The Assembly of First Nations estimates the cost of closing the infrastructure gap at nearly $350 billion, of which $135.1 billion is linked to housing costs.
Assembly of First Nations National Chief Cindy Woodhouse Nepinak says the federal government needs to act now to reach federal First Nations infrastructure goals.
OTTAWA, Ont.-The cost of closing the on-reserve infrastructure gap will top half a trillion dollars by 2040 unless the federal government acts now, the Assembly of First Nations says. In a recent report, the national advocacy organizaiton said that Canada must invest $349.2 billion now to make sure that First Nations will have access to similar infrastructure by 2030, in keeping with the government's ability to fulfill their public and federally mandated commitments to First Nations. Closing the infrastructure gap by 2030 was one of Prime Minister Justin Trudeau's signature pledges on reconciliation, which he noted in December, 2021.
"Without immediate and decisive action, First Nations are at risk of facing more than 60 more years of inadequate access to infrastructure, housing and digital connectivity," said National Chief Cindy Woodhouse Nepinak.
The assembly, which represents more than 600 First Nations chiefs, co-developed the report with Indigenous Services Canada. The Closing the Infrastructure Gap by 2030 report encompasses housing, schools, water plants, roads and other assets, including ports, wharves, clinics and digital connectivity.
Some of the findings of the report:
• From 2020 to 2030, the population of First Nations people on-reserve is expected to grow at an average rate of 1.7% per year compared with only 1% for the rest of Canada. The report says this growth requires immediate investments, upgrades and long-term planning of community building, utilities, transportation, and housing infrastructure to ensure First Nations communities can thrive.
• The Report estimates that based on the Government of Canada's Budget 2021 commitments, First Nations are only being funded 23% of their educational capital needs. 202 First Nations schools are overcrowded and require additions; 56 First Nations schools require immediate replacement based on reported poor conditions.
• $208.9 billion is needed to bring comparable community infrastructure.
• $135.1 billion is needed to address the housing and overcrowding crisis.
• $5.2 billion is needed to make high-speed internet available to 457 communities.
• The proposed amount would generate approximaely 150,000 jobs in its first year.
• Closing the infrastructure gap in First Nations communities is key to fostering sustainable economic growth, enhancing social outcomes and building stronger, healthier communities for all.
The report says the huge amount needed is due to decades of underfunding, federal failures and unfair distribution of wealth. The report also serves as a comprehensive budget proposal, and promises the $349.2 billion would create more than 3.2 million jobs and boost Canada's GDP by more than $1 trillion.
Woodhouse Nepinak said the government now has all the data it needs and can no longer make excuses for underfunding and neglect, since the report bears Indigenous Services Canada's seal of approval.
"Promises have been made and must now be kept," she said.
Coming out of a cabinet meeting on Parliament Hill following the report's release, Patty Hajdu, the minister of Indigenous Services says that to reach the 2030 infrastructure goals, the government and the private sector must work together. She added that in some cases, there are practical challenges aside from money that may affect infrastructure work.
Still, the assembly forecasts the cost will only grow without action in the coming years due to economic pressures including inflation, construction costs and fuel prices, especially considering the continued deterioration of the substandard infrastructure.
"Our report shows that, due to the government of Canada's inaction, the timeline to close the gap is expected to be delayed to the year 2040 and the cost to close the First Nations infrastructure and housing gap in 2040 will increase to $527.9 billion," Woodhouse Nepinak said.
The estimate does not discuss the infrastructure gap facing Métis and Inuit.
In a report of its own, national organization Inuit Tapiriit Kanatami estimates it would take $75.1 billion spread over 35 years to close the gap in Inuit regions.
The report is available at: https://afn.ca/closing-the-infrastructure-gap/
