TRAN APPEARANCE: OAG FOLLOW-UP AUDIT ON RAIL SAFETY AND 2021-22 MAIN ESTIMATES - MARCH 25, 2021.

32. LAURENTIA TERMINAL PROJECT AT THE PORT OF QUEBEC

LAURENTIA TERMINAL PROJECT AT THE PORT OF QUEBEC

LOCATION: QUEBEC CITY, QC

ISSUE/SOURCE: MARCH 25, 2021 TRAN APPEARANCE  

DATE: MARCH 17th, 2021

Suggested Responses

  • The Quebec Port Authority’s Laurentia Project aims to build a new $775 million container terminal with a capacity of 700,000 containers. This project is being partially financed by a private joint venture that is investing $505 million.

  • This project is currently under review for funding under the National Trade Corridors Fund, which is a merit-based competitive program that helps to strengthen the efficiency and resilience of transportation assets critical to Canada’s continued success in global trade and commerce.

IF PRESSED ON THE ENVIRONMENTAL ASSESSMENT:

  • Under the Canadian Environmental Assessment Act 2012, the Minister of Environment and Climate Change must make a decision on whether the project is likely to result in significant environmental effects. The National Trade Corridors Fund review process will take into consideration not only the potential economic impacts of this project on trade corridors, but also the outcomes of the environmental assessment.

BACKGROUND INFORMATION

  • In December 2017, the Quebec Port Authority announced its intention to build a new container terminal (the Laurentia Project). The cost of the project is estimated at $775 Million (M). The project would extend the existing wharf by 610 metres. The 31.7 hectare project would include the construction of a new berth, and a retaining dike that would allow for the development of a 17 hectares of backshore space.
  • In May 2019, the Quebec Port Authority announced a commercial agreement with Hutchison Ports and the Canadian National (CN) to finance the project. The $505M agreement includes the construction and operation of an automated container terminal with a potential capacity of 700 000 Twenty-foot Equivalent Units (TEUs).
  • The Quebec Port Authority is requesting a contribution of $180M, with a 50‑50% federal and provincial share of the funding.

Environmental assessment

  • In November 2020, The Impact Agency of Canada (the Agency) released a draft preliminary Environmental Assessment report that highlighted the project would have significant effects, particularly on the environment and human health.
  • The Quebec Port Authority requested an extension from the Impact Assessment Agency of Canada (IAAC) to optimize the project. The Quebec Port Authority is expected to provide an updated proposal to the IAAC by the end of March 2021. This will require additional time for analysis to inform a final report and is likely to cause an extension to the decision timeframe. If significant adverse environmental effects are identified, as is anticipated, the project decision will be referred to Governor in Council.