Energy and Natural Resources Minister Tim Hodgson said Monday the government is moving closer to providing clarity on whether Ottawa will lift its West Coast ban on oil tankers.
Hodgson made the remarks while appearing before the House of Commons natural resources committee when asked about the status of legislation that would prohibit tankers from carrying more than 12,500 metric tons of crude oil in areas along British Columbia's north coast.
The tanker ban became law in 2019 under former Prime Minister Justin Trudeau and has become one of the most criticized laws by the Alberta government.
Hodgson's remarks come as Ottawa moves closer to signing a memorandum of understanding with Alberta on energy that could include a potential new oil pipeline.
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“We have spoken with this potential proponent, the government of Alberta. We are working on what has been widely reported to be a memorandum of understanding. That work is currently underway,” Hodgson told the committee.
“I think we're getting closer to a certain goal, and when that's done we'll have more clarity.”
British Columbia Premier David Eby has called on Ottawa to keep the ban in place, and Hodgson has previously said any pipeline through British Columbia would require support from the province and First Nations.
So far, no companies have expressed interest in building an oil pipeline from Alberta to British Columbia, but Smith said her government nonetheless intends to submit a proposal to the Major Projects Authority next spring.
Smith said such a deal with the federal government would include a “grand bargain” that would allow the Pathways Alliance's proposed carbon capture project to move forward along with a proposed oil pipeline to Canada's West Coast.
While visiting Ottawa last month, Smith also said she was open to raising the price of industrial carbon in Alberta.
When Prime Minister Mark Carney repealed the consumer price on carbon last spring, he did so by committing to raising the price on industrial carbon, which does far more to eliminate greenhouse gases than a consumer tax on fuel.
Carney has yet to explain how it will be strengthened, but the recent climate competitiveness strategy in the federal budget also commits to doing so.
This report by The Canadian Press was first published Nov. 25, 2025.
© 2025 The Canadian Press
