December 2, 1997
(Works, Services and Transportation)

The following statement was issued today by Lloyd Matthews, Minister of Works, Services and Transportation. It was also read in the House of Assembly:

On November 27, 1997, my colleague the Honourable Ernest McLean, Minister Responsible for Labrador, announced government's plans to set up a dedicated fund for the construction of the Trans Labrador Highway and maintenance of ferry services in Labrador, to be known as the Labrador Transportation Initiative Fund.

Today, it is my pleasure to inform the House of my department's plans to call early tenders for new projects funded under the Labrador Transportation Initiative Fund for the 1998/1999 construction season in the amount of $28 million. Together with a carry-over of $8 million on projects tendered previously, the total expenditure on the Trans Labrador Highway next year will be $36 million.

The projects includes the continuation of upgrading on the road between Happy Valley - Goose Bay and Labrador West and the beginning of construction of a coastal highway between Red Bay and Cartwright. The start of construction on the coastal highway is subject to the necessary environmental approvals being in place by the start of next years construction season. Tenders for this particular project will not be called until the approvals are in place.

The projects to be carried out under this Labrador Transportative Initiative Fund reflects the priorities established by government for construction of Phase 1 and Phase II of the Trans Labrador Highway. On April 3, 1997 government committed to completing Phase 1 between Happy Valley - Goose Bay and Labrador West in three years and Phase II between Red Bay and Cartwright in six years. The projects I am announcing today demonstrates that government is committed to achieving this objective.

Tenders for three projects between Churchill Falls and West Wilson River will be called immediately, while tenders for the fourth project from Churchill Falls West towards Wabush, approximately 42 km, will be called later this winter. Tenders for the project between Cartwright and Paradise River will be called by early spring when we expect to have the necessary environmental approvals in place and the pre-engineering completed for the project.

For the information of Honourable Members I have listed each project separately.

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Labrador Transportation Initiative Fund

NEW PROJECTS: $ 28.0 MILLION

1. Upgrading Trans Labrador Highway from West Wilson River to West Metchim River, approximately 28 kms.

2. Upgrading Trans Labrador Highway from West Metchim River to Churchill Falls, approximately 55 kms (Note: to be tendered, as two contracts; one approximately 21 kms and the second approximately 34 kms).

3. Realignment of Twin Falls Intersection and placement of a crushed granular surface from Churchill Falls towards Wabush, approximately 42 kms.

4. Construction of new highway from Cartwright to Paradise River, approximately 31 kms. (Note the start of this project is subject to environmental approvals).

PROJECTS PREVIOUSLY TENDERED - $ 8.0 MILLION

1. Upgrading Trans Labrador Highway from Upper Brook to Pope=s Hill, approximately 30 kms.

2. Upgrading Trans Labrador Highway from Bob's Brook to Cache River, approximately 38 kms.