Mark Ledwell
Associé
Article
5
This article was first published in medium.com
Launched by the Trudeau government in June 2017, the Canada Infrastructure Bank (the Bank) promised to significantly transform Canada's project development landscape. Three years later, that promise has yet to be fulfilled. However, as COVID-19 continues to push the global economy deeper into recession, many wonder if the Bank is now finally poised to make its mark on Canada's economy.
A Crown Corporation, the Bank was established with the mandate of investing $35 billion of federal funding in much needed infrastructure projects across Canada – and, in turn, attract private sector investment into new revenue-generating projects. Notably, for infrastructure to be eligible for investment by the Bank, it must be both transformational and in the public interest.
Unfortunately, the Bank has got off to a slow start and to date has committed (not invested) less than $4 billion to projects. Many blame such sluggishness on bureaucracy; although the Bank was organized to operate independently, several stakeholders have reported that policies and decisions were often subject to additional layers of approval by federal officials. A lack of clarity surrounding the Bank's mandate and its criteria for participating in projects has led to even greater uncertainty about its role in the Canadian infrastructure investment community.
The future, however, is looking brighter for the Crown agency.
In June 2020, in the midst of the pandemic, Catherine McKenna – the federal minister responsible for the Bank – quietly announced sweeping leadership changes. Such changes included the resignations of Chairperson Janice Fakakusa and CEO Pierre Lavalee, and the appointment of Michael Sabia to chair of the board. Mr. Sabia recently completed an 11-year term as CEO of La Caisse de dépôt et placement du Québec (CDPQ) and brings to the Bank a formidable record of experience in the public and private sectors. His appointment is widely viewed as a major change in direction at the Bank, one that it is both timely and overdue.
Indeed, several observers – including the Globe and Mail – have reported that the Trudeau government will accelerate planned infrastructure spending as part of its efforts to boost the economy in the wake of a virus-generated global recession. A Michael Sabia-led Bank is poised to play a leading role in government's infrastructure spending plans.
With a view to ensuring the Bank is equipped to rise to this unprecedented occasion, here are some unsolicited suggestions for Mr. Sabia to consider as he goes forward:
Canada continues to punch far above its weight in the design, delivery, finance, and management of high-quality smart infrastructure assets. Moreover, our country has earned a reputation among infrastructure investors and buyers for transparency, innovation, environmental sustainability and value-for-money.
In these pandemic-ridden times, the need to mobilize and deliver smart infrastructure across our country quickly has never been greater. With leadership from the Bank, and support from leaders across the industry, we have an opportunity to deliver new transformational infrastructure to Canadians and to make our country a better, safer place to live and work for generations to come.
CECI NE CONSTITUE PAS UN AVIS JURIDIQUE. L'information qui est présentée dans le site Web sous quelque forme que ce soit est fournie à titre informatif uniquement. Elle ne constitue pas un avis juridique et ne devrait pas être interprétée comme tel. Aucun utilisateur ne devrait prendre ou négliger de prendre des décisions en se fiant uniquement à ces renseignements, ni ignorer les conseils juridiques d'un professionnel ou tarder à consulter un professionnel sur la base de ce qu'il a lu dans ce site Web. Les professionnels de Gowling WLG seront heureux de discuter avec l'utilisateur des différentes options possibles concernant certaines questions juridiques précises.