Federal Role in Infrastructure includes Highways

PREMIER'S OFFICE-Federal Role in Infrastructure includes Highways

When the prime minister discusses infrastructure at the upcoming First Ministers' meeting, Nova Scotia Premier John Hamm said he can expect a "forceful reminder" of Ottawa's responsibility towards maintaining a safe, reliable transportation system.

In remarks today at a luncheon reception in Antigonish, Premier Hamm said that the federal government collects more than $125 million annually in fuel taxes from Nova Scotia motorists. In turn, it has committed only $20 million over four years for Nova Scotia transportation infrastructure starting in 2002.

Nationwide, the federal government committed $600 million over four years, following a 1998 report from federal and provincial transportation officials that placed the cost to bring the national highway system up to acceptable standards at $17 billion.

"In other words, for every $100 needed to address this serious obstacle to future economic growth, Ottawa has agreed to contribute $3.50, starting in two years. It makes their commitment to health care look lavish by comparison," said Premier Hamm, placing the cost of bringing Nova Scotia's share of the national highway system up to acceptable standards at $540 million. "It's a difficult row to hoe alone."

At the annual premiers' conference in Winnipeg in early August, provincial and territorial leaders reiterated their unanimous call for Ottawa to fund and implement a national transportation strategy in consultation with the provincial and territorial governments. During the conference, premiers noted that Canada is the only G7 country without a national transportation program. Meanwhile, the United States government recently committed $360 billion Can over six years to improve their country's transportation system.

"This is not only a Nova Scotia problem: it's a national problem," concluded the premier. "The United States government is spending more on the 'Big Dig' (a massive infrastructure project in Boston) than the Canadian government is spending on transportation infrastructure in this country. Canada cannot afford to continue falling behind our major trading partners on this important economic matter. It's a question of improving our competitiveness. It's a question of fairness from the federal government."

The First Ministers' meeting is scheduled for Sept. 11 in Ottawa. In a letter to premiers earlier this month, the prime minister indicated that health care, infrastructure and children would be on the agenda. On numerous occasions during the past year, the Nova Scotia government has urged Ottawa to return a greater share of federal fuel taxes to highway construction, honouring a platform commitment.