TRAN Appearance: Main Estimates 2023-2024 and Supplementary Estimates (C) 2022-2023

43. Hudson Bay Railway and Port of Churchill Study

  • In 2022, the Government of Canada announced a two-year $60 million investment to address short-term operational and maintenance needs of the Hudson Bay Railway. This funding was distributed equally over FY 2022/23 and 2023/24.
  • Transport Canada was also provided funding to assess the viability of a trade corridor along the Hudson Bay Railway and through the Port of Churchill.
  • The study will help guide future funding decisions related to establishing reliable rail service or supporting the economic viability of the trade corridor.

SUPPLEMENTARY MESSAGES

  • Market opportunities were defined through interviews with 50 stakeholders and 5 provinces and territories, as well as 12 engagements with Indigenous communities.
  • The study considered Indigenous-led economic development, the impact of climate change on transportation infrastructure, and the potential to improve food security and reduce the cost of living for northern residents.

SUPPORTING FACTS AND FIGURES

  • The Hudson Bay Railway is owned by Arctic Gateway Group, an Indigenous company with a Board of Directors representing 34 Indigenous and 12 non-Indigenous communities along the railway in northern Manitoba.
  • PricewaterhouseCoopers was the successful bidder to undertake the study.
  • Approximately 30,000 people live in Indigenous and northern communities who rely on rail service in support of transportation connectivity, food security, heating fuel, and access to essential goods and services.
  • A local indigenous organization, the Manitoba Keewatinowi Okimakanak, was engaged to host discussions with 12 Indigenous communities and municipalities to better understand rail usage and significance.
  • The study was also supported by engagements with twelve federal departments, Manitoba, Alberta, Saskatchewan, Nunavut, and Northwest Territories, and interviews with over 50 stakeholders and potential cargo owners.

BACKGROUND

The Hudson Bay Railway runs from The Pas to Churchill and is the only year-round surface-based transport link for some communities in Northern Manitoba.  Since 2017 the railway and Port of Churchill have been operated by the Arctic Gateway Group, an Indigenous and community partnership.

Communities along the Hudson Bay Railway are dependent on rail service for transportation connectivity, food insecurity, and increased costs for travel, and essential goods and services. Funding helps ensure that Indigenous and Northern economic development, trade, and tourism are supported, and the safety and security of infrastructure, Canada’s North, and Arctic sovereignty are maintained.

New economic opportunities for the Hudson Bay Railway are emerging, but climate change and discontinuous permafrost create new challenges for operations.

ATIP PROTECTED BACKGROUND

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