In a significant move for the region’s economic landscape, the City of Calgary and Rockyview County have entered into a memorandum of understanding (MOU) aimed at expediting the Prairie Economic Gateway project. Announced on Tuesday, the agreement, which includes collaboration with the Canada Infrastructure Bank (CIB), is designed to transition the initiative from the design phase to actual construction, promising to transform a sprawling area into a vital logistics hub.
Transforming the Landscape
The Prairie Economic Gateway, set to span an impressive 1,300 acres near 114 Avenue S.E., is envisioned as a state-of-the-art inland port. Once completed, it is projected to become one of the largest trade, logistics, and manufacturing centres in Canada, vitalised by the Canadian Pacific Kansas City (CPKC) rail network. This ambitious project reflects a broader regional collaboration between Calgary and Rockyview County, signalling a commitment to enhancing the area’s economic potential.
Oyin Shyllon, the city’s project manager for the Prairie Economic Gateway, expressed the significance of the new agreement, stating, “This is about moving from regional potential into coordinated action.” He underscored the importance of this step in bringing the project closer to reality, highlighting the momentum it generates for Calgary’s economic future.
Infrastructure Investments
The MOU establishes a framework that enables all parties to examine the commercial, technical, and financial feasibility of the necessary public infrastructure to support future development. Ben Manshanden, Rockyview County’s manager of intergovernmental services and economic development, remarked on the CIB’s role, describing it as “the gold standard of due diligence” that provides the assurance needed for progress.
Calgary Mayor Jeromy Farkas hailed the agreement as a crucial advancement towards securing infrastructure investments that will facilitate new trade and industrial development. This infrastructure is projected to be constructed between this year and 2031, with essential projects including water, wastewater, stormwater management, and road improvements.
The City of Calgary has outlined initial projects, including a stormwater trunk expected by 2028 and a 10.6-kilometre feeder main slated for completion in 2029. However, the timelines for road enhancements along 114 Avenue and Glenmore Trail are yet to be confirmed. These off-site infrastructure developments are anticipated to incur costs, with a portion expected to be borne by local taxpayers, though specific figures will only be revealed during the upcoming city council budget discussions in November.
Economic Impact and Job Creation
Officials project substantial economic returns from public investment in the Prairie Economic Gateway. Estimates suggest that the project could generate over $7 billion in economic activity and create upwards of 30,000 jobs in the Calgary region over the next decade or so. Shyllon noted, “Every dollar invested is expected to yield at least $8.90 in private investment. It is the catalyst that initiates further development.”
The Calgary Chamber of Commerce welcomed the announcement, anticipating that the logistics hub will alleviate ongoing supply chain bottlenecks. Ruhee Ismail-Teja, a representative from the chamber, highlighted how nearly 40 per cent of its member businesses have been affected by supply chain disruptions, with some reporting that these issues hindered their growth.
“There has been a persistent challenge in supply chains that we initially thought would ease post-pandemic,” Ismail-Teja observed. “Now, having a concrete plan to tackle these structural issues is pivotal for our progress.”
Future Phases and Development
The timeline for the first phase of the Prairie Economic Gateway aims for operational readiness by 2031, with groundwork for the enabling infrastructure expected to commence next year. The city has indicated that future phases of the project will depend on market demand and uptake.
In February 2025, both councils from Rockyview County and the City of Calgary approved a deal structure and statutory plan for the project, laying the groundwork for this transformative initiative.
Why it Matters
The Prairie Economic Gateway represents a strategic investment in Calgary’s future, promising to reshape the region’s economic landscape. As the project progresses, it is poised to not only address current supply chain challenges but also create thousands of jobs, bolster local industries, and enhance Calgary’s competitiveness on a national and international scale. This initiative marks a pivotal moment for the area, as it stands to unlock new avenues for growth and collaboration, ensuring a robust economic future for the community.
