$1.9 Billion Plan to Create, Maintain 20,000 Jobs
NOTE: A version of this release that includes audio, video and photographs is available at www.gov.ns.ca/news/smr/20090311001PRE.asp
About 20,000 jobs will be created or maintained over the next three years through one of the largest infrastructure programs in Nova Scotia's history.
The province will invest $1.9 billion through its Building for Growth provincial infrastructure plan, released in Halifax today, March 11.
Investment and job-creation initiatives in Building for Growth will be matched with strategic priorities, including: energy conservation; roads, bridges and highways; schools and information technology; safe, healthy communities; and tourism, culture and heritage.
"Building for Growth is designed to get people working and keep our economy growing," Premier Rodney MacDonald said. "Beyond the immediate benefit of jobs, we have strategically selected projects that will contribute to the long-term prosperity of our province, and improve the quality of life for Nova Scotians."
The plan has four objectives: to create and maintain jobs; to invest in strategic priorities; to maintain fiscal stability; and to help people get jobs.
The plan is estimated to increase household income by $900 million, and grow the economy by 3.7 per cent.
The $1.9-billion investment is estimated to create or maintain about 20,000 direct jobs, leading to more spending and indirect jobs in everything from restaurants to retail. Projects will be spread out over three years so workers can be hired and benefits felt provincewide.
Carol McCulloch, president, Construction Association of Nova Scotia, said industry is ready to respond.
"We are very concerned about a slowdown in private-sector investment at a time when the industry has been taking on apprentices and beginning to address our long-term demographic challenge," Ms. McCulloch said. "We believe investment that creates jobs around the province, as well as in a range of construction from roads and bridges to buildings and energy consumption, is appropriate and welcomed by the industry at this critical time."
The plan involves helping people create jobs through a $24-million training fund. The fund will be used to provide training and retraining targetted at individuals who want to work in infrastructure-related jobs or who have lost work as a result of the economic downturn. As well, regional information sessions will be held, and a new website, Buildingfornovascotia.ca, was launched today.
The premier said his commitment to fiscal stability is a central principle in this plan.
Increasing capital spending for Building for Growth will be limited to three years, with the debt being as affordable for the province in 2011-12 as it is today.
Economists calculate debt affordability based on the size of debt compared with the size of the economy. Since 2001-02, the province has improved this ratio from 46.8 per cent to 36.7 per cent. By 2011-12, this ratio is projected to be at or below 36.7 per cent.
As well, the province will no longer add to the total debt at the end of three years.
The premier said government will closely monitor what is happening nationally, in the U.S. and globally.
"We will continue to work with businesses, other levels of government, and individuals, to keep Nova Scotians working and our economy on track," he said.