Question Period Note: High Frequency Rail

High Frequency Rail (TRAN Committee appearance)

• On March 10, 2022 the Government of Canada launched a Request for Expressions of Interest seeking views from industry on the High Frequency Rail project, marking the first major step in supporting the procurement phase for the project. As a key next step, the Government of Canada is creating a new VIA Rail subsidiary for the purposes of developing and advancing the High Frequency Rail project.
• This new Crown corporation will work collaboratively with both the Government of Canada and the eventual private sector partner. VIA Rail and its employees are central to this transformation and to the success of the High Frequency Rail project, and will continue to play a key role across Canada as the national passenger rail provider.
• Engagement, consultation, and collaboration with Indigenous peoples are essential to the success of this project. I am committed to ongoing engagement and meaningful consultation with Indigenous peoples across Ontario and Quebec.

If pressed

• The Government of Canada is not privatizing VIA Rail and passenger rail in Canada will continue to remain a public good.
• VIA Rail has been a driving force behind the High Frequency Rail project and a key partner in advancing the project to where it is today.
• The Government of Canada will require that any arrangement with a private sector partner respects existing collective agreements and benefits, is collaborative with unions, and ensures that existing employees would benefit from the job opportunities this project will offer.

• The Request for Expressions of Interest is major step in project advancement. It is an opportunity to: communicate the Government of Canada’s plan for advancing the project; seek feedback from experienced private sector companies to help shape the High Frequency Rail project; and provide information to industry so interested parties can prepare for subsequent phases of the procurement process, including the Request for Qualifications and the Request for Proposal.
• The High Frequency Project will be the largest investment in passenger rail in a generation and one of Canada’s largest infrastructure projects in the last half-century. Recognizing the project’s size and scale, the Government of Canada is inviting the best Canadian and international developers to compete and present innovative approaches to optimize, deliver and operate High Frequency Rail over the next 30 years. This collaborative approach will promote innovation, reduce risk and improve risk management, provide the best value to Canadians, and ultimately deliver a world-class service.

Réseau express métropolitain (REM) de l’Est

• The REM de l’Est is the second phase of Montreal’s light rail project, originally led by the Caisse de dépôt et placement du Québec (CDPQ) Infra as part of a public private partnership with the Quebec Government. Federal funding for the first phase of the REM was provided through the Canada Infrastructure Bank.
• On May 2, 2022, the Quebec Premier, alongside the Mayor of Montreal, announced that the Quebec and Montreal governments will be taking over the management of the REM de l’Est project.
• This recent development provides an opportunity for the Government of Canada to analyze lessons learned, as the REM de l’Est project was previously using a co-development approach similar to the one that will be used for HFR. This situation may be presented as an argument against this type of public-private partnership approach, which has already been questioned in the media and by Parliamentarians in relation to HFR.

Location: Ontario/Quebec/National