Canada's Economic Action Plan

Canada's Economic Action Plan

April 23, 2010 16:40 ET

Government of Canada Delivers $28 Million Boost to Nova Scotia Municipalities

Gas Tax Funding Payments Accelerated for Second Year in a Row

HALIFAX, NOVA SCOTIA--(Marketwire - April 23, 2010) - The Honourable Peter MacKay, Minister of National Defence, announced today that municipalities across Nova Scotia are getting an advance payment of nearly $28 million in Gas Tax Funding to help them make the most of the spring and summer construction seasons.

For the second consecutive year, the Government of Canada is accelerating its payment of Gas Tax Fund three months early. This is part of the Government's Economic Action Plan which aims to boost employment and help communities emerge stronger than ever from the economic downturn.

"Over the past year, our Government has taken steps to stimulate our economy and make our country stronger," said Minister MacKay. "The advance payments of Gas Tax Funds for a second year in a row shows that we have listened to municipalities who asked us to cut red tape, accelerate infrastructure projects and create jobs."

Last year, the Government of Canada doubled the Gas Tax Fund to $2 billion. As a result, Nova Scotia municipalities benefited from nearly $56 million in Gas Tax transfers.

These funds are at work across Nova Scotia:

  • The Halifax Regional Municipality invested $12.2 million in Gas Tax Funds toward new equipment and the construction of cells for the Otter Lake solid waste project.
  • The Municipality of Pictou has invested over $1.6 million of Gas Tax Funding towards the Lyons Brook/Scotsburn Sewer Collection System project. This project included the installation of 28,000 meters of new sanitary sewer collection pipes for 375 new households in the community of Lyon's Brook and Durham.
  • The Municipality of Annapolis invested over $345,000 towards the upgrade of the Cornwallis Water Treatment Plant

In addition to accelerating the Gas Tax Fund, the Government of Canada announced that the Fund would become a permanent measure at $2 billion annually after 2014, to provide municipalities with long-term financial support.

The Gas Tax Fund represents stable, long-term, predictable funding that municipalities can pool, bank or borrow against for investments in municipal infrastructure such as drinking water, wastewater, improved roads, bridges, and public transit projects.

In addition to the Gas Tax Fund, the Government of Canada launched the Infrastructure Stimulus Fund in 2009 as part of Canada's Economic Action Plan, which has resulted in new infrastructure investments across Nova Scotia. 

To learn more about Canada's Economic Action Plan, visit


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This news release is available online at:

Gas Tax Fund: Delivering Results For Canadians – Nova Scotia

The following table is a breakdown of the Gas Tax Fund allocation to Nova Scotia between 2005-2014:

Year Allocation
2005-2006 17,419,000
2006-2007 17,419,000
2007-2008 23,225,000
2008-2009 29,032,000
2009-2010 58,064,000
2010-2011 55,926,000
2011-2012 55,926,000
2012-2013 55,926,000
2013-2014 55,926,000
Total 368,863,000

For more information please visit:

Contact Information

  • Office of Canada's Transport and
    Infrastructure Minister
    James Kusie
    Infrastructure Canada