The BC Utilities Commission (BCUC) has approved a FortisBC project that will help meet an expected shortfall of natural gas in the Okanagan in winter 2026-27.

The Okanagan Capacity Mitigation Project (OCMP) involves the construction of a small-scale liquefied natural gas (LNG) storage and send-out facility along Spall Road in Kelowna, next to an existing natural gas station on industrial-zoned land owned by FortisBC.

Construction is expected to start in 2026 with the installation of one mobile tank, and three portable LNG tankers that will be filled and staged on-site in preparation for extreme cold weather events.

A second and final phase of construction is set for 2027. It will see six prefabricated storage tanks permanently installed on-site to increase storage capacity, consistent with demand growth. Once construction is completed, the total capacity of the storage facility will be approximately 300,000 US gallons.

All stored LNG will be transported annually from the FortisBC Tilbury facility in Delta. No LNG production will take place in Kelowna and the on-site tanks are expected to be empty for most of the year.

The Spall Road site was sought as an alternative to supply LNG in the Okanagan after FortisBC鈥檚 pipeline expansion was shut down by the BCUC in 2023.

That project included the construction, installation, and operation of approximately 30 kilometres of new pipeline on the east side of Okanagan Lake from Penticton to near Chute Lake.

The BCUC denied the $327 million project stating 鈥渢he project was not necessary for public convenience or in the public interest.鈥�