Ottawa Threatens to Withdraw $325M for Chignecto Isthmus Project

Federal ministers demand cost-sharing from Nova Scotia and New Brunswick to protect vital land link.

Federal ministers Sean Fraser and Dominic LeBlanc have warned that $325 million in federal funding for the Chignecto Isthmus project will be redirected if Nova Scotia and New Brunswick do not agree to share the $650-million cost.
The Chignecto Isthmus, a critical land connection between Nova Scotia and New Brunswick, is at risk from rising sea levels and severe tidal storms, potentially disrupting ground and rail transport.
Nova Scotia Premier Tim Houston has called for Ottawa to fully fund the project, arguing that the federal government has historically covered costs for nationally significant infrastructure.
Fraser criticized the Houston government's tactic of blaming Ottawa and pointed out that Nova Scotia had a budget surplus last year, suggesting the province could allocate funds for the project.
Legal proceedings initiated by Nova Scotia seek a court ruling on whether the federal government has exclusive responsibility for maintaining the dikes and structures protecting the Isthmus.