INVESTMENT NEEDS

A comprehensive estimate of the need for investment in Canada's entire transportation infrastructure in the medium or long term has yet to be determined. High level estimates for some key parts of the system are available and they indicate a need for investment that far outstrips current or projected spending by governments.

Canada's cities are economic engines and account for significant investment needs. To ensure a state of good repair and expansion of existing systems in areas having large populations and economic growth, significant investments are needed in urban roads and transit systems.

In 2005 a federal/provincial/territorial task force on urban transportation estimated that infrastructure investment needs for transit in cities across Canada amounts to at least $23 billion over the next few years. Investment needs for urban roads and bridges is much higher-$66 billion over 10 years.

As far back as 1998, the Council of Ministers of Transportation estimated that investment needs on the National Highway System were over $17 billion. Since that time, the NHS has been extended and costs have increased. There are no federal programs to fund these nationally significant highways beyond the current, and set to expire-Strategic Highway Infrastructure Program, Strategic Infrastructure Program, Strategic Infrastructure Fund, and Border Infrastructure Fund.

In 2004, Ontario estimated that transit systems in the province would require an investment of over $10 billion over the next four years. Over a ten year period this would amount to $25 billion. In addition, urban roads in the province would require $27.5 billion in investments over that time period. Investment needs are greater than the province's ability to fund them. New funding partnerships are needed.

Québec estimates that $20 billion is required to address the current and foreseeable transportation infrastructure deficit over the next 10 years. This figure excludes financial requirements of CPA ports, National Airport System (NAS) airports, Class 1 rail lines and terminals and other privately owned transportation infrastructure.

In the Western Transportation Infrastructure Strategy for an Economic Network of March 2005, the Western Provinces identified capital costs of almost $16 billion over the next 10 years for strategic priorities in all modes. This does not include maintenance costs or capital costs for projects which are important regionally, but are not part of the national strategic network.

The Atlantic Provinces have estimated that almost $4 billion in capital investment is needed to address the NHS infrastructure deficit in those provinces alone. A recent survey of major infrastructure projects in the Atlantic Provinces identifies specific projects in other modes requiring an additional $2.3 billion in funding. This amount does not include the significant investment requirements on other highways for which the provinces are responsible, nor does it detail the total financial requirements of Canada Port Authorities and other ports, National Airport System airports and other airports, rail lines and terminals and other privately owned and/or operated transportation infrastructure.

The Territories have estimated that more than $2.5 billion is necessary for transportation infrastructure priorities.

Using these preliminary estimates, provinces and territories have identified approximately $97 billion is required for capital investment in transportation priorities over the next 10 years.