Trans Mountain Corp. says it has reached a settlement agreement on tolls that oil sands producers pay to use the Trans Mountain Pipeline.

The Crown corporation said Tuesday it had filed a negotiated settlement with the Canada Energy Regulator that, if approved, would establish a long-term framework for tolls and services and more. It said the settlement would also increase the level of firm capacity on the system from 80 to 90% of the pipeline’s nominal capacity. 

Trans Mountain said the settlement came after 18 months of extensive engagement and negotiations with shippers.

“This long-term framework provides greater certainty and predictability for customers and stakeholders while supporting Trans Mountain in connecting Canadian crude oil to global markets,” CEO Mark Maki said in a release.

Trans Mountain said it asked the Canada Energy Regulator to approve the settlement by Oct. 1 to support the implementation of the new framework by Jan. 1, 2027.

The Calgary-based company said the framework includes tolls for 15- and 20-year transportation service agreements, along with opportunities for firm shippers to extend contracts.

The company has also said it expects to add up to 300,000 barrels per day of new capacity by the end of 2028.

“With the system running at full or near full capacity for months, our optimization program is focused on increasing capacity on existing infrastructure and providing additional competitive and reliable transportation opportunities for customers,” Maki said.

Last month, Trans Mountain said oil shipments through its pipelines reached 83% of capacity in the first quarter and were expected to rise to 90% in the second quarter.

The Trans Mountain expansion project increased the pipeline’s capacity from 300,000 to 890,000 barrels per day when it was completed in 2024, at a cost to Canadian taxpayers of more than $34 billion. After that, a tolling dispute emerged in which oil companies objected to paying higher fees.

The main body of this report was first published by The Canadian Press on July 7, 2026.