B.C. coastConstruction for the new storage tank and liquefaction infrastructure is slated to begin in early 2027Last updated 44 minutes ago Fortis has a long history on Tilbury Island. In 1971, the provincial regulated utility company built the original Tilbury LNG facility, the first of its kind in B.C. Photo by James MacDonald/Bloomberg via Getty ImagesB.C. energy provider FortisBC now has the green light for a $3.5-billion expansion of an LNG terminal.THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLYSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.SUBSCRIBE TO UNLOCK MORE ARTICLESSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.REGISTER / SIGN IN TO UNLOCK MORE ARTICLESCreate an account or sign in to continue with your reading experience.Access articles from across Canada with one account.Share your thoughts and join the conversation in the comments.Enjoy additional articles per month.Get email updates from your favourite authors.THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one accountShare your thoughts and join the conversation in the commentsEnjoy additional articles per monthGet email updates from your favourite authorsSign In or Create an AccountLocated in Delta, B.C. on the industrialized Tilbury Island, the Fortis facility supplies fuel to the lower mainland’s marine shipping industry and overseas LNG market. The expansion will boost the facility’s output by 10 times once complete.The approval, under the new “one project, one review” federal program, came immediately after the B.C. government issued an environmental assessment certificate to FortisBC for the project on Tilbury Island in the Fraser River.“Canada is going to build its way to prosperity. We’re focused on major projects, and this reflects a strategic position for the government,” said Tim Hodgson, Canada’s minister of energy and natural resources, in an interview.Get the latest headlines, breaking news and columns.By signing up you consent to receive the above newsletter from Postmedia Network Inc.A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of Top Stories will soon be in your inbox.We encountered an issue signing you up. Please try again“We’re taking what we’ve learned through the [Major Projects Office] and bringing that skill and expertise to bear across all projects, backed by a legislative framework that applies to all of them.”Once complete, the expanded Tilbury LNG terminal will supply growing markets for marine bunkering and overseas export. Marine bunkering is the process of supplying and pumping fuel into a ship’s storage tanks to power its engines and onboard generators.Tilbury Island, home to Tilbury Industrial Park, is a major industrial zone in B.C.’s lower mainland. The island is home to several hundred businesses and thousands of workers employed in a variety of industries including aerospace, manufacturing and distribution.That industrial base, paired with direct river access, is what has drawn heavy infrastructure to the island for decades.FortisBC’s LNG facility is the anchor tenant, but it’s not alone. Heidelberg Materials operates a cement grinding plant there, and the proposed Tilbury Marine Jetty, an LNG export terminal, is also in the planning stages.The FortisBC project was originally initiated in February 2020, but the province said it was delayed by the COVID-19 pandemic. Fortis submitted a revised application in February 2026.Rather than running a separate federal review, Ottawa let B.C.’s Environmental Assessment Office to handle the project’s assessment on the federal government’s behalf.“We don’t want to burn bunker fuel anymore,” said Hodgson. “With this expansion, we’re committing to using cleaner natural gas.”Bunker fuel is far dirtier than LNG on sulfur and particulate emissions. Scientists say when a ship switches to LNG, it cuts those emissions by roughly 95 per cent. It also lowers carbon dioxide emissions by a quarter.Fortis has a long history on Tilbury Island. In 1971, the provincial regulated utility company built the original Tilbury LNG facility, the first of its kind in B.C.This advertisement has not loaded yet.This advertisement has not loaded yet, but your article continues below.Back then, it was designed solely as a peak-shaving facility, so-called because its purpose was to smooth out the difference between a utility’s normal supply and the price spikes that would happen on cold winter days.It’s a different business model from an LNG export terminal which liquefies gas continuously to ship overseas.Tilbury is now doing both: its original peak-shaving job, plus growing export and marine-fuel volumes as it expands.Construction for the new storage tank and liquefaction infrastructure is slated to begin in early 2027.We apologize, but this video has failed to load.Notice for the Postmedia NetworkThis website uses cookies to personalize your content (including ads), and allows us to analyze our traffic. Read more about cookies here. By continuing to use our site, you agree to our Terms of Use and Privacy Policy.