When Prince Edward Island joined Canada in 1873 the federal government made a promise to maintain year-round transportation across the Northumberland Strait to the mainland. The government maintained ferry service but over time the cost substantially escalated— from a $20,000 annual subsidy in 1887 to a subsidy ranging from $24 million to $32 million by the mid-1970s.
In 1985-1986 the Government of Canada received three unsolicited proposals from private consortia for a fixed link. Recognizing the significant capital costs of a bridge and not wanting to pay more than the existing ferry service subsidy the government decided to enter into a contract with the private sector for financing and operations.
Challenges
Innovations
Confederation Bridge was the first major infrastructure project completed in Canada using a public-private partnership
Results