High-speed rail line would generate billions in economic benefits: report

MONTREAL – A new report finds that a high-speed rail link between Toronto and Quebec City could deliver billions of dollars in economic benefits.

The C.D. Howe Institute study says the promised line would generate between $15 billion and $27 billion in value for Canadians over six decades.

The authors say the biggest chunk of that sum — up to a third — would stem from user benefits, namely time savings and greater reliability than Via Rail’s spotty train service.

They say economic value would also accrue for those living in the Toronto-Quebec City corridor, with reductions in greenhouse gas emissions and road congestion as added bonuses.

On Wednesday, Prime Minister Justin Trudeau moved ahead with the next phase of a high-speed rail project, announcing its trains will travel up to 300 km/h on the emissions-free network.

Pledging $3.9 billion over six years, the government said the tracks will span about 1,000 kilometres with stations in Toronto, Peterborough, Ottawa, Montreal, Laval, Trois-Rivières and Quebec City.

Friday’s report examined the two options that Ottawa had asked bidders to consider: a high-speed rail line and a slower, high-frequency line, which the study found would yield less value.

This report by The Canadian Press was first published Feb. 21, 2025.

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