At the end of February, the Alberta government introduced the 2025 Alberta Budget, highlighting both commendable investments and areas requiring further attention to support infrastructure development across the province.
According to RBC, “The 2025 capital plan prioritizes municipal infrastructure support ($7.5 billion), including transportation projects and programs. Capital maintenance and renewals ($3.8 billion), health ($3.6 billion), school ($2.6 billion), and road infrastructure ($2.5 billion) are other priorities.”
Consistent and predictable capital funding is essential for meeting the province’s rapid population growth and increasing infrastructure demands, a key priority for ACA.
The expansion of Highway 686 has been a longstanding priority for ACA as an important step in increasing connectivity across the northern corridor. We hope to see this expansion eventually extend to the Saskatchewan border.
The planned increase in educational infrastructure funding over the next three years, both in K-12 and post-secondary education, demonstrates the government’s commitment to current and future growth. We acknowledge that the current climate regarding tariffs makes long-term economic decisions difficult. However, the ACA is pleased to see the government continue investing in infrastructure despite this uncertainty.
CIBC states that the “capital plan addresses current pressures from population growth, supports future economic growth, and creates additional opportunities for private sector participation. Overall, the plan is projected to support an average of 26,500 direct and 12,000 indirect jobs annually through 2027/28.”
We agree with the government on the longstanding need to streamline the auto-credentialing process for skilled workers from provinces and countries with similar standards to ours. This has been a key advocacy objective for ACA.
Additionally, ACA has advocated for improvements to the Alberta Advantage Immigration Program, which currently does not do enough to bring skilled trade workers into the country to fill labour gaps. We have collaborated with the government on this issue and are pleased to see their commitment to advocating for this expansion at the federal level.
Despite these positive steps, significant concerns remain unaddressed. The absence of a long-term, predictable funding model for capital projects creates uncertainty within the industry, impacting labour productivity and investment.
We are also concerned about potential reductions in funding for capital maintenance and renewal, which could lead to long-term infrastructure repair challenges.
With persistent skilled workforce shortages across the construction industry, we note a lack of clarity regarding support for skills adoption and industry-led training funding. We continue to encourage the government to partner with industry and the federal government to provide additional funding for a replacement to the Canada-Alberta Job Grant.
Furthermore, the government should increase support for job-connectivity programs for youth, such as work-integrated learning opportunities. This investment can equip Alberta’s workforce with essential skills and connect them with the construction industry, which will require over 23,000 skilled workers over the next 10 years.
Overall, ACA sees many positive steps and funding commitments in Budget 2025 to support a strong construction industry. We will continue collaborating with the government to refine these policies, ensuring Alberta’s construction sector remains a driver of economic resilience and job creation.
You can read the full RBC report here.
And the CIBC Budget Brief