Government of Canada to invest over C$3.8 billion in transit funding

March 25, 2025
Various cities throughout Canada will use the funding awarded to enhance their transportation networks.

The government of Canada is providing C$1.8 billion (US$1.3 billion) in funding through the Canada Public Transit Fund (CPTF) for the city of Brampton, Ontario, BC Transit and TransLink. The Municipality of Whistler, British Columbia, will also be receiving C$500,000 (US$350,076) through the Rural Transit Solutions Fund and the city of Quebec, Montreal, will be receiving C$2 billion (US$1.4 billion) in federal funding for various transit projects. 

City of Brampton receives funding for LRT extension

The government of Canada has advanced the Hazel McCallion Light Rail Transit (LRT) Extension into downtown Brampton through the Metro-Region Agreement stream of the CPTF. The city of Brampton notes the investment of C$106 million (US$74.2 million) during the next 10 years will help shape the future of transit in Ontario’s third-largest city, connecting residents to efficient, sustainable and reliable transportation. 

The 18-kilometer (11.2-mile), 19-stop LRT is currently under construction from Mississauga, Ontario, to the Brampton Gateway Terminal. The city of Brampton notes the planned four-kilometer (2.5-mile) extension will bring the LRT into downtown Brampton, creating a direct connection to the city’s core and improving transit access for residents and businesses. 

“As Brampton grows, Premier [Doug] Ford and our government have a plan to get residents the world-class transit they deserve, which is why we announced the extension of the Hazel McCallion Line into the downtown with a new tunnel that will benefit tens of thousands of riders every day,” said Ontario Minister of Transportation Prabmeet Sarkaria. “We will continue to work with our federal and municipal partners, as we expand public transit and GO service and build generational projects like Highway 413 to get families in Brampton where they need to go.”

The city of Brampton says the project will deliver: 

  • Enhanced connectivity: Seamless integration with Brampton Transit, Züm, GO Transit and other regional transit networks. 
  • Reduced congestion: Encouraging transit use to alleviate traffic on Brampton’s busiest roads. 
  • Environmental sustainability: Electrically powered light-rail vehicles producing near-zero emissions. 
  • Economic growth: Spurring urban renewal and economic activity, with an anticipated 33,000 new housing units and 17,000 jobs generated by the project. 

“Our government believes in public transit. We are committed to improving and growing public transit infrastructure all across Canada. Strong collaboration between federal, provincial and municipal government is essential to achieve this goal,” said Canada’s Minister of Housing, Infrastructure and Communities Nathaniel Erskine-Smith. 

“Today’s announcement is a significant step forward in making the Hazel McCallion LRT Extension a reality for Brampton. As one of Canada’s fastest-growing cities, this transit solution will enable 33,000 housing units and over 17,000 jobs that will help keep pace with our rapid growth. This project will provide reliable, sustainable and efficient transportation for our residents, connecting our downtown core to the rest of the region. Thanks to Minister Erskine-Smith for his second visit to Brampton, and the federal government for helping fund this transformative project for public transit, housing and downtown,” said Brampton Mayor Patrick Brown. 

BC Transit funding supports 33 transit systems  

BC Transit will be receiving an annual funding allocation amounting to more than C$189 million (US$132.4 million) over 10 years through the CPTF. The government of Canada notes funding will upgrade, replace or modernize public transit infrastructure for 33 transit systems serviced by BC Transit and maintain them in a state of good repair. 

The government of Canada says the investment, beginning in 2026 until 2036, will help increase the housing supply and affordability as part of complete, transit-oriented communities while helping to reduce greenhouse gas emissions and mitigate the impacts of climate change. 

“This new C$189 million investment is a transformative step forward for public transit in our communities. With stable and predictable funding over the next decade, BC Transit can improve and expand transit systems across the province—including in the sea to sky and Sunshine Coast—ensuring that residents have better access to safe, efficient and sustainable transportation options. This investment will help meet the growing needs of our region, reduce congestion and support a cleaner future for generations to come,” said Member of Parliament for West Vancouver—Sunshine Coast—Sea to Sky Country Patrick Weiler. 

BC Transit President and CEO Erinn Pinkerton added, “Sustainable funding models are essential for maintaining and developing transit systems that people can rely on every day. This 10-year baseline investment from the government of Canada will strengthen affordable and climate focused transit access for British Columbians, connecting them to the places they need to go with reliability and ease. I thank our federal partners for their support and look forward to advancing transit systems that support livable communities where the best transportation solution is transit.”

Municipality of Whistler to invest in bus infrastructure

The municipality of Whistler will benefit from improved transit infrastructure after a joint investment of C$400,000 (US$280,023) from the government of Canada. The municipality of Whistler will provide C$100,000 (US$70,005) in funding. 

The government of Canada notes that over the past five years, Whistler's transit system has surpassed record ridership in the winter and grown significantly throughout the rest of the year. The system is used daily, especially during the winter season, by residents for essential services and work, students commuting to school and visitors traveling around the resort municipality. The government of Canada says the funding will support the installation of bus shelters, lighting, benches and other supporting infrastructure, which aims to improve passenger experience, accessibility and safety while reducing environmental impacts and traffic congestion. 

“Ensuring communities are livable means providing reliable and accessible transit in rural areas, year-round. We are proud to support this investment in Whistler and will continue working with rural communities across the country to address their unique needs, improving transportation to access services and strengthen community connections,” Weiler said. 

Whistler Mayor Jack Crompton added, “This funding helps Whistler take another critical step on its path to reducing greenhouse gas emissions and ultimately reaching its climate action goals. One of our strategies is to help people ’Move beyond the car,’ aiming to have 50 percent of all trips in Whistler be by transit and active transport by 2030. The improvements this funding will enable will be a major boost to our transit system, and we are very grateful to the federal government for its critical support.”  

TransLink receives over $1 billion investment 

TransLink will be receiving C$1.5 billion (US$1.1 billion) in CPTF funding for Metro Vancouver starting in 2026. 

The government of Canada notes Metro Vancouver’s public transit network is one of the busiest in Canada, connecting the municipalities within the region with bus, SkyTrain, West Coast Express and SeaBus services.  

“Today’s announcement is the first Metro-Region Agreement under the new Canada Public Transit Fund. This significant, long-term funding is designed to meet the needs of a growing modern region by providing long-term, stable funding to support high quality and affordable public transit and improve housing supply in the area. Public transit creates sustainable, inclusive and prosperous communities and makes a real difference in people’s lives today and for generations to come,” said Canada’s Minister of Energy and Natural Resources Jonathan Wilkinson. 

The 10-year funding commitment complements the recently announced C$663 million (US$464 million) investment for TransLink under the Baseline stream of the CPTF and builds on investments in the region, including more than C$2.1 billion (US$1.5 billion) in support of the Surrey-Langley Skytrain and the Millennium Line Broadway Extension projects. 

“We welcome this federal investment in Metro Vancouver transit. Maintaining and growing a reliable, effective transit network requires cooperation from all levels of government and so it is important our federal partners are at the table,” said British Columbia Minister of Transportation and Transit Mike Farnworth.  

TransLink CEO Kevin Quinn added, “The government of Canada has been an important and valued partner in expanding our transit system, and we look forward to continuing that partnership through the Metro-Region Agreement. Investing in public transit is crucial to economic prosperity, and TransLink continues to work with all levels of government to secure funding for the Access for Everyone Plan to expand transit and support the growing needs of Metro Vancouver residents."

City of Quebec funding supports tramway 

The city of Quebec is receiving C$1.9 billion (US1.3 billion) in Investing in Canada Infrastructure Program funding to help complete the Quebec City tramway and Montréal Metro Blue line extension projects. The government of Canada notes the two major projects will improve mobility in Quebec City and the Montréal metropolitan area, promote sustainable mobility, support urban and economic development and consolidate the public transit network in these two major Quebec cities. They will also help reduce greenhouse gas emissions and strengthen climate resilience. 

According to the government of Canada, the Quebec City Tramway involves the construction of a 19 kilometer (11.8 mile) 100 percent electric tramway line, including approximately 1.9 kilometers (1.2 miles) underground. Work includes the universally accessible construction of 29 stations; five interchanges; two park-and-ride facilities; an operations and maintenance center; two centralized control stations; a fleet of around 30 cars; and related works, including the construction or modification of engineering structures, as well as landscaping and the installation of street furniture. The vehicles will be powered by a hybrid overhead contact line and batteries. 

The Montréal Metro Blue line extension includes five new metro stations in a tunnel spanning some six kilometers (3.7 miles), two bus terminals, an underground pedestrian tunnel, a mezzanine pedestrian link and various operational infrastructure elements. Commissioning of these metro stations is scheduled for 2031. 

In addition, the government of Canada is also announcing an investment of C$202.8 million (US$141.8 million) in the train control system project, which will replace the current fixed block train control system with a technology-based system for the entire Montréal Metro Blue line, including its extension. 

“Our government believes in public transit. We are committed to improving and expanding public transit infrastructure across Canada. Close collaboration between federal, provincial and municipal governments is essential to achieving this goal,” Erskine-Smith said. 

“Quebec City remains the only city of comparable size in the country not yet to benefit from a modern public transit system. With the support of the government of Canada, the TramCité project will rectify this situation. In addition to offering fast, reliable, comfortable and economical transportation, it will help reduce traffic congestion, stimulate new housing construction and create thousands of good jobs for the citizens of the Quebec City region,” said Member of Parliament for Quebec Jean-Yves Duclos. 

The city of Quebec is also receiving more than C$400 million (US$279.6 million) through the Zero Emission Transit Fund for 11 infrastructure projects, including three in Montréal, to make public transit greener across Quebec. 

According to the government of Canada, more than C$200.5 million (US$140.1 million) will be used to electrify the St-Laurent and Anjou transport centers through the acquisition and installation of electrical equipment that will allow the installation of several dozen charging points. In total, 148 charging points will be installed at the St-Laurent transport center and 132 will be installed at the Anjou transport center. 

The government of Canada notes an investment of more than C$83.2 million (US$53.1 million) will go towards the partial electrification of the Legendre transport center, allowing the installation of 72 charging positions for buses. This project includes technical studies; the acquisition and commissioning of equipment and infrastructure; as well as the expansion of premises for electrical equipment; the modernization of infrastructure such as the fire protection system and telecommunications rooms; the reinforcement of the building structure; and the connection to the existing generator. 

The funding will also be used to fund electrification projects at transit authority garages and operations centers across the province, notably in Longueuil, Lévis, Quebec City, Sherbrooke and Saguenay. 

“Our vision of Canada's future is one of modern, green cities, adapted to the needs of families and citizens. That's why our government has made historic investments to make public transit more accessible, reliable and efficient across the country. These new investments will modernize the infrastructure and equipment of electric bus fleets across Quebec, while helping to reduce air pollution,” said Minister of Canadian Culture and Identity, Parks Canada, Quebec Lieutenant, and Member of Parliament for Laurier—Sainte-Marie Steven Guilbeault.  

About the Author

Brandon Lewis | Associate Editor

Brandon Lewis is a recent graduate of Kent State University with a bachelor’s degree in journalism. Lewis is a former freelance editorial assistant at Vehicle Service Pros in Endeavor Business Media’s Vehicle Repair Group. Lewis brings his knowledge of web managing, copyediting and SEO practices to Mass Transit Magazine as an associate editor. He is also a co-host of the Infrastructure Technology Podcast.