Developers behind a proposed $2.6 billion hydrogen-powered passenger rail connecting Calgary’s airport to Banff National Park submitted their application Tuesday to the federal government’s Major Projects Office, seeking fast-track approval for what they describe as nation-building infrastructure.
Liricon Capital and Plenary Americas presented their Calgary Airport to Banff Rail proposal to the federal agency established by Prime Minister Mark Carney to streamline major project approvals and funding on December 3.
“We can’t help but be optimistic it’ll be selected — it checks off the boxes, has so many benefits not just for the communities along the route but for the country,” said Jan Waterous, managing principal of Liricon Capital.
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The 150-kilometer rail line would run along the existing CPKC freight corridor with seven stations: Calgary International Airport, downtown Calgary, Stoney Trail at Trans-Canada Highway, Cochrane, Morley (Stoney Nakoda First Nation), Canmore, and Banff.
Under the financing plan, developers would provide $1.5 billion with Canada Infrastructure Bank support, while the Alberta government would fund the remaining $1.1 billion for the airport-to-downtown segment. The province has not committed funding.
Developers propose fares of $20 for Alberta residents and $40 for others traveling from Calgary Airport to Banff. If approved, construction could start in 2028 with service beginning by 2030.
Calgary Mayor Jeromy Farkas, elected in October, supports the initiative as both an economic driver and commuter benefit. “It’s not just for visitors to Calgary to hop on a train, go downtown, see our amazing city, and then go on to the mountains,” Farkas told CBC News. “It’s also a benefit for commuters in Calgary to be able to get to the airport and to work.”
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However, Alberta Transportation Minister Devin Dreeshen remained noncommittal. “It’s still very early,” Dreeshen said, citing necessary consultations with municipalities and First Nations.
The previous provincial government under Premier Jason Kenney declined to fund the proposal. Current Premier Danielle Smith has expressed support as part of efforts to boost Alberta tourism to $25 billion annually by 2035.
Since launching in August, the Major Projects Office has approved 11 infrastructure projects for fast-tracking, including mining, nuclear energy, and LNG facilities. None are in Alberta, though Ottawa signed an agreement last week to expedite an oilsands bitumen pipeline to British Columbia.
The federal office declined to comment on the Calgary-Banff submission.
Waterous suggested federal approval could encourage provincial commitment. “Our hope is that should this project be approved by the Major Projects Office, that this would provide the province with further comfort that we’re serious and that this project could actually get built,” she said.
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Joe Pavelka, a Mount Royal University professor of ecotourism, said the rail could alleviate traffic congestion at Banff National Park, which receives over four million visitors annually. “That’s going to have a very positive impact for Banff and for the entire Bow Valley,” Pavelka said.
Environmental groups have raised concerns about potential wildlife deaths from train collisions. Developers have pursued the project through various planning stages since 2019, when Banff released a feasibility study examining mass transit options for the corridor.
Regular passenger rail service between Calgary and Banff ended nearly 30 years ago.
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