Denial of northern federal infrastructure funding disappointing – another opportunity coming?

1 May 2018

(Yellowknife, NT – May 1, 2018) Announcements that major northern infrastructure funding failed to get Federal Government support are disappointing not only to the northern and Indigenous governments proposing them, but also to the minerals industry. The nation-building projects which failed to gain National Trade Corridors Fund support include:

  • The Government of the Northwest Territories’ (GNWT) funding request to improve access to the mineral rich Slave Geological Province that makes Canada a global diamond producer.
  • The Government of Nunavut partnership with the Kitikmeot Inuit Association to seek funding for the Grays Bay Road and Port, to open their northern portion of the Slave Geological province, to link to the NWT’s road and link western Nunavut by road to Canada.
  • The Government of Nunavut’s funding application for an initial winter road to link the central Kivalliq region with northern Manitoba.

“It is unfathomable that these much-needed infrastructure projects which are vital to the future of the North were not supported by the Government of Canada,” said NWT & Nunavut Chamber of Mines President Gary Vivian. “It really is time for Canada to get some vision and get back into supporting resource development with critical infrastructure as they once did. The Arctic Policy Framework, currently being developed, still provides timely opportunity for creating that vision. We are reminded that in 1966, the Honourable Arthur Laing, Liberal Minister of Northern Affairs and National Resources, stated: It is inconceivable that all lands north of the 60th parallel, representing 35% of Canada’s land area, which we believe contain a great resource potential, will remain as an undeveloped portion of Canada.” Vivian added, “We are in exactly the same place as we were in 1966, looking for Federal funding for nation-building projects.”

The National Aboriginal Economic Development Board in its report Northern Infrastructure to Support Economic Development stated: “Bold investment in large, nation-building infrastructure is required alongside increased investment in community level infrastructure to support Northern communities.” An industry study Levelling the Playing Field outlines the effects of having the largest infrastructure deficit in Canada, with capital costs up to 2.5 times higher and exploration up to six times more than in the south.

The benefits of mining are well worth the investment. Data shows the many and significant employment and business benefits that are being created today from mining. For the benefits of diamond mining in the NWT see: Measuring success 1996-2016: Diamond mines deliver big benefits to the Northwest Territories. For the benefits from Nunavut’s new and growing mining industry, see: Benefits growing with Nunavut’s new mining industry.

The Chamber of Mines remains supportive of industry, and public, Indigenous, and federal government collaboration which is necessary to unlock the tremendous mineral potential, and to bring new, long-term wealth and prosperity to Nunavut, the Northwest Territories, and Canada. The GNWT and the Kitikmeot Inuit Association have said they are hopeful Canada might grant funding support in a future round of funding submissions.

For more information on the NWT and Nunavut mining industries, please visit the Chamber of Mines website at www.miningnorth.com or contact Tom Hoefer, Executive Director at Tel: 867-873-5281 or email: executivedirector@miningnorth.com.

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