Tilbury LNG Expansion in Delta Gets Federal and Provincial Approval

Sarah Desjardins

9/22/20262 min read

The proposed expansion of FortisBC’s Tilbury liquefied natural gas facility in Delta has cleared a major regulatory hurdle after receiving environmental approvals from both the federal and provincial governments.

Federal Environment Minister Julie Dabrusin issued a decision Monday concluding that the project’s potential adverse effects within federal jurisdiction were justified when weighed against its expected benefits. The federal decision followed B.C.’s issuance of an environmental assessment certificate for the project on Tilbury Island in the Fraser River.

The assessment was conducted under a co-ordinated approach in which the B.C. Environmental Assessment Office carried out a single review used to inform decisions by both levels of government.

Expansion Would Increase LNG Production and Storage

The Tilbury Phase 2 project would significantly expand FortisBC’s existing LNG operations.

Plans include a new 142,400-cubic-metre storage tank and new liquefaction equipment capable of producing up to 2.5 million tonnes of LNG annually, or roughly 7,700 tonnes per day.

The existing Tilbury facility provides backup natural gas supply for the Lower Mainland during periods of peak demand while also producing LNG for domestic and international customers.

The province says the expansion could also help meet increasing demand for LNG from marine vessels operating along the B.C. coast and across the Pacific.

Province Points to Jobs and Economic Benefits

FortisBC estimates the project could generate as many as 6,200 full-time-equivalent person-years of employment during construction and approximately 100 permanent operational jobs.

The company also estimates construction could contribute as much as $1.7 billion to B.C.’s gross domestic product.

Federal Environment Minister Julie Dabrusin said the approval demonstrates how governments can pursue economic development while addressing environmental impacts and reconciliation.

Federal Energy Minister Tim Hodgson also welcomed the decision, describing it as part of Ottawa’s effort to advance major infrastructure projects more quickly.

Project Has Faced Opposition Over Safety

The expansion has also faced opposition, including from within the B.C. government.

Emergency Management and Climate Readiness Minister Kelly Greene said in July that she was disappointed FortisBC planned to proceed, citing safety concerns raised by people in her community.

“For months, I have listened to safety concerns from people in my community. I raised those issues with government at every opportunity,” Greene said at the time.

Premier David Eby defended her ability to publicly disagree with the project, describing his government as a “big tent.”

Approval Includes 18 Binding Conditions

B.C.’s environmental assessment certificate includes 18 legally binding conditions covering issues such as air quality, wildlife protection, greenhouse-gas reductions, health and emergency planning, and ongoing monitoring of effects on First Nations.

The Environmental Assessment Office said it sought consensus with 12 Indigenous nations during the review, while another 13 Indigenous groups were kept informed at key stages of the process.

The assessment began in February 2020 but was delayed after FortisBC sought an extension during the COVID-19 pandemic. The company submitted a revised application in February 2026.

The environmental certificate allows the project to move forward toward additional permits and approvals, but FortisBC must still complete those steps before construction can proceed.

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