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August 7, 2009
For immediate release

Shovels hit the Ground for the Charlottetown Perimeter Highway

Communities, Cultural Affairs and Labour

The Honourable Gail Shea, Canada’s Minister of Fisheries and Oceans and Member of Parliament for Egmont, and the Honourable Carolyn Bertram, Minister of Communities, Cultural Affairs and Labour for Prince Edward Island, today announced that construction on Phase 1 of the Charlottetown Perimeter Highway Expansion will begin on Monday, thanks to a $7.5 million partnership between the governments of Canada and Prince Edward Island.

“Our government is proud to support the construction on the Charlottetown Perimeter Highway, which is not only the largest stimulus infrastructure project in PEI, but is also the first to get underway,” said Minister Shea. “This project is a perfect example of governments working together to address the infrastructure priorities of the Island and get shovels in the ground faster to create jobs and stimulate our economy.”

“The Charlottetown Perimeter Highway is one of the most utilized roadways on Prince Edward Island,” said Minister Bertram. “As Minister responsible for infrastructure, I am pleased to note that this project will foster a growth in the local economy. The Province is pleased to be contributing $3.75 million into Phase 1 of this project; part of our $15.8 million Stimulus Fund investment.”

This project will increase the capacity of the highway by increasing the number of lanes, creating additional turning lanes and realigning on/off ramps as required. Current drainage issues will be addressed through the replacement of a large culvert structure under the highway. Finally, a berm will be constructed to reduce traffic noise in adjacent residential subdivisions. This project is expected to be completed by the end of July 2010.

By addressing the capacity issues of the highway and improving its surface pavement through the elimination of cracks and ruts, the safety of the travelling public will be vastly improved. The increased capacity will ease traffic delays and the improved pavement surface will reduce vehicle wear and traffic noise, while commuters will benefit from reduced fuel consumption and greenhouse gas emissions.

Total eligible costs for this project are estimated at $7.5 million, making this the largest stimulus infrastructure investment on the Island. The governments of Canada and Prince Edward Island will jointly fund up to $3.75 million each, half of the estimated eligible project costs.

Through Canada’s Economic Action Plan, the federal government established the $4 billion Infrastructure Stimulus Fund (ISF) to flow funding and get shovels in the ground quickly by providing funding to provincial, territorial and municipal construction-ready infrastructure rehabilitation projects. Up to $15.8 million in ISF funding has been announced for projects in Prince Edward Island that will begin during the 2009 and 2010 construction seasons. The Infrastructure Stimulus Fund complements the Building Canada Plan, through which the federal government will provide an additional $302.42 million between 2007 and 2014 for infrastructure improvements in Prince Edward Island. For further information about Canada’s Economic Action Plan, visit

The Government of Prince Edward Island is taking a series of measures to improve infrastructure across the province. More than $80-million will be invested in community infrastructure by 2014. In addition to improving the province's transportation network, the Charlottetown Perimeter Highway project is an important component of the provincial government's Capital Budget, which will see more than half a billion dollars invested in Island infrastructure over the next five years. The province's Capital Budget was crafted with two goals in mind: significant improvements to Island infrastructure and economic stimulus during the global downturn. For more information on infrastructure programs in Prince Edward Island, please visit

Media Contact: Autumn Tremere
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