We see multiple large transportation and energy projects offsetting the oil and gas downturn and the long anticipated slowing in the residential sector. The message is slow but steady growth.
Toronto, ON (PRWEB) December 30, 2015
(December 30, 2015, Toronto) – Major infrastructure investment will help steady the industry in Canada in the new environment of low oil and low commodity prices, and a lower-value loonie.
Overall, the industry will adapt to reduced investment in oil and gas and lower economic expectations, according to BTY’s annual Market Intelligence Report on construction costs across Canada.
The anticipated uptick in activity driven by planned federal, provincial and municipal infrastructure investment will help bolster workloads and foster healthy competition in the marketplace. There should also be increased demand for skilled trades, due in part to a large number of retiring workers, but this will vary by region and sector.
“The Canadian construction industry has demonstrated time and again its ability to adapt to shifts in demand from sector to sector,” said Joe Rekab, Managing Partner at BTY.
“We see multiple large transportation and energy projects offsetting the oil and gas downturn and the long anticipated slowing in the residential sector. The message is slow but steady growth."
Ontario will see sustained, substantial horizontal and vertical infrastructure spending coupled with healthy residential and commercial construction. Alberta and Saskatchewan have committed to sizeable increases in infrastructure investment to offset sharply reduced activity in the oil and gas sector, while BC’s strong residential and commercial sectors will maintain momentum as mega-projects in hydro, natural gas and airport and port infrastructure get underway. Quebec will also see continuing investment in major transportation and healthcare infrastructure as well as multibillion-dollar mining and energy projects.
In the U.S., new legislation for longer-term federal spending commitments and programs for supporting P3 procurement for transportation and wastewater treatment plants promises to prime the pump for continued P3 growth. Internationally, the use of P3 procurement for infrastructure projects also continues to expand, with activity shifting from mature markets across Europe to emerging markets in the Middle East, Africa and Central Asia.
BTY, a pioneer in Canada in developing services that support P3 project success, has been providing this expertise for a wide range of U.S. as well as Turkish projects. Over the past three years, the firm has been involved in 20 different projects in 14 states in the United States. Of these, seventeen have been in transportation and three in social and health infrastructure. Over the past 18 months, BTY has been assisting the national Ministry of Health and project sponsors in developing P3 healthcare projects across Turkey. BTY is currently providing Lenders’ Technical, Environmental and Social Advisory services on three major healthcare campuses in Turkey.
BTY has been publishing its annual industry review of construction cost forecasts across Canada since 2003. Over the years the Market Intelligence Report has earned a reputation in the development, property and finance communities for crucial insight on factors behind the changing marketplace and reliable unit-rate cost projections for the coming year.
A full copy of the report can be accessed on BTY’s website at http://www.bty.com.
BTY is a global leader in cost and risk advisory services for clients who design, build, finance and operate real estate and infrastructure assets. In business for more than three decades, the firm services regional markets across Canada, the United States and Turkey.
For more information, please contact Saira Muzaffar, Director, Marketing & Communications
T: 647-887-2972 | E: sairamuzaffar(at)bty(dot)com