Québec includes funds for REM project in budget

Written by Mischa Wanek-Libman, editor
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CDPQ Infra

The Government of Québec has committed CA$1.28 billion (US$96 million), which represents 24.5 percent total equity, to the Réseau électrique métropolitain (REM) project.

CDPQ Infra, a wholly-owned subsidiary of Caisse de dépôt et placement du Québec, is proposing to construct the 67-km (41.6-mile) REM automated light-rail network to link downtown Montréal, the South Shore, the West Island (Sainte-Anne-de-Bellevue), the North Shore (Laval and Deux-Montagnes) and the airport.

“We very much welcome the government of Québec’s commitment to the REM, a project that will improve the daily commute for hundreds of thousands of people, boost Montréal’s overall competitiveness and have positive impacts on the environment from the first days of the project. Today, we are moving a significant step closer to delivering this major electric transit project, which is so important for Montréal and Québec as a whole,” said Michael Sabia, president and CEO of la Caisse.

Confirmation of the Government of Québec’s financial participation allows CDPQ Infra to further refine its financial structure. La Caisse’s investment amounts to CA$2.67 billion (US$2 billion), or 51 percent of the project’s share capital. La Caisse has proposed a CA$1.28-billion (US$96-million) investment to the Canadian government, representing 24.5 percent of the share capital, which is currently under discussion.

The agreement with the Government of Québec also establishes return thresholds and the mechanism for sharing dividends between la Caisse and the government.

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