Canada commits $3 billion to Fraser River Tunnel replacement
(UI) - The Government of Canada has committed up to C$3 billion (US$2.12 billion) toward British Columbia's C$8.5 billion (US$6 billion) Fraser River Tunnel Project, providing a major funding boost for the replacement of the George Massey Tunnel beneath the Fraser River.
The project will replace the existing crossing with a new toll-free, eight-lane immersed-tube tunnel designed to improve transportation reliability, freight movement and regional connectivity. British Columbia will fund the remaining project costs, with the updated budget reflecting current market conditions, inflation and the project's revised delivery schedule.
The province is moving forward with a revised procurement strategy that divides the remaining work into multiple contract packages to increase competition and create more opportunities for local contractors. Requests for qualifications for the first two work packages were issued in June, with requests for proposals expected later this summer and contractor selections anticipated in early 2027.
Early construction activities began in January and include utility relocations, site preparation, access roads, retaining walls, jetties and construction of a casting basin on Deas Island. Major tunnel construction is expected to begin in 2027 following completion of the environmental review process, with the project now scheduled for completion in September 2031.
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