Nfld. Announces Gas Tax Fund Money for Infrastructure Projects

By Todd Westcott 09:56AM August 24, 2018



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With new funding announced through the federal Gas Tax Fund, Newfoundland and Labrador has committed substantial funding to infrastructure programs in August, announcing support for a number of water and wastewater projects.

The Federal Government has delivered the first of two $16.4-million annual installments of the federal Gas Tax Fund to Newfoundland and Labrador. In total, the province has been allocated over $32.8 million for 275 communities this year through the fund, which include drinking water and wastewater systems, culture and tourism infrastructure, and disaster mitigation projects.

“Through Federal-Provincial cooperation we are continuing to enhance infrastructure, and ensure safe and sustainable communities across Newfoundland and Labrador,” said Andrew Parsons, Minister of Municipal Affairs and Environment. “We are pleased to see residents of municipalities and Inuit Community Governments continue to benefit from this fund.”

The Gas Tax Fund is a long-term, indexed source of funding that supports local infrastructure projects across the province each year. Some examples of the projects being supported include:

  • Burnt Islands will replace old water culverts as part of an emergency preparedness project to prevent future flooding and protect the local environment;
  • Mount Moriah will enlarge Corner Brook’s water system to provide clean drinking water to residents and businesses;
  • Cartwright is upgrading its wastewater lift station to keep the local environment and waterways clean; and
  • Heart’s Content will upgrade parking facilities at the heritage lighthouse to better accommodate a growing tourism industry.

Since the program was introduced in 2005, Newfoundland and Labrador has been allocated in excess of $358.9 million from the federal Gas Tax Fund. More than $250 million has been allocated to municipalities and Inuit Community Governments for municipal infrastructure priorities. Another $106.7 million has been allocated to the Provincial Waste Management Strategy and in excess of $2.2 million has been allocated to regional water and wastewater projects.

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