Happy Valley-Goose Bay, Newfoundland and Labrador - Department of National Defence / Canadian Armed Forces
Today, the Honourable Joanne Thompson, Minister of Fisheries, along with Philip Earle, Member of Parliament for Labrador, Newfoundland and Labrador, on behalf of the Honourable David J. McGuinty, Minister of National Defence, announced significant long-term investments at 5 Wing Goose Bay that may total up to $8 billion as one of Canada's NORAD northern basing infrastructure (NNBI) sites.
As part of this broader effort, the Government of Canada has awarded a $187 million (Energy Performance Contract) EPC to upgrade infrastructure at 5 Wing Goose Bay, Newfoundland and Labrador.
The 5 Wing Goose Bay EPC, awarded to MCW Custom Energy Solutions Ltd., will focus on modernizing the Central Heating Plant by replacing diesel systems with electric boilers, leveraging Labrador's clean hydroelectric grid for greener, more efficient energy. Additional upgrades will include enhancements to control systems and the installation of utility metering.
These upgrades are expected to reduce energy costs at the Wing by approximately $8.6 million annually, a 77% reduction, and lower greenhouse gas (GHG) emissions by roughly 19,000 tonnes per year, representing a 94% reduction from current levels. Construction will begin in May 2026, with completion anticipated by December 2030.
By modernizing its infrastructure to reduce its carbon footprint and real property operating costs, these EPCs contribute to the federal government's target of achieving net-zero emissions by 2050. The next three to five years will see an additional nine EPCs planned for award, representing over $650M in new investments.
The NNBI plan, valued at $32 billion, will include improvements to airfields, operational facilities, and support infrastructure at key northern sites, including Inuvik, Iqaluit, Yellowknife, and Goose Bay. NNBI will enable rapid mobilization to the Arctic and the North in support of NORAD missions and will provide additional capacity to support CAF operations. Planning is still in the early stages, though it is expected that each of these four sites will evolve over time. Where feasible, community needs will be considered as well.
Over the last year, the Government of Canada has moved at unprecedented speed and scale to deliver on its plan to rebuild, rearm and reinvest in the Canadian Armed Forces. As a result, Canada has delivered on a core objective of its plan - achieving the NATO 2% of gross domestic product (GDP) defence spending target this year, half a decade ahead of schedule. Beyond enhancing military readiness, Canada's historic defence investment is generating significant economic benefits - driving innovation, growing the defence industrial base, and creating long-term prosperity for Canadians.
Meeting 2% is not an end point - it is the beginning of a sustained, whole-of-government effort to rebuild the Canadian Armed Forces, restore operational readiness, and deliver the warfighting capabilities required to deter threats, defend Canada, and contribute to the defence of North America and international security. Over the next decade, Canada will deliver half a trillion dollars in defence investment, putting the country on a clear path toward meeting the new NATO Defence Investment Pledge of 5% of GDP by 2035. This sustained investment will also generate significant economic benefits for Canadians - driving innovation and growing the domestic defence industrial base.
The Government of Canada will advance this long‑term investment plan to strengthen defence and security, supporting a Defence Team that remains prepared, resilient, and reliable in an increasingly complex world.
