The Canadian Chamber of Commerce released a new report, The Infrastructure that Matters Most. — Photo courtesy Canadian Chamber of Commerce There is
The Canadian Chamber of Commerce released a new report, The Infrastructure that Matters Most. — Photo courtesy Canadian Chamber of Commerce
There is widespread recognition of the positive role that infrastructure will play in Canada’s North in building healthy and vibrant communities, fostering sustainable economic development and enhancing trade. As governments, industries and communities seek the best ways to spur the building of critical infrastructure to achieve these objectives, many are pointing to the proposed Canada Infrastructure Bank as a potential solution.
In 2015, MAC and several industry partners released a study that found that the costs to build base and precious metal mines were 2 to 2.5 higher in remote and northern regions of Canada as a direct result of the infrastructure deficit. The study identified several fiscal policies that governments could introduce to level the playing field for companies seeking to operate in Canada’s North. One of these measures was a northern infrastructure bank for mine-related infrastructure that also generate public benefits. MAC has pointed to the Alaska Industrial Development and Export Authority as a successful model that the government can consider.
More recently, the concept of a northern infrastructure bank has been gaining ground amongst Aboriginal and business organizations. In January, the National Aboriginal Economic Development Board made a similar recommendation in a report on northern infrastructure. Specifically, the Board called for a northern-specific fund to support the building of useful infrastructure that would not only benefit Indigenous communities and help the government achieve its social development goals, but would also facilitate economic development for communities across the North.
Last month, the Canadian Chamber of Commerce released a new report, The Infrastructure that Matters Most. One of the five recommendations in the report is focused on using the proposed Canada Infrastructure Bank to enhance trade infrastructure investment in the North.
“As the government develops its promised infrastructure bank, there is an opportunity to use this new tool to provide more than just low-cost financing for municipal infrastructure projects. An infrastructure bank could provide greater value by incentivizing private funding to underserved areas where there are gaps in Canada’s trade infrastructure, such as the lack of transportation infrastructure in the North, a barrier to accessing resources and getting them to markets.”
- Canadian Chamber of Commerce, The Infrastructure that Matters Most, June 2016
Source: The Mining Story newsletter: The Mining Association of Canada.
