No. H055/02
For release May 30, 2002

Under the SHIP agreement, the Government of Canada and the Province of Saskatchewan will provide joint funding of $37 million over the next four years for highway improvement projects in the province. The Saskatchewan SHIP agreement, signed January 24, 2002, is part of the national $600 million SHIP program announced by Mr. Collenette in April 2001.

“This funding will play an important role in helping to improve Saskatchewan’s roads and highways,” said Mr. Goodale. “This kind of support is crucial to economic development and public safety.”

“I am pleased to announce that $2.75 million of federal funds from the Strategic Highway Infrastructure Program is being used for this highway construction project,” said Mr. Collenette. “This project, which will enhance safety and improve the flow of traffic, is an excellent example of cooperation between the Government of Canada and the Province of Saskatchewan.”

Highway 16, also known as the Yellowhead Highway, is the northern East-West transportation corridor across Western Canada. Approximately 3,000 vehicles a day use the western section of Highway 16 in Saskatchewan.

“One of Saskatchewan’s top highway capital construction objectives is to twin Highway 16 from Saskatoon to the Alberta border by 2010,” added Mr. Wartman. “This highway construction project goes a long way in contributing to this goal.”

The project involves twinning approximately three kilometres of limited access highway through Lashburn, as well as constructing 1.6 kilometres for a south service road, three kilometres for a north service road, 0.7 kilometres to connect a local road into the west intersection, and constructing new intersections. 

Funding for this project was provided for in the December 2001 federal budget and is therefore built into the existing financial framework.

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Anthony Polci
Director of Communications
Office of the Minister, Ottawa, (613) 991-0700

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In the February 2000 Budget Speech, the Government of Canada committed to improve the economy and the quality of life for Canadians by investing up to $600 million over four years in highway infrastructure across Canada. In April 2001, Transport Minister David Collenette announced the Strategic Highway Infrastructure Program (SHIP). The program has two components: a $500 million highway construction component and a $100 million national system integration component.

Under the program, $500 million, including $15 million for administration costs, will be available to address the needs of Canada’s highways over the next five years. The program formally begins in fiscal year 2002-2003. The Government of Canada is working with the provinces and territories to identify those parts of the national highway system that - because of growing traffic and increasing trade - need immediate attention. This will result in a safer and more efficient highway system for all Canadians.

An allocation formula has been developed to distribute the $485 million available to the provinces and territories for road construction under SHIP. The formula consists of a minimum of $4 million per jurisdiction plus a share based on population and a 50-50 cost-sharing ratio. Under this formula, the total federal allocation for the Province of Saskatchewan is $18.5 million.

SHIP will also provide $100 million nationally to fund initiatives which better integrate the transportation system. These include the deployment of Intelligent Transportation Systems across Canada, improvements to border crossings and better transportation planning. Intelligent Transportation Systems include applications such as advanced systems for traveller information, traffic management, public transport, commercial vehicle operations, emergency response management and vehicle safety.

May 2002