No. H184/05
For release September 13, 2005

CONSTRUCTION UNDERWAY
TO COMPLETE TWINNING OF
TRANS-CANADA HIGHWAY IN NEW BRUNSWICK

WOODSTOCK (N.B.) — The Government of Canada and the Province of New Brunswick today officially launched the final phase of construction for the twinning of the Trans-Canada Highway in New Brunswick. The completed highway should open to traffic on November 1, 2007.

Indian Affairs and Northern Development Minister Andy Scott, on behalf of Transport Minister Jean-C. Lapierre, was joined today by New Brunswick Minister of Transportation Paul Robichaud and Member of Parliament for Tobique/Mactaquac Andy Savoy, at a ceremony on Palmer Road near Woodstock, to mark the occasion.

“Twinning the Trans-Canada Highway in New Brunswick goes a long way to meeting the transportation needs of all Canadians,” said Mr. Scott. “It will enhance the already important role of the highway as a gateway for trade in North America and make travelling to the area even more attractive.”

“Completing the four-lane Trans-Canada Highway is a key priority for the government of New Brunswick,” said Mr. Robichaud. “By finishing this important piece of strategic infrastructure, we are improving our ability to compete and bringing greater prosperity to the province and all of Atlantic Canada.”

“Investing in transportation infrastructure that helps move people and goods more efficiently and with greater safety is a top priority for all orders of government,” said Mr. Savoy. “It is also part of our New Deal for Cities and Communities, which recognizes the distinct needs of Canada’s diverse regions.”

The project is being jointly funded by a $400-million cost-shared agreement between the governments of Canada and New Brunswick through the Canada-New Brunswick Agreement for the Completion of the Twinning of the Trans-Canada Highway in New Brunswick. Federal funds for the project derive from the $2-billion Canada Strategic Infrastructure Fund. The completion of the Trans-Canada Highway is a key priority within Greater Opportunity: New Brunswick’s Prosperity Plan.

The Brun-Way Group consortium signed an agreement with the Province of New Brunswick for the design, construction and financing of 98 kilometres of highway between Grand Falls and Woodstock. This consortium will also be responsible for the selected upgrade of 128 kilometres of the current four-lane highway, as well as the operation, maintenance and rehabilitation of 275 kilometres of highway between the Quebec border and Longs Creek, and of Route 95 between the United States border and Woodstock, until 2033. This work will be performed under a separate contract between the New Brunswick Department of Transportation and the Brun-Way Group consortium.

“Our focus throughout the spring was on designing the highway and establishing our quality, safety, and environmental management systems,” said Harry Varjabedian, president of Brun-Way Construction Inc. “Design work for the structures is being carried out in parallel with the construction work, which involves designing over 100 structures including overpasses, underpasses, interchanges and four major bridges.”

This announcement builds on investments under the federal government’s New Deal for Cities and Communities. The new deal seeks to establish a long-range vision for Canada’s communities, build new relationships among all orders of government, strengthen the connections among federal programs that benefit cities and communities, and provide predictable and stable long-term funding.

The new deal funding includes: the Goods and Services Tax rebate of $7 billion over 10 years; $5 billion over five years in gas tax funding across Canada, building up to $2 billion for each year thereafter; the $4 billion Canada Strategic Infrastructure Fund; the $1 billion Municipal Rural Infrastructure Fund; the $600 million Border Infrastructure Fund; and up to $800 million over two years for public transit. It promotes the economic, social, environmental and cultural sustainability of Canada’s communities.

Funding for this project was provided for in the February 2003 federal budget.

For more information on today’s announcement, please visit: www.infrastructure.gc.ca. To follow the progress of the twinning of the Trans-Canada Highway in New Brunswick visit www.gnb.ca, keyword: Trans-Canada Highway.

A backgrounder with more information on federal highway funding in New Brunswick is attached.

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BACKGROUNDER

FEDERAL HIGHWAY FUNDING IN NEW BRUNSWICK

The governments of Canada and New Brunswick have a long history of working together to improve highways in the province, dating back to 1949 and including the building of the Trans-Canada Highway.

Between 1949 and 1971, the federal government invested $95 million to build more than 500 kilometres of the Trans-Canada Highway in New Brunswick. Approximately 130 kilometres, or 25 per cent, of the original two-lane highway remains to be upgraded from two lanes to four. This work is scheduled to be completed by November 1, 2007. Once complete, Trans-Canada Highway (Route 2) in New Brunswick will be 516 kilometres in length from the Quebec border to the Nova Scotia border.

Since 1993, there have been six cost-shared contribution agreements between the Government of Canada and the Province of New Brunswick totalling $780 million. Of those agreements, the Canada Strategic Infrastructure Fund, the Border Infrastructure Fund and the Strategic Highway Infrastructure Program are still in effect:

• Funding for the Canada Strategic Infrastructure Fund between 2003 and 2009 totals $420 million, with a federal contribution of $210 million.
• Funding for the Border Infrastructure Fund between 2004 and 2009 totals $60 million, with a federal contribution of $30 million.
• Funding for the Strategic Highway Infrastructure Program between 2002 and 2007 totals $29.2 million, with a federal contribution of $14.6 million.

The Canada Strategic Infrastructure Fund provided $240 million in 2003 to complete the twinning of the Trans-Canada Highway between Grand Falls and Aroostook; Perth-Andover and Woodstock; Pokiok and Longs Creek; and Route 95 between Woodstock and the United States border as well as Route 1 from Waweig to the international border crossing between St. Stephen, New Brunswick, and Calais, Maine.

Through the Canada Strategic Infrastructure Fund, the Government of Canada is working with provincial, territorial and municipal governments, as well as the private sector to meet strategic infrastructure needs throughout the country. These investments are directed to large-scale national and regional strategic infrastructure projects that further sustainable economic growth and the quality of life for Canadians.

September 2005