Alberta’s Recovery Plan includes $10B infrastructure investment
Alberta Premier Jason Kenney laid out his province’s recovery plan today, spending a record $10-billion investment in infrastructure with a plan for 50,000 jobs this year.
Following the initial economic devastation of the COVID-19 pandemic and the unprecedented crash in oil prices, the Government of Alberta is stepping forward with a plan to address both the short-term and long-term challenges facing our province. It is a plan to create jobs now that will set Alberta on a path for economic growth, diversification and renewal for the future.
“Albertans have risen to the challenge of the pandemic, though we will continue to be careful, especially for those who are most at risk,” said Kenney. “Now we must extend that same culture of resilience to overcoming the greatest economic challenge of our time. Today, we take a big step forward in that journey with the launch of Alberta’s Recovery Plan, a bold, ambitious long-term strategy to build our province, to diversify our economy, and to create jobs.”
Alberta’s Recovery Plan includes the many government relief programs that we have put in place to support Albertans and Alberta job creators through the COVID-19 pandemic. It also builds on strategic investments already underway, including the Keystone XL pipeline and $1 billion in accelerated Capital Maintenance and Renewal funding, which are putting thousands of Albertans to work this summer.
The plan will continue under three main pillars: creating jobs, building infrastructure to spur economic growth, and diversification of the economy.
Building: Investing in Infrastructure
This year Alberta will see the largest ever investment in the province’s infrastructure, with $10 billion being spent on projects in every corner of the province, creating 50,000 jobs.
In a major new initiative, the government will launch a series of large-scale infrastructure projects this summer at a total cost of $612 million. These projects are designed to create at least 2,500 jobs.
These strategic projects will be spread across every region of the province, and will include the twinning of highways, projects that support growth in the agricultural sector, gas line extensions for northern residents, treatment facilities for Albertans recovering from addictions, and other important projects. The projects announced today will be followed by more projects announced in the coming months.
Strong economic fundamentals are reinforced in Alberta’s Recovery Plan with the immediate acceleration of the Job Creation Tax Cut. On July 1, the corporate income tax rate will drop to eight per cent.
“The Job Creation Tax Cut is essential to Alberta’s recovery, ensuring our province has a competitive tax regime for job creators. When Alberta’s corporate income tax rate hits eight per cent, British Columbia’s corporate income tax will be 50 per cent higher at 12 per cent,” says Travis Toews, Treasury Board President and Minister of Finance. “As employers work to recover from COVID-19 they can be confident that Alberta will be the best place in Canada – by far – to locate, bringing with them jobs and prosperity.”