Plannord.gouv.qc.ca
PLAN NORD FinAnciAl FrAMeWork For plAn nord
iMpleMentAtion
The Plan Nord is ambitious and requires substantial investments.
However, its implementation must adhere to the government’s overall financial framework, i.e., a balanced budget and a reduction in the province’s debt burden.
To achieve these two goals, the government has developed a funding plan that is innovative in a number of regards.
n Private partnerships to finance infrastructure built primarily for economic development projects (cost-sharing basis)
n Return of part of the tax revenue from economic development projects, such as mining and hydroelectricity (including public services taxes), as part of Plan Nord implementation
n Reinvestment of the direct and indirect tax benefits from public infrastructure projects to fund the Plan Nord
n Annual Hydro-Québec contribution to funding social projects in Plan Nord areas
This innovative funding system establishes a direct link between economic activity triggered by the Plan Nord and the resources invested to develop infrastructure and improve social services for people in the Plan Nord area.
The first action plan under the Plan Nord, covering the period 2011–2016, comprises measures totaling $1.625 billion over five years.
Financial FraMEWork For Plan nord
iMPlEMEnTaTion
The gouvernement du Québec will contribute $1.2 billion for infrastructure funding.
n $821 million for transportation infrastructure
n $370 million for social infrastructure, such as housing, health, education, culture, and park creation
As regards transportation infrastructure, the government will first invest in projects that afford access to areas with the greatest economic development potential. Government investments will thus be linked as a matter of priority to the most promising energy, mining, and other development projects.
The first five-year action plan under the Plan Nord also includes
$382 million in expenditures to cover essentially social measures, particularly for the improvement of health services, education, and training. These investments are essential: developing the North and improving the lives of its people are intimately linked.
The 2011–2016 action plan also sets aside $52 million over the entire period for the Société du Plan Nord’s implementation of the Plan Nord and to solicit foreign investors.
When the $500 million Investissement Québec endowment is added in, the gouvernement du Québec funding for project implementation will total $2.1 billion for implementation of the Plan Nord over the next five years.
