Consortium selected for 1,000km Toronto-Quebec rail project

Key Takeaways:

• The high-speed rail project is expected to significantly impact Canada’s economy, generating up to $35 billion in annual GDP growth and creating over 51,000 jobs during construction. It will enhance business connectivity, increase productivity, and support long-term economic expansion.
• The electrified rail network will reduce emissions, alleviate road congestion, and provide a faster, more reliable alternative to air and road travel. Once completed, it will cut travel times between major cities, such as reducing the Toronto-Montréal journey to three hours.
• This is Canada’s largest infrastructure project, with $3.9 billion allocated for the co-development phase over six years. The Cadence consortium, including major Canadian and international partners, has been selected to lead the project alongside the Crown corporation Alto (formerly VIA HFR), ensuring efficient development and execution.

The Whole Story:

Prime Minister Justin Trudeau and Transportation Minister Anita Anand announced plans to move ahead with a massive high speed rail project that will connect Eastern Canada.

“As Canada’s largest ever infrastructure project, high-speed rail will turbocharge the Canadian economy – boosting GDP by up to $35 billion annually, creating over 51,000 good-paying jobs during construction, and unlocking enhanced productivity for decades to come,” said Trudeau. “By connecting economic hubs at rapid speed, businesses will have more markets to sell to and workers will have more job opportunities. Electrified, high-speed rail will also help Canada reduce its emissions and meet its climate targets. By giving travellers an efficient and reliable option to get around, we will save Canadians time when they travel, boost tourism, connect communities, and spur affordable housing development across the region.”

Officials unveiled Cadence, the consortium they have selected to design the Toronto-Québec City High-Speed Rail Network with Alto, and also confirmed funding for the development phase. This makes it one of the largest infrastructure endeavors in Canadian history.

Cadence is an alliance of Canadian and international private partners, including CPDQ Infra, AtkinsRéalis, SYSTRA Canada, Keolis Canada, Air Canada and SNCF Voyageurs. Cadence was selected through a rigorous tendering process to develop the project with Alto, and ensure its construction and subsequent phases.

Alto (formely VIA HFR) is the Crown Corporation dedicated to developing a fast, reliable and frequent rail network to meet the growing mobility needs in the Toronto–Québec City corridor.

As Canada’s largest ever infrastructure project, high-speed rail will turbocharge the Canadian economy – boosting GDP by up to $35 billion annually, creating over 51,000 good-paying jobs during construction

Prime Minister Justin Trudeau

“I’m firmly convinced that the way a project is developed is as crucial as the project itself,” said Martin Imbeau, President and CEO, Alto. “Which is why we are developing it now, in collaboration with Cadence and relying on the best practices of the industry. We have assembled a unique group of talents, combining the know-how of a federal Crown corporation with the experience of a consortium of world-class private partners. Together, we will build a project that will surpass the highest expectations of Canadians.”

Trudeau explained that the rail network will span approximately 1,000 km and reach speeds of up to 300 km/hour, with stops in Toronto, Peterborough, Ottawa, Montréal, Laval, Trois-Rivières, and Quebec City. Once operational, current travel times will be slashed in half – getting travelers from Montréal to Toronto in three hours. The official name of this high-speed rail service will be Alto.

The socioeconomic benefits of the Toronto–Québec City High-Speed Rail Network include higher productivity and GDP, increased economic growth, greater labour and student mobility, reduced road congestion, improved access to housing, and more. Reducing travel times and increasing departure options on dedicated and electrified tracks aim to bring about a sustainable shift from road and air to rail, and ultimately lead to significant transportation cost savings.

“This landmark project is set to revolutionize mobility in Canada for future generations. The Cadence consortium’s unparalleled expertise, synergy, and successful track record offer Alto, the Crown corporation with which we will develop this project, a trusted partner to bring this visionary project to life at the best possible cost. We thank everyone involved in the development of the proposal for their trust and professionalism over the last year. We look forward to working together to design, develop and deploy this fundamental project for all Canadians,” said Jean-Marc Arbaud, President and Chief Executive Officer of CDPQ Infra.

Quick facts:

• Canadian passenger rail service currently runs on tracks owned by freight rails, which limits the frequency of the service they offer and leads to delays.
• Canada’s investment in the co-development phase of the project represents $3.9 billion over six years, starting in 2024-25. This is in addition to the $371.8 million that was provided in Budget 2024.
• Budget 2022 launched a rigorous procurement process.
• A Request for Expressions of Interest was completed in October 2022, the Request for Qualifications in July 2023, and as part of the Request for Proposals (RFP), three world-class consortiums (bidders) submitted their final bid submissions in 2024.
• The procurement was completed on budget and was overseen by a fairness monitor.
• In November 2022, the Government of Canada created a Crown corporation, VIA HFR (now Alto), to provide oversight of this project.
• Alto and Cadence will be signing a contract setting out the terms of the next phase of the project – its co-development.