BCUC approves FortisBC’s Tilbury LNG storage expansion project

The project includes constructing a new, larger LNG storage tank at FortisBC’s Tilbury facility in Delta, BC. The new tank will replace an existing 56-years old storage tank that has reached the end of its service life.

Following a transparent and public review process that included submissions from eight interveners and feedback from individual British Columbians, the BCUC determined the project is in the public interest.

In its decision, the BCUC agreed that replacing the existing LNG storage tank is necessary for FortisBC to continue to reliably meet customers’ increasing energy demands on peak days.

The BCUC also found that building a larger capacity tank will address the resiliency risk of FortisBC’s natural gas delivery system. Currently, FortisBC receives 85% of the natural gas it delivers to customers from a single third-party pipeline. The expanded LNG storage will help mitigate the risk of supply disruption by providing back-up storage of natural gas. Two-thirds of the new storage tank will be set aside as a reserve in the event of unexpected supply interruptions, while the remaining volume will be used to meet customers’ energy needs on high demand days.

FortisBC confirmed that the new storage tank will be used exclusively to store and supply natural gas to customers. It will not be used to provide LNG for marine fuelling or for LNG export. As a condition of approval, any future changes to the storage tank’s use will require further approval.

The project is expected to be in service by 2030 at an estimated cost of CAN$1.14 billion. Over the six-year construction period, the delivery portion of customers’ rates will increase incrementally by an average of approximately 1.78% per year. Once constructed, the new storage tank is expected to reduce the need for external gas storage and delivery, generating long-term cost savings for customers.

Having found the project to be in the public interest, the BCUC issued FortisBC a Certificate of Public Convenience and Necessity for the Tilbury LNG storage expansion project.

Read the article online at: https://www.tanksterminals.com/storage-tanks/29102025/bcuc-approves-fortisbcs-tilbury-lng-storage-expansion-project/