Coastal GasLink Faces $340,000 Fine Over Erosion and Sediment Control Issues

High ranking player in Canada’s energy sector Coastal GasLink has found itself in murky waters after being fined $340,000 by the B.C. Environmental Assessment Office for failing to adequately address erosion and sediment control challenges in its construction projects.

TC Energy Corp. (TSE: TRP) owned Coastal GasLink claims the fines arise from four inspections of its ongoing pipeline construction project that occurred in April and May of 2022. Once again this highlights the ongoing struggle between the energy industry’s expansion and the need for robust environmental protection measures.

The inspections in question took place before coastal GasLink inked a compliance agreement requiring the company to ensure erosion and sediment control measures are fully captured into its construction plans.

“In 2023, we continue to make significant strides forward in how we manage (erosion and sediment control), including through this year’s challenging spring melt season. We continue to work closely with our regulators to improve and adapt our environmental protection measures as we look ahead to the final cleanup of our project route,” said coastal GasLink.

The Coastal GasLink pipeline is a significant infrastructure project designed to transport natural gas across approximately 670 kilometers in British Columbia, Canada. The pipeline is part of Canada’s larger strategy to export liquefied natural gas (LNG) to global markets, particularly in Asia.

According to the company the project is now 94% complete and on track for mechanical completion at the end of this year.