The Canadian federal government has greenlit Enbridge Inc.’s $2.93 billion (CAN$4 billion) Sunrise Expansion Program, a major natural gas infrastructure project aimed at boosting energy capacity across British Columbia, the company announced Tuesday.

The expansion will add approximately 300 million cubic feet per day of transportation capacity to the southern portion of Enbridge’s existing west coast pipeline system. 

Designed to meet surging demand for natural gas used in home heating, industrial operations, and power generation, the project will also support the province’s growing liquefied natural gas (LNG) export sector.

Enbridge President and CEO Greg Ebel described the program as a "shovel-ready" initiative critical to Canada’s ambitions as a global energy leader.

"We are excited about the role this project will play in increasing economic prosperity and energy security," Ebel said, noting the project’s potential to stabilize energy access during peak demand periods.

The expansion involves constructing new pipeline segments along the existing right-of-way and installing additional natural gas compression units. In addition, the expansion project involves upgrades and technical modifications to current facilities.

Economic projections suggest the project will contribute more than $2.19 billion (CAN$3 billion) to the Canadian economy, with construction slated to begin in July 2026, creating an estimated 2,500 jobs. 

Enbridge reported that it has already directed approximately $38 million (CAN$52 million) toward procurement from Indigenous-owned businesses, with further commitments to hire from local communities and Indigenous groups.

Federal Minister of Energy and Natural Resources Tim Hodgson said the approval fulfils a government commitment to seeing critical infrastructure built through partnerships with industry and Indigenous stakeholders.

"This project will enable us to heat more homes, businesses, hospitals, and schools, while bolstering B.C. industry," Hodgson said.

B.C. Minister of Energy and Climate Solutions Adrian Dix added that the expansion is vital as the province brings several large-scale industrial projects online. 

He noted that Enbridge’s commitment to using Canadian-made steel and pipe ensures the investment benefits domestic manufacturers.

In February, Enbridge’s spokesperson hinted that the company was looking to start the West Coast Pipeline Expansion work in the spring.

The Sunrise Expansion Program is expected to be fully operational by late 2028.