Prime Minister Carney announces ambitious new plan to defend, build, and transform the North

Press Release + Noah Note

March 12, 2026

Yellowknife, Northwest Territories

Canada’s North is going through a period of profound change. The world is becoming more dangerous and divided. The assumptions that shaped decades of Canadian defence and security are being upended. Climate change is causing our Arctic region to warm nearly three times faster than the global average, a shift that great powers are actively looking to exploit.

For decades, previous Canadian governments have taken measures to build and secure the North. But these lacked the scale and the breadth of strategy that this vast region demands. Canada’s new government has the ambition and capacity to do this, and Prime Minister Carney is acting with our Territorial and Indigenous partners to seize the opportunity. We are moving forward with a comprehensive plan backed by over $40 billion, including more than $35 billion in federal investments to defend, build, and transform Canada’s Northern and Arctic region, and major projects that represent around $10 billion in investment.

Canada is moving from reliance to resilience. We will no longer depend on any one nation, and instead build a stronger, more independent country. With this new plan, Canada is taking full responsibility for defending our Arctic sovereignty. We will boldly develop the critical minerals, clean energy, and trade corridors – the full economic potential – of the region. At the centre of this plan are the 140,000 Northerners and Indigenous Peoples who will have stronger, more sustainable, more connected communities, greater opportunities, and a lower cost of living.

To these ends, the Prime Minister, Mark Carney, today announced the following new measures, backed by generational investments.

To defend fully Canada’s Arctic and North, deter new threats, and support NATO Allies and NORAD continental defence, Canada’s new government is:

Investing $32 billion at Forward Operating Locations in Yellowknife, Inuvik, and Iqaluit, and at Deployed Operating Base 5 Wing Goose Bay.

This will also build both military power and economic strength. It will enable the Canadian Armed Forces to defend the Arctic without the help of Allies, allowing Canada to take control of our Arctic security. This includes infrastructure upgrades such as airfield upgrades; new or repurposed hangars; ammunition and fuel facilities; and buildings and equipment for accommodations, warehousing, IT, and general support.

Announcing two new Northern Operational Support Hubs (NOSHs) at Whitehorse and Resolute, and two new Northern Operational Support Nodes (NOSNs) at Cambridge Bay and Rankin Inlet, backed by an investment of $2.67 billion.

This network will enable the Canadian Armed Forces to deploy rapidly and support year-round response across the Arctic and North, no matter how remote.

Investing $294 million in Arctic airports, including building a runway overlay and modernising Rankin Inlet Airport and upgrading Inuvik Airport.

This will ensure larger aircraft can land, connecting Northern communities to the rest of the country year-round to enable faster, more convenient, and lower-cost travel for both the military and civilians.

To connect, build, and transform Canada’s Arctic and Northern region, Canada’s new government is referring the following projects to the Major Projects Office:

The Mackenzie Valley Highway

This 800 km-long highway will become a vital artery for the region, providing essential year-round access to Indigenous and remote communities in the Mackenzie Valley, building on an initial federal investment of over $100 million.

This road will connect Yellowknife to Inuvik, and open up commercial opportunities along the route.

The Grays Bay Road and Port and the Arctic Economic and Security Corridor

These projects will connect Nunavut to the national highway system via the Northwest Territories and become Canada’s first overland connection to a deepwater port on the Arctic Ocean.

Together, these projects will connect strategic mineral deposits to national road networks and tidewater – linking Canada’s North to new global markets and ensuring reliable access to Canadian minerals.

The Grays Bay Road and Port is a proposed all-season road of approximately 230 km from the Nunavut border to a deepwater port and airfield at Grays Bay, on the strategic Arctic Ocean. The project includes a deepwater export terminal for minerals and an airstrip, which will both have dual-use civilian and military potential.

The Arctic Economic and Security Corridor project is a proposed all-season road of approximately 400 km through the Slave Geological Province to the Nunavut border, where it will connect with the Grays Bay Road.

Collectively, these projects will build the infrastructure required to advance potential copper, gold, and zinc mining projects, and support increased mining exploration activity.

Taltson Hydro Expansion Project

This will add 60 megawatts to the existing hydro system, doubling the Northwest Territories’ hydro capacity and serving 70% of residents.

From day one, Canada’s new government has embarked on a mission to defend and build Canada’s North. During his first week in office, Prime Minister Carney announced a new plan to establish a stronger presence in the Arctic through BOREALIS, advancing cutting-edge research in artificial intelligence, quantum computing, and other frontier technologies, while getting more boots on the ground.

Today, the Canadian Armed Forces maintain a permanent presence in the Arctic and the North, including through Operation NANOOK. The government is already accelerating major projects such as the Iqaluit Nukkiksautiit Hydro Project and the Northwest Critical Conservation Corridor, and we have made significant investments to build local infrastructure and empower Northerners and Northern Indigenous communities with better housing, education, and access to health care.

Canada cannot rely on another country for our security and prosperity. By working in partnership with Territories and Indigenous partners to build out the full potential of a united, connected Northern region, we can give ourselves more than any one nation can take away. With this ambitious new plan, Canada is taking control of its future and building a stronger, more independent country.

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Quotes

“After decades of limited and piecemeal investments in the North, Canada’s new government is acting with a scale of ambition worthy of this vast region and its peoples. We are securing every corner of this terrain, unlocking its vast resources, and delivering the strong, connected network of communities that Northerners deserve. In this new era, we cannot rely on other nations for our security and prosperity. We are defending and building together, the true North, strong and free.”

The Rt. Hon. Mark Carney, Prime Minister of Canada

“These investments will continue to build the Defence team’s presence and responsiveness across the Arctic and the North, reinforce our ability to assert Canadian sovereignty, support community benefits where feasible, and contribute to NATO’s deterrence and defence priorities. Furthermore, Canada’s efforts to modernise our continental defences demonstrate our commitment to enabling the North American Aerospace Defense Command and the Canadian Armed Forces to defend against emerging threats to North America.”

The Hon. David J. McGuinty, Minister of National Defence

“We are at a turning point where national security, energy sovereignty, and economic independence meet. In an era of increasing global instability, Canada’s Arctic – and the vast deposits of critical resources and energy it holds – is vital to our future in partnership with the territorial governments and Indigenous Peoples. Today’s announcement is a strong step toward ensuring that Northern regions and resources will be the gateway to a secure, sovereign, and prosperous future for all Canadians.”

The Hon. Tim Hodgson, Minister of Energy and Natural Resources

“A competitive Canada and a secure Arctic depend on our ability to move people and goods safely and reliably across our vast North. Through the Arctic Infrastructure Fund, we will work with Indigenous Peoples, governments, and industry proponents to build the dual-use airports, seaports, and all-season corridors essential to reinforcing Canada’s supply chain resilience and opening new gateways to the world. These investments do more than bolster our security; they bridge the gap between our Northern potential and global markets, securing lasting prosperity from coast to coast to coast.”

The Hon. Steven MacKinnon, Minister of Transport and Leader of the Government in the House of Commons

“Today’s investments are about building a stronger future for the Northwest Territories and Nunavut, along with communities across the North and Canada. We’re working with local partners and Indigenous Peoples to advance projects that will create jobs, secure the Arctic, and strengthen critical infrastructure. By unlocking the North’s potential, we’re turning challenges into opportunities and building a more prosperous future, together.”

The Hon. Rebecca Alty, Minister of Crown-Indigenous Relations

“The Arctic’s strength, potential, and identity shape who we are as a nation. By bolstering defence capabilities and strengthening critical infrastructure, we are amplifying the leadership, innovation, and momentum already driving the region forward – and building a stronger, more secure Canada. These investments honour the leadership of Indigenous partners and contribute to our shared vision of a strong, connected North.”

The Hon. Rebecca Chartrand, Minister of Northern and Arctic Affairs and Minister responsible for the Canadian Northern Economic Development Agency

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Quick facts

Today’s announcement builds on government investments in defence, infrastructure, and Northern development to strengthen and secure Canada’s presence in the Arctic and unleash the North’s economic potential. These include:

• Streamlining major projects that will create approximately 11,000 jobs during construction.

• Investing $6.5 billion in a new Arctic Over-the-Horizon Radar system, in partnership with Australia, to enhance early warning and surveillance across Arctic approaches.

• Investing over $1.3 billion across multiple Northern infrastructure programs – supporting trade corridors, airports, marine safety, and community harbours – and leveraging more than $1.6 billion from partners to strengthen transportation and marine infrastructure in Arctic and Northern communities.

• Investing $1 billion through the Arctic Infrastructure Fund for strategic transportation infrastructure for both civilian and military use – to strengthen Canada’s Arctic security and year-round defence readiness.

• Dedicating approximately $420 million to strengthen the year-round presence and operational capability and capacity of the Canadian Armed Forces in the Arctic and the North.

• Providing over $253 million to support energy projects, build and repair housing, and develop local infrastructure in Nunavut.

• Streamlining, through the Major Projects Office, infrastructure that supports Arctic sustainability and resilience, including the Iqaluit Nukkiksautiit Hydro Project – a 100% Inuit-owned clean power initiative that reduces diesel dependency and strengthens community resilience in Nunavut.

• Investing $30 million in top-up funding for Nutrition North Canada to make nutritious food and essential items like diapers more affordable in 124 isolated Northern communities by subsidising the cost of shipping.

• Providing an additional $6.3 million through the Northern Isolated Community Initiatives Fund to support businesses, community groups, and innovators working on community-led food initiatives that benefit local production systems and increase food security in Indigenous communities and across the North.

• Renewing the Inuit Child First Initiative with $115 million in funding to help Inuit children access health, social, and educational support.

• Investing $27 million to combat tuberculosis through better prevention, screening, diagnosis, and treatment in Inuit Nunangat, in partnership with Inuit Tapiriit Kanatami.

• Delivering 750 units of public, affordable, and supportive housing across Nunavut, including housing built off-site, in partnership with the Government of Nunavut and Nunavut Tunngavik Incorporated, to address the territory’s critical housing shortage while advancing Inuit self-determination in housing delivery.

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Noah Note: ​Our report yesterday was largely accurate—missing a few things, but generally on point. The vast majority of these funds being allocated is coming from the general $38.6 billion NORAD Modernization pool first set out in 2022; more specifically, the NORAD Northern Basing Infrastructure (NNBI) Initiative.

​These investments will include airfield improvements, new and/or repurposed hangars with aprons and taxiways, ammunition compounds, fuel facilities, and accommodations, warehousing, multi-purpose facilities, information technology, and support equipment, as we said on the Q&A either this week or last.

​It isn't the only pool being tapped into, though. Both the Inuvik and Rankin Inlet airport upgrades will be supported through the Arctic Infrastructure Fund instead of NORAD modernization. Further investments through the Major Projects Office are not specified.

​So, it isn't $40 billion in new funding; however, these investments do represent several billion in new investments and will drive NORAD modernization towards the $50 billion mark at the least. Overall, these are very significant commitments with ambitious timelines to match.

​Most aren't necessarily surprising. We knew that further NOSHs, including Whitehorse, were going to be coming eventually. It was also expected that Cambridge Bay would be one of the NOSNs, as we discussed yesterday. Overall, the bulk of the announcement is less "new" and more official commitment to the plans already in place.

​That isn't bad, mind you. Moving plans into funded realities is an important step in building infrastructure. This announcement also commits significantly more over the original 20-year period than last year's announcement by then-Minister Blair.

​Chief among the announcements, though, is the Major Projects—at least to me. The commitment to both the Mackenzie Highway and the Arctic Security Corridor (technically a bump up) is a major step towards building out the spines of a proper Arctic road network.

​To quote myself from yesterday… the inclusion of both the Grays Bay Road and Mackenzie Highway expansion to the Major Projects Office would be a substantial commitment at a time when infrastructure across the North is currently undergoing a major collapse on a scale that we've never seen.

​I wrote about it a few months ago, but it's always good to reiterate the current situation up north. The Mackenzie River is failing; its waters are slowly decreasing to the point that the barge season was only barely able to be completed last year, and the year before was heavily restricted.

​Hundreds of thousands of existing kilometers of ice roads are at threat of being rendered infeasible for use, risking the supply of dozens of isolated communities in Canada’s North. Of course, you can read more details in my post above; however, it always bears repeating that existing infrastructure is crumbling.

​These two highways won't fix that—not by a long shot—but they'll provide a central spine upon which Canada can continue to build in the future. They will serve as significant corridors of interconnective trade between Canada’s North and South, while further providing the CAF with permanent infrastructure they can utilize in supplement to existing infrastructure that is, again, at severe risk.

​The loss of the Mackenzie River and the railway up to Hay River have created severe complications for the CAF in resupplying and supporting operations in the Arctic, forcing supplies onto the limited infrastructure in the form of the Dempster Highway or via much more complex, limited airlift. That, or traveling around Alaska.

​So, expanding multiple nodes on interconnected highways is a major need, not just for our security, but for supporting further economic and human development in Canada’s Arctic. It represents the bulk of what I consider the major commitments here.

​That isn't to insult $30+ billion as mundane or insignificant; however, we knew this money existed, these investments were coming, and generally what would be included. They aren't really announcing much new here, even if they are significant investments.

​Of course, I would love to see more details on the plans and what exactly is being planned. We do have a general idea, but I would love some GRAPHICS. I love graphics—a lot. I wish we got more of them than we did.

​Either way, this is a decent way to kick off a Nordic trip by going in with commitments to Canada and NATO’s Northern front. Prime Minister Carney will be heading to Norway tonight to observe the Norwegian-led NATO Exercise Cold Response. No major announcements are expected.