Infrastructure Canada

Infrastructure Canada

April 10, 2012 13:30 ET

Government of Canada to Invest in Restoration of the Vancouver Island Railway

Federal investment to support Vancouver Island's economy

VICTORIA, BRITISH COLUMBIA--(Marketwire - April 10, 2012) - The Honourable John Duncan, Minister of Aboriginal Affairs and Northern Development and MP for Vancouver Island North, announced today that the federal government has set aside up to $7.5 million for work on the restoration of the Vancouver Island Railway between Victoria and Courtenay.

"The restoration of the Vancouver Island Railway will create local jobs and economic growth, re-establish important passenger rail service for Island residents, and offer another route for visitors to this beautiful region," said Minister Duncan.

"The Island Corridor Foundation's plan to revitalize passenger service and start train service in Nanaimo makes a new future for business and tourism possible," added James Lunney, MP for Nanaimo-Alberni.

Because of poor track conditions on the Vancouver Island Railway, passenger rail service between Victoria and Courtenay has been suspended due to safety concerns. Freight traffic is currently operating at reduced speeds.

The total costs of the project, to be undertaken by the Island Corridor Foundation, are estimated to be $15 million. Of this amount, $500,000 has already been expended by the Province of British Columbia toward a bridge engineering study. The Government of Canada has set aside up to $7.5 million under the Building Canada Fund - Major Infrastructure Component toward infrastructure work such as the cost of ballasting and the replacement of track ties and joints. The Island Corridor Foundation will be responsible for any additional costs that arise as part of this project. The work will address short-term operational issues, with the intention of making the corridor safe again for passenger service.

Federal funding for this project is conditional on the completion of a federal project review and the signing of a contribution agreement. Federal support is also conditional on the Province of British Columbia confirming its remaining contribution of $7 million toward the project. As well, the Island Corridor Foundation must confirm that no further federal investment will be required. This includes costs associated with repairs to the existing track and bridges, and the costs associated with building a new passenger station in Esquimalt to replace the municipally-owned terminal in downtown Victoria, as well as any other costs that might arise.

The Government of Canada is focused on creating new opportunities for jobs and economic growth, and securing long-term prosperity for Canadians. Investing in public infrastructure is an important part of this strategy.

For more information on the Building Canada Plan and federal infrastructure investments in British Columbia, please visit www.infrastructure.gc.ca.

Contact Information

  • Genevieve Sicard
    Office of the Minister of Transport, Infrastructure and
    Communities
    613-991-0700

    Infrastructure Canada
    613-960-9251
    Toll free: 1-877-250-7154