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Gas prices plummet in BC thanks to TMX pipeline expansion

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From Resource Works

By more than doubling capacity and cutting down the costs, the benefits of the TMX expansion are keeping more money in consumer pockets. 

Just months after the Trans Mountain Expansion (TMX) project was completed last year, Canadians, especially British Columbians, are experiencing the benefits promised by this once-maligned but invaluable piece of infrastructure. As prices fall when people gas up their cars, the effects are evident for all to see.

This drop in gasoline prices is a welcome new reality for consumers across B.C. and a long-overdue relief given the painful inflation of the past few years.

TMX has helped broaden Canadian oil’s access to world markets like never before, improve supply chains, and boost regional fuel supplies—all of which are helping keep money in the pockets of the middle class.

When TMX was approaching the finish line after the new year, it was praised for promising to ease long-standing capacity issues and help eliminate less efficient, pricier methods of shipping oil. By mid-May, TMX was completed and in full swing, with early data suggesting that gas prices in Vancouver were slackening compared to other cities in Canada.

Kent Fellows, an assistant professor of Economics and the Director of Graduate Programs for the School of Public Policy at the University of Calgary, noted that wholesale prices in Vancouver fell by roughly 28 cents per litre compared to the typically lower prices in Edmonton, thanks to the expanded capacity of TMX. Consequently, the actual price at the gas pump in the Lower Mainland fell too, providing relief to a part of Canada that traditionally suffers from high fuel costs.

In large part due to limited pipeline capacity, Vancouver’s gas prices have been higher than the rest of the country. From at least 2008 to this year, TMX’s capacity was unable to accommodate demand, leading to the generational issue of “apportionment,” which meant rationing pipeline space to manage excess demand.

Under the apportionment regime, customers received less fuel than they requested, which increased costs. With the expansion of TMX now complete, the pipeline’s capacity has more than doubled from 350,000 barrels per day to 890,000, effectively neutralizing the apportionment problem for now.

Since May, TMX has operated at 80 percent capacity, with no apportionment affecting customers or consumers.

Before the TMX expansion was completed, a litre of gas in Vancouver cost 45 cents more than a litre in Edmonton. By August, it was just 17 cents—a remarkable drop that underscores why it’s crucial to expand B.C.’s capacity to move energy sources like oil without the need for costly alternatives, allowing consumers to enjoy savings at the pump.

More than doubling TMX’s capacity has rapidly reshaped B.C.’s energy landscape. Despite tensions in the Middle East, per-litre gas prices in Vancouver have fallen from about $2.30 per litre to $1.54 this month. Even when there was a slight disruption in October, the price only rose to about $1.80, far below its earlier peaks.

As Kent Fellows noted, the only real change during this entire timeline has been the completion of the TMX expansion, and the benefits extend far beyond the province’s shores.

With TMX moving over 500,000 barrels more per day than it did previously, Canadian oil is now far more plentiful on the international market. Tankers routinely depart Burrard Inlet loaded with oil bound for destinations in South Korea and Japan.

In this uncertain world, where oil markets remain volatile, TMX serves as a stabilizing force for both Canada and the world. People in B.C. can rest easier with TMX acting as a barrier against sharp shifts in supply and demand.

For critics who argue that the $31 billion invested in the project is short-sighted, the benefits for everyday people are becoming increasingly evident in a province where families have endured high gas prices for years.

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Business

Trump confirms 35% tariff on Canada, warns more could come

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Quick Hit:

President Trump on Thursday confirmed a sweeping new 35% tariff on Canadian imports starting August 1, citing Canada’s failure to curb fentanyl trafficking and retaliatory trade actions.

Key Details:

  • In a letter to Canadian Prime Minister Mark Carney, Trump said the new 35% levy is in response to Canada’s “financial retaliation” and its inability to stop fentanyl from reaching the U.S.
  • Trump emphasized that Canadian businesses that relocate manufacturing to the U.S. will be exempt and promised expedited approvals for such moves.
  • The administration has already notified 23 countries of impending tariffs following the expiration of a 90-day negotiation window under Trump’s “Liberation Day” trade policy.

Diving Deeper:

President Trump escalated his tariff strategy on Thursday, formally announcing a 35% duty on all Canadian imports effective August 1. The move follows what Trump described as a breakdown in trade cooperation and a failure by Canada to address its role in the U.S. fentanyl crisis.

“It is a Great Honor for me to send you this letter in that it demonstrates the strength and commitment of our Trading Relationship,” Trump wrote to Prime Minister Mark Carney. He added that the tariff response comes after Canada “financially retaliated” against the U.S. rather than working to resolve the flow of fentanyl across the northern border.

Trump’s letter made clear the tariff will apply broadly, separate from any existing sector-specific levies, and included a warning that “goods transshipped to evade this higher Tariff will be subject to that higher Tariff.” The president also hinted that further retaliation from Canada could push rates even higher.

However, Trump left the door open for possible revisions. “If Canada works with me to stop the flow of Fentanyl, we will, perhaps, consider an adjustment to this letter,” he said, adding that tariffs “may be modified, upward or downward, depending on our relationship.”

Canadian companies that move operations to the U.S. would be exempt, Trump said, noting his administration “will do everything possible to get approvals quickly, professionally, and routinely — In other words, in a matter of weeks.”

The U.S. traded over $762 billion in goods with Canada in 2024, with a trade deficit of $63.3 billion, a figure Trump called a “major threat” to both the economy and national security.

Speaking with NBC News on Thursday, Trump suggested even broader tariff hikes are coming, floating the idea of a 15% or 20% blanket rate on all imports. “We’re just going to say all of the remaining countries are going to pay,” he told Meet the Press moderator Kristen Welker, adding that “the tariffs have been very well-received” and noting that the stock market had hit new highs that day.

The Canadian announcement is part of a broader global tariff rollout. In recent days, Trump has notified at least 23 countries of new levies and revealed a separate 50% tariff on copper imports.

“Not everybody has to get a letter,” Trump said when asked if other leaders would be formally notified. “You know that. We’re just setting our tariffs.”

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Business

UN’s ‘Plastics Treaty’ Sports A Junk Science Wrapper

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From the Daily Caller News Foundation

By Craig Rucker

According to a study in Science Advances, over 90% of ocean plastic comes from just 10 rivers, eight of which are in Asia. The United States, by contrast, contributes less than 1%. Yet Pew treats all nations as equally responsible, promoting one-size-fits-all policies that fail to address the real source of the issue.

Just as people were beginning to breathe a sigh of relief thanks to the Trump administration’s rollback of onerous climate policies, the United Nations is set to finalize a legally binding Global Plastics Treaty by the end of the year that will impose new regulations, and, ultimately higher costs, on one of the world’s most widely used products.

Plastics – derived from petroleum – are found in everything from water bottles, tea bags, and food packaging to syringes, IV tubes, prosthetics, and underground water pipes.  In justifying the goal of its treaty to regulate “the entire life cycle of plastic – from upstream production to downstream waste,” the U.N. has put a bull’s eye on plastic waste.  “An estimated 18 to 20 percent of global plastic waste ends up in the ocean,” the UN says.

As delegates from over 170 countries prepare for the final round of negotiations in Geneva next month, debate is intensifying over the future of plastic production, regulation, and innovation. With proposals ranging from sweeping bans on single-use plastics to caps on virgin plastic output, policymakers are increasingly citing the 2020 Pew Charitable Trusts reportBreaking the Plastic Wave, as one of the primary justifications.

But many of the dire warnings made in this report, if scrutinized, ring as hollow as an empty PET soda bottle. Indeed, a closer look reveals Pew’s report is less a roadmap to progress than a glossy piece of junk science propaganda—built on false assumptions and misguided solutions.

Pew’s core claim is dire: without urgent global action, plastic entering the oceans will triple by 2040. But this alarmist forecast glosses over a fundamental fact—plastic pollution is not a global problem in equal measure. According to a study in Science Advances, over 90% of ocean plastic comes from just 10 rivers, eight of which are in Asia. The United States, by contrast, contributes less than 1%. Yet Pew treats all nations as equally responsible, promoting one-size-fits-all policies that fail to address the real source of the issue.

This blind spot has serious consequences. Pew’s solutions—cutting plastic production, phasing out single-use items, and implementing rigid global regulations—miss the mark entirely. Banning straws in the U.S. or taxing packaging in Europe won’t stop waste from being dumped into rivers in countries with little or no waste infrastructure. Policies targeting Western consumption don’t solve the problem—they simply shift it or, worse, stifle useful innovation.

The real tragedy isn’t plastic itself, but the mismanagement of plastic waste—and the regulatory stranglehold that blocks better solutions. In many countries, recycling is a government-run monopoly with little incentive to innovate. Meanwhile, private-sector entrepreneurs working on advanced recycling, biodegradable materials, and AI-powered sorting systems face burdensome red tape and market distortion.

Pew pays lip service to innovation but ultimately favors centralized planning and control. That’s a mistake. Time and again, it’s been technology—not top-down mandates—that has delivered environmental breakthroughs.

What the world needs is not another top-down, bureaucratic report like Pew’s, but an open dialogue among experts, entrepreneurs, and the public where new ideas can flourish. Imagine small-scale pyrolysis units that convert waste into fuel in remote villages, or decentralized recycling centers that empower informal waste collectors. These ideas are already in development—but they’re being sidelined by policymakers fixated on bans and quotas.

Worse still, efforts to demonize plastic often ignore its benefits. Plastic is lightweight, durable, and often more environmentally efficient than alternatives like glass or aluminum. The problem isn’t the material—it’s how it has been managed after its use. That’s a “systems” failure, not a material flaw.

Breaking the Plastic Wave champions a top-down, bureaucratic vision that limits choice, discourages private innovation, and rewards entrenched interests under the guise of environmentalism. Many of the groups calling for bans are also lobbying for subsidies and regulatory frameworks that benefit their own agendas—while pushing out disruptive newcomers.

With the UN expected to finalize the treaty by early 2026, nations will have to face the question of ratification.  Even if the Trump White House refuses to sign the treaty – which is likely – ordinary Americans could still feel the sting of this ill-advised scheme.  Manufacturers of life-saving plastic medical devices, for example, are part of a network of global suppliers.  Companies located in countries that ratify the treaty will have no choice but to pass the higher costs along, and Americans will not be spared.

Ultimately, the marketplace of ideas—not the offices of policy NGOs—will deliver the solutions we need. It’s time to break the wave of junk science—not ride it.

Craig Rucker is president of the Committee For A Constructive Tomorrow (www.CFACT.org).

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