OTTAWA — Federal Natural Resources Minister Tim Hodgson stated that the decision on whether a new bitumen pipeline in Canada is viable will ultimately rest with the private sector. He characterized the ongoing discussions about the feasibility of constructing a new oil pipeline as an "overfocusing" on a "hypothetical" situation.

"I think Canada can build many things," Hodgson said in an interview. "The over-focusing on what right now is hypothetical… What I want to do is focus on when real proponents bring real things forward. We will help them get them done."

Hodgson's remarks come as Alberta Premier Danielle Smith is advocating for her proposal to build a million-barrel-a-day bitumen pipeline from Edmonton to British Columbia’s northern coast. She is seeking to have Prime Minister Mark Carney include this proposal in his upcoming list of nation-building projects, which is expected to be announced by November 16.

Smith believes that including her project would serve as a "trigger" for companies to step forward as proponents. She argues that designating her project as one of national interest would signal that Carney’s government is serious about the initiative. However, Hodgson emphasized that the process for designation is consistent for all proponents.

"We fully understand it is the federal government’s ultimate jurisdiction for interprovincial pipelines," Hodgson noted. He added that proponents must collaborate with affected jurisdictions and First Nations, regardless of the type of project, whether it be a wind project, port, railway, or road.

British Columbia Premier David Eby has raised concerns regarding Alberta’s proposal. He pointed out that coastal First Nations have expressed disapproval of a new pipeline. Eby also criticized Smith's request for Carney’s government to consider the proposal, stating it is not a "real project" due to the absence of a private sector proponent or funding.

Earlier this year, Carney introduced a new approvals process through the Building Canada Act. This initiative aims to facilitate the launch of more projects and attract significant private sector investment to strengthen Canada’s economy amid economic challenges posed by U.S. President Donald Trump.

The first set of projects under review by the Major Projects Office includes an expansion of a natural gas liquefaction project in British Columbia, upgrades to the Port of Montreal, two mining projects, and a small modular nuclear reactor in Ontario.

While Carney’s government has shown interest in a carbon capture and storage project called "Pathways Plus," Smith announced that Alberta would submit a proposal for the new bitumen pipeline to the Major Projects Office. She indicated that the goal is for a private sector proponent to eventually take over the project, with discussions already in progress with several companies.

Currently, Smith’s United Conservative Party government plans to allocate $14 million in taxpayer funds to complete the technical work necessary for the proposal, which is expected to be submitted for consideration by May 2026. When asked if he believes there is a business case for a new bitumen pipeline, Hodgson replied, "that’s up for the private sector proponents to decide."

"Alberta has some work to do," he added. "In the spring, you can expect the federal government to be at the table, working constructively with any proponent to see what is possible."