Overbooking on the existing Trans Mountain Pipeline has reached its highest so far in 2019, Trans Mountain Corporation said on Thursday.
Apportionment, or the amount of oil shippers have nominated above the pipeline’s determined capacity, is at 39 percent for June, the crown corporation said.
That’s up from 28 percent in May.
So far this year Trans Mountain apportionment has averaged 30.8 percent, compared to approximately 40 percent in 2018 and a little over 20 percent in 2017, according to the company’s data.
Source: Trans Mountain Corporation
Trans Mountain says this is evidence of the “strong and clear business case” supporting the Trans Mountain Expansion.
“Our shippers have made long-term contract commitments ranging from 15 to 20 years that will underpin the cost of construction and the operating costs. The additional capacity offered by the expansion will be used to supply more crude oil and refined products markets in British Columbia and Washington State and to offshore markets in the Asia Pacific.”
The federal government is expected to vote on whether to re-approve the project on June 18.
This was recommended by the National Energy Board in February, following a reconsideration process and the addition of new regulatory conditions.