Prince Edward Island releases largest ever capital budget estimate

The government of Prince Edward Island has put forward its largest ever capital budget.

Over $308 million, the total spending estimate for P.E.I.’s 2022-2023 capital budget.

That’s almost a quarter more spending than the last budget.

“It’s the time to invest, and we’re going to continue to invest,” said Minister of Finance Mark McLane. “Especially with the population growth and the pressures that it creates for us.”

The biggest item is $64 million in construction and repairs for the Department of Social Development and Housing, alongside a commitment to create 365 additional social and affordable housing units.

The message from the opposition was clear.

“This is the opportunity that government had to be bold and decisive, in their own words, but honestly it’s nibbling around the edges, said Hannah Bell, P.E.I. Green Finance Critic. “It’s a status quo budget.”

Bell says 365 new units isn’t enough to meet the province’s housing needs.

“Government has a long way to go to fill that gap,” said Bell. “I understand the cost is there, but again, they’ve had all these years to make that investment but haven’t. So, absolutely, I’m happy to see something is better than nothing, but we can’t pretend that this is fabulously going to fix stuff.”

The newly announced spending has nearly tripled the capital cost estimate for the Department of Social Development and Housing, from $23 million to $64 million.

“We have to invest in a lot of issues. We can’t just, you know, it’s important that we invest in infrastructure, and education, and health care," said McLane. “They touch every Islander, so it’s important that we invest in all those areas.”

Other big-ticket items include $50 million on highways, bridges, and active transport, and $47.5 million for construction and renovations at island school.

With a focus on roads, schools, and health care, it’s a fairly typical capital budget.

However, with the province set for an election in 2023, this is the last capital budget this government will have before Islanders go to the polls.