Ontario Premier Doug Ford is calling on the federal government to increase infrastructure and transit funding and to exempt a new provincial highway from federal environmental assessment, as Ottawa prepares to release its federal budget next month.
In a six-page letter sent to Prime Minister Justin Trudeau on Thursday, the Ontario Premier praises Ottawa’s “ongoing partnership” on key priorities such as electric-vehicle and battery manufacturing, and calls on the federal government to fund more initiatives alongside the province.
“As Canada and Ontario navigate economic uncertainty, we cannot take this progress for granted. We must continue to support workers, businesses and labour partners to realize the full economic benefit of these and other investments,” Mr. Ford writes.
The federal government is set to release its budget on April 16. Ontario will release its budget on March 26.
The Premier asks Mr. Trudeau’s government to clarify that it will continue to work with provinces and territories to fund new roads, highways and public transit projects. Federal Environment Minister Steven Guilbeault was subject to backlash last month when he said Ottawa will not fund new road infrastructure, but later clarified that he meant specific megaprojects.
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Mr. Ford said his province also expects the federal government to ensure its legislation and regulations “help build new roads, highways and public transit projects faster, instead of slowing down Ontario’s ability to build these much-needed projects.”
He said the federal government must provide certainty “by acknowledging that its Impact Assessment Act does not apply to Highway 413,” a corridor that will link up Peel, York and Halton regions north of Toronto. The Ontario government has asked a court to kill the federal environmental law after the Supreme Court of Canada concluded the law is an overreach.
“Until we receive this certainty, Ontario will continue its ongoing legal challenge,” Mr. Ford said.
The 2019 Impact Assessment Act gives Ottawa wide-ranging powers over natural-resource and industrial projects. It allows the federal government to scrutinize projects for “effects within federal jurisdiction” – such as on Indigenous peoples, birds, fish, species at risk and climate change.
In October, the Supreme Court ruled 5-2 that it steps into provincial jurisdiction, by allowing federal authorities to determine the public interest in an overall project, and is therefore unconstitutional.
It said, though, that a federal role remains possible in environmental assessments. Ottawa quickly responded to the ruling by saying it would amend the Impact Assessment Act, but that, until it could do so, it would continue using that law, within the limits set by the court.
In the letter, the Premier reiterates his call for Ottawa to eliminate the carbon tax, or at the very least pause the upcoming hike on April 1.
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A spokesperson for Mr. Trudeau’s office referred questions to Deputy Prime Minister and Finance Minister Chrystia Freeland, who did not directly address Mr. Ford’s comments.
“Our economic plan is about building more homes, faster, making life more affordable and creating more good jobs – and we look forward to presenting next steps in the budget,” said spokesperson Navpreet Chhatwal.
Mr. Ford said Ottawa must also step up as a funding partner for new road and transit infrastructure projects, including expanding service for Go Transit’s Milton line, north of Toronto. He said preliminary analysis indicates the project could cost more than $6-billion, and he wants Ottawa to cover at least half of the capital cost.
Mr. Ford also wants Ottawa to fund 40 per cent of the capital costs of four priority subway projects included in a 2021 agreement.
Mr. Ford calls on Ottawa to match the province’s $1-billion commitment to building roads to the Ring of Fire region and to eliminate duplicative reviews and processes he says slow down the project. He also asks for clarity about the specific projects in Ontario that will be eligible for the federal clean energy investment tax credits, which were introduced last year. However, Ottawa has released the parameters and eligibility for the tax credits publicly.
And the Ontario Premier also wants more funding from Ottawa for water and waste water projects for municipalities to get more housing built. He said he was “disappointed” that critical infrastructure projects were not funded in the 2023 federal fall economic statement and budget.
Laura Stone