Thank you, Madam Chair, for this opportunity to address the committee about transportation infrastructure in Canada's north. I am pleased to be here today along with my colleague Marie-Claude Petit, Director General, Transportation Infrastructure Programs.
It's no surprise that transportation is a lifeline for northern communities and an essential enabler for economic development, including resource development projects. At the same time, transportation infrastructure is expensive to build and maintain due to the challenging Arctic environment. As a result, basic infrastructure is limited in the region, making it difficult, time-consuming and expensive to move passengers and goods in and out of northern communities.
The north is unique, compared to the rest of Canada. However, we must also recognize that each territory is significantly different from the others. For instance, Yukon relies most on its highways and roads network connecting the region to the Northwest Territories, southern Canada and Alaska. The Northwest Territories in turn depends on a variety of modes, including air transport and a system of ice roads and barging operations, whereas Nunavut is reliant mainly on sealift operations and air transport.
In 2016, Transport Canada introduced Transportation 2030, a strategic plan for the future of transportation in Canada. The plan is aimed at improving the performance of the transportation system, including in the North. One of the commitments made in the plan is to work with territorial governments, Indigenous peoples and communities in the North to address transportation infrastructure needs and help the local system adapt to climate change.
To this end, in July 2017, the government launched the national trade corridors fund as a merit-based funding program with $2 billion to invest in projects that strengthen the efficiency and resilience of trade and transportation corridors, including in the north.
Within the fund, up to $400 million is being committed to supporting trade and transportation infrastructure investments in Canada's three territories. This dedicated allotment recognizes that transportation infrastructure needs in Canada's north are varied and distinct, and that critical transportation investments have the potential to create new social and economic opportunities for residents.
For example, in June of this year we announced an investment of $102.5 million in the Government of Northwest Territories' Mackenzie Valley Highway project. This represents 73% of the estimated costs associated with this project. In fact, this investment is one of the biggest ones we have made to date through the national trade corridors fund. This funding will support several key phases of the Mackenzie Valley Highway project. The ultimate goal of this project is to build an all-weather road that will connect communities and development sites along this corridor.
Transport Canada is developing a multimodal Arctic transportation policy framework to better position the department to address the needs of northerners. This framework will support greater coherence in departmental actions related to policy, investment and regulatory measures that support a strengthened transportation system and improved social and economic opportunities in the region. This framework will be aligned with the new federal Arctic policy framework being led by Crown-Indigenous Relations and Northern Affairs.
In fact, Transport Canada has been closely involved in the development of the Arctic and northern policy framework. One of its main themes is comprehensive Arctic infrastructure. This theme prioritizes new foundational initiatives such as transportation infrastructure, which affects the daily lives of Northerners both socially and economically.
I would like to take a moment to highlight a couple of other initiatives under way at Transport Canada that will have a positive impact on transportation infrastructure and operations in Canada's north.
Announced in 2016, the oceans protection plan is the largest investment made to protect Canada's marine environment, with a $1.5-billion investment over five years. The oceans protection plan is being carried out in partnership with first nations, Inuit and Métis, and in close collaboration with the scientific community, the marine industry, provincial and territorial governments, and other stakeholders.
Some investments to date include search and rescue boats, marine training facilities, and investments in basic marine infrastructure to improve safety. While the latter initiative is primarily intended to support basic infrastructure such as fencing, lighting and mooring bollards in northern communities, I should highlight that approval in principle for funding a project for four double-hulled barges in the Northwest Territories was recently announced, on October 13.
Lastly, I would like to tell you about a relevant study that Transport Canada has recently undertaken.
The 2019 northern transportation systems assessment will provide data to help deepen our understanding of the multimodal transportation infrastructure that will be required to support growing demand in the territorial North over the next 20 years. Findings from the study are expected in winter 2020.
Thank you.
I welcome your questions.