As the voice of Canada’s mineral exploration and mining industry, it is with great excitement that I share plans for the Canada Infrastructure Bank, as announced in the Fall Economic Statement. This important initiative—part of the Federal Government’s nation-building infrastructure plan—is something PDAC has advocated for since 2013.
The Canada Infrastructure Bank is a way to develop and unlock the resource potential of northern and remote Canada. As an industry that operates across the country—in urban, rural and remote areas, as well as being the largest private sector employer of Aboriginal people—our sector is a natural partner that is uniquely positioned to offer economic opportunities to all Canadians.
Remote exploration projects have average costs that are 227% of non-remote projects, sometimes reaching 280% of non-remote projects. Unsurprisingly, the end result is that northern resource potential remains stranded, and remote communities are unable to benefit from the economic opportunities that could be generated by the industry.
As a way to unlock the rich mineral potential of Canada’s North and other remote areas, our Federal Budget 2017 recommendations asked the Government of Canada to expedite the creation of the Canada Infrastructure Bank to ensure funds were dedicated to financing for resource-development-related infrastructure projects. We applaud these positive developments for our industry.
About the Canada Infrastructure Bank:
- It will make investments in revenue-generating infrastructure projects and plans that contribute to the long-term sustainability of infrastructure across the country.
- It will work with provincial and territorial governments and municipalities to reach funding directed to infrastructure.
- It will involve governments and investors working together to identify a pipeline of potential projects and identify investment opportunities that provide the biggest economic, social and environmental returns
- It is a key component of Investing in Canada, concluding and executing complex infrastructure deals using a wide breadth of financial instruments at its disposal, including loans, loan guarantees and equity investments
- It will be accountable to government, but will operate at arm's length, working with provincial, territorial, municipal, Indigenous, and investment partners.
Learn more about the Government’s Transformational Infrastructure Plan and the Canada Infrastructure Bank.
PDAC also advocates for fiscal incentives to offset the higher costs of remote exploration and mining. Read the report Levelling the Playing Field to learn more.