Derailing Green Line funding is bad business

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After years of delays and a truncated scope, the Green Line LRT project is far from perfect. But it represents a vital investment in Calgary’s future: as our city grows, reliable and accessible public transit is key.

The sudden and unexpected withdrawal of provincial funding for the project is not just a setback — it’s a significant blow to all of our city’s future infrastructure projects.

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On Aug. 1, Transportation and Economic Corridors Minister Devin Dreeshen assured Calgarians that provincial funding for the Green Line was “100 per cent” secure. “The commitment from the province for the Green Line (is) in place,” we were told. Calgarians could “bank on it”.

Yet, a month later, in a stunning reversal, Dreeshen abandoned his August position. Disregarding years of careful analysis, extensive public engagement and expert planning, the UCP government is putting politics above good policy.

This decision will have far-reaching consequences for Calgarians. The immediate effects are clear: more traffic congestion, higher pollution levels, fewer job opportunities and a slowdown in construction of much-needed transit-oriented housing developments.

But the big-picture concern? Our city’s capacity to advance future infrastructure projects at all.

Infrastructure projects of this scale require complex co-ordination between designers, suppliers, builders, engineers and project managers. These stakeholders depend on predictability and certainty to plan and execute their work. For businesses, a deal is a deal.

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When a government suddenly pulls away from a project like the Green Line — after contracts are signed, trains ordered and shovels are in the ground — it sends a chilling message to the entire industry: Calgary is a risky place to do business. Without predictability, costs rise, timelines stretch and investment opportunities fall away.

The consequences are grim. It will become more expensive to finance and execute large infrastructure projects in our city. Businesses faced with the proposition of working with a risky partner will either charge more or choose to do business elsewhere. The contractors, suppliers and builders who stay will now factor in a risk premium for any future work in Calgary, costing taxpayers more.

Transit projects aren’t the only thing on the line — this decision by the Alberta government will affect every major project on the horizon in our province, from the premier’s commuter rail ambitions to rebuilding infrastructure in Jasper after this summer’s fires. It’s a costly mistake that will have long-term consequences for our province’s ability to execute necessary large-scale projects.

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In Calgary, this means introducing risk into the impending Arts Commons expansion and the new event centre, and essential upgrades for Calgary’s water and sewer systems. With our population increasing by nearly 100,000 last year, projects like the Green Line are critical to staying ahead of Calgary’s growing pains.

More people every year trying to get to work or school each morning is a recipe for traffic congestion that building more lanes on Deerfoot will not solve. Projects that can expand and grow with our city, such as the Green Line, will spur economic development by ensuring that we remain a competitive place to live and work.

Our infrastructure needs are changing and Calgary cannot afford to become a city where political games jeopardize essential projects. As we grow, we must reclaim our reputation as a business-friendly city — a place where deals are honoured and where projects move forward as planned.

As we look to the future, we need leaders with the vision and the political will to make smart decisions that ensure Calgary remains a competitive, vibrant city. We need infrastructure that enables communities to connect and grow.

We need a Calgary that keeps its promises to businesses and keeps costs low for citizens.

Inam Teja is a Calgary resident with a degree in business from Ivey Business School and a Masters of Public Policy from Oxford University.

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