GC No. 034/07
For release November 8, 2007

GOVERNMENT OF CANADA AND PROVINCE OF B.C. SUPPORT HIGHWAY UPGRADING

KAMLOOPS, BRITISH COLUMBIA — The Government of Canada and the Province of British Columbia will contribute to the upgrading of 4.2 km of highway to four lanes at the Wright Station Curves, between 100 Mile House and Williams Lake on Highway 97, the major north/south artery in B.C. This project is consistent with British Columbia's long-term vision of the four-lane Cariboo Connector between Cache Creek and Prince George. The Cariboo Connector supports growth in truck traffic related to the harvesting of wood affected by the pine beetle, and the development of the Port of Prince Rupert.

The Government of Canada will contribute up to $4.2 million for the project. The funding is part of the estimated total project cost of $11.2 million and comes from a $44–million federal commitment to fund transportation infrastructure projects through the Mountain Pine Beetle Program under the Asia-Pacific Gateway and Corridor Initiative.

Betty Hinton, Member of Parliament for Kamloops-Thompson-Cariboo, British Columbia, made the announcement today on behalf of the Honourable David Emerson, Minister of International Trade and Minister for the Pacific Gateway and the Vancouver-Whistler Olympics.

"Our government is responding to community needs in and around 100 Mile House and Williams Lake, by working with the Province and our industry partners to combat the negative impact of the beetle," said Ms. Hinton. "We are taking concrete action to improve the quality of life for area residents, enhance safety and maximize the efficiency of these important trade routes."

"This joint project is an example of how the Government of Canada is addressing the needs of communities affected by the Mountain Pine Beetle infestation," said the Honourable Gary Lunn, Minister of Natural Resources. "Improved surface transportation will encourage the long-term economic stability and diversification of economic activities in these communities."

"100 Mile House and Williams Lake are among several communities that have been affected by Mountain Pine Beetle infestation, which has caused economic and environmental consequences across the province," said the Honourable Lawrence Cannon, Minister of Transport, Infrastructure and Communities. "This project demonstrates that our government is providing support to affected communities by creating jobs and stimulating economic development."

"This project will improve the safety of one of the most collision-prone sections of the highway," said British Columbia Transportation Minister Kevin Falcon. "It's part of our Cariboo Connector four-laning program to support economic growth and improve competitiveness by moving goods and people more safely and efficiently."

"This will improve the safety of the road, it's a bad spot and we've lost some good citizens there. It's a long time coming so we're grateful that it is being addressed," said Donna Barnett, Mayor of 100 Mile House.

The Government of Canada is committing $200 million to deliver the Mountain Pine Beetle Program, a comprehensive response to the mountain pine beetle infestation. Earlier this year, the government announced almost $25 million to slow the spread of the beetle into Alberta and protect communities along the eastern B.C. border.

Another $39.6 million was announced in June to support the efforts of British Columbia to combat the spread of the beetle, protect communities and forest resources in affected areas, and support long-term economic stability in forest-dependent communities.

The Asia-Pacific Gateway and Corridor Initiative is a national initiative that will contribute to Canada's economic competitiveness, while also benefiting communities through which increasing volumes of trade must move. In its first eight months, Asia-Pacific Gateway and Corridor Initiative projects valued at $2.2 billion were announced across all four western provinces, including a federal contribution of almost $800 million.

For more information about Canada's Asia-Pacific Gateway and Corridor Initiative, please visit www.apgci.gc.ca. A backgrounder with further information is attached.

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BACKGROUNDER

ASIA-PACIFIC GATEWAY AND CORRIDOR INITIATIVE PROJECTS FUNDED UNDER THE FEDERAL RESPONSE TO THE MOUNTAIN PINE BEETLE INFESTATION

The Asia-Pacific Gateway and Corridor is a network of transportation infrastructure including B.C.'s Lower Mainland and Prince Rupert ports, their principal road and rail connections stretching across Western Canada and south to the United States, key border crossings, and major Canadian airports. The network serves all of Canada, and the Asia–Pacific Gateway and Corridor Initiative (APGCI) aims to take advantage of Canada's strategic location, at the crossroads between the North American marketplace and the booming economies of Asia.

Prime Minister Harper launched the APGCI on October 11, 2006 and the federal government has committed an investment of more than $1 billion to this national initiative. The APGCI brings infrastructure, policy, governance and operational issues together into one integrated, multi-modal, public-private strategy.

Through the Federal Response to the Mountain Pine Beetle Infestation, an investment of $44 million is being made towards APGCI-related surface transportation projects with the goal of enhancing the economic base of impacted communities through economic development and infrastructure projects aimed at encouraging the long-term stability and diversification of economic activity in these communities.

In an era of rapidly moving and integrated global supply chains, policies and investments must consider entire transportation systems—systems that connect, for example, Asia with North America's economic heartland.

The Government of Canada's contributions to APGCI projects will improve the transportation system by:

• increasing transportation capacity;
• reducing congestion at key locations for Asia-Pacific trade;
• improving connections between modes; and
• enhancing its efficiency, safety and security.

The federal contribution to this project is conditional on the Province of B.C. providing agreed upon funding and meeting all applicable federal and provincial requirements, including environmental assessments, regulatory approvals, completion of due diligence, contribution agreements and final project approvals.

The Government of Canada's investments will continue to promote increased investments by the private sector and other public sector partners to ensure efficient and seamless connections between the various modes of transportation and improve traffic flows for international cargo.

November 2007