Question Period Note: Housing and Infrastructure in the Territories / North

How is the Government of Canada addressing the infrastructure gaps that are limiting housing and infrastructure development in the North?

• This government recognizes the unique circumstances that rural and northern communities face and the importance of investments in northern infrastructure to improve housing stock, accelerate housing development, and meet the growing housing demand.

• Over the next decade, investments of more than $500 million in the territories will be made through programs such as the Canada Housing Infrastructure Fund and the Canada Community-Building Fund.

• Since 2015, total investments in the territories have exceeded $4 billion, supporting housing-enabling infrastructure, local infrastructure, resilient infrastructure, and efforts to solve homelessness and encampments.

• Since 2015-2016, Housing, Infrastructure and Communities Canada (HICC) has invested over $4 billion in infrastructure, housing, and homelessness projects across the Territories. This includes close to $1.66 billion for housing, including over $1 billion through the National Housing Strategy, as of June 2025. This investment is supporting over 6,000 new or repaired units, protecting over 3,000 community housing units, and supporting nearly 3,500 households. Additional investments have also been provided to support First Nations, Inuit and Métis infrastructure and housing needs.

• Key issues impeding access to housing in the Territories include: aging facilities/public housing infrastructure, increased costs for operations and maintenance, an extremely tight rental housing market, lack of affordable housing, and public housing waitlists. According to Canada Mortgage and Housing Corporation’s 2023 Northern Housing Report, the proportion of Territorial households living in core housing need is above the national average of 7.7%:

  • 9.9% of households in the Yukon;
  • 11.4% of households in the Northwest Territories;
  • 40.5% of the population in Nunavut.

• The Canada Infrastructure Bank is a formal partner on five projects across the Territories, including $10 million in investments to accelerate development work for two large projects in Nunavut (Kivalliq Hydro-Fibre Link and Grays Bay Road and Port project) and a $100 million investment in a project located in the Northwest Territories (Inuvialuit Energy Security Project).

• Northern Canada faces needs and gaps in respect of core foundational infrastructure, including relative to the rest of Canada.

  • According to the 2020 Canada Core Public Infrastructure data, the total replacement cost for assets in poor and very poor condition are estimated to be $3.09 billion in the Yukon, $227.7 million in the Northwest Territories, and $108 million in Nunavut.
  • Inuit identified the need for $75.1 billion over 35 years for 115 projects in order to help close the infrastructure gap in Inuit Nunangat.
  • In their “Closing the Infrastructure Gap by 2030” report, the Assembly of First Nations identified the need for $17.8 billion to address the infrastructure gap in the Northwest Territories and $10.6 billion to cover the needs of 18 First Nations in Yukon.
  • The North Slave Métis Alliance and the Northwest Territory Métis Nation have also cited the need to address critical infrastructure.
     
• Existing infrastructure is operating close to or beyond useful lifespan and is more vulnerable to climate change and Northern climate conditions. The lack of basic infrastructure as well as the impacts of climate (e.g., drought, melting permafrost), short building seasons, difficult access to material supply, and a limited labour supply all contribute to increased costs to build, maintain and operate housing and infrastructure.

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