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Still Committed To Improvements

Transportation minister cancels P3 approach for Deerfoot Trail improvements

Jul 12, 2022 | 3:24 PM

Alberta Transportation has cancelled a public-private partnership (P3) approach to upgrade Deerfoot Trail in Calgary, opting instead to procure the improvements in smaller pieces.

Minister of Transportation Prasad Panda says the government is committed to only pursuing P3s when they’re found to have value for taxpayer money.

“While the government is not going ahead with a P3 approach, we remain committed to making improvements to Alberta’s busiest highway and will move ahead with the necessary upgrades to help people get to their destinations safely and more efficiently.

“Current economic conditions have resulted in pricing volatility and historically high inflation in the construction industry, which means a P3 approach to Deerfoot Trail improvements is not economically viable.

“We will focus on improving the most congested areas on the highway first to improve traffic flow and reduce travel times for commuters in the Calgary region. Work is underway to identify the most critical areas for improvement that can be tendered and completed as quickly as possible.

“Alberta’s government will continue to make use of P3s where and when it makes best financial sense to taxpayers,” said Panda in a press release Tuesday.

Lorne Dach, NDP Critic for Transportation, made the following statement regarding the cancellation of a P3 approach to Deerfoot Trail:

“Good news for Calgarians, who will be spared from having to pay tolls, now that the UCP has realized a P3 to upgrade Deerfoot Trail is a bad idea.

“Students and families using the disastrous P3 schools in Edmonton could have told Minister Prasad Panda that fact, as they struggle with dangerously poor site drainage and runaway HVAC systems which the school staff aren’t allowed to operate.

“The UCP should immediately drop the P3 approach from all projects they are pursuing for schools and hospitals and road improvement.

“Projects built by an Alberta NDP government will always be directly accountable to taxpayers.”