The Canadian Taxpayers Federation (CTF) estimates that adding a stop in Kingston to Canada's proposed high-speed rail line will increase the project's cost by $3.9 billion. The CTF called the project a 'boondoggle' and urged the government to scrap it.
Cost analysis reveals billions in additional spending
According to the CTF, the federal government's directive to include a Kingston stop adds at least 51.9 kilometres to the Toronto-to-Quebec City route, costing roughly $75 million per kilometre. The CTF's Ontario director Noah Jarvis stated, 'This project was already unaffordable for taxpayers with a $90-billion price tag and now it will cost billions more because the Carney government is adding an extra stop.'
Transport Minister Steven MacKinnon issued the directive to Alto, the Crown corporation overseeing the project, last month. MacKinnon did not provide cost estimates at the time.
McGill study projects long-term subsidies
The CTF based its estimates on research from McGill University, which found the government's proposal would require $53.1 billion in subsidies over 43 years. The study noted annual operating costs of $84,000 per kilometre, with yearly subsidies averaging $1.28 billion after accounting for revenue and capital repayment.
'The project hasn't even started and it's already obvious there will be huge budget overruns,' Jarvis added. 'Taxpayers can't afford this boondoggle and it needs to be scrapped.'
