Calgary infrastructure improvement, maintenance costs total $5 billion

The City of Calgary’s Capital Infrastructure Report was presented to the Audit Committee Thursday, showing the true cost of the city’s infrastructure.

Infrastructure services general manager Michael Thompson told committee members they should expect an ask of $5 billion annually come fall, the total needed to clean up all of Calgary’s poor infrastructure and also keep things running.

“Budget that out, along with the maintenance of what we own right now, it will pencil out to approximately be $5 billion,” Thompson said. “We are doing that work right now, I am letting you know, that’s where it’s going to be.

“For our city of our size, for our asset bases and the growth we have, we need to be spending about $5 billion a year going forward”

The 2026 budget shows the city is currently spending $3.8 billion a year on capital infrastructure. Just a few years ago, that figure was at $1.1 billion.

The new ask will mean Calgary needs to find an extra $1.2 billion annually.

Thompson says the idea of risk has shifted since the water main breaks.

“This isn’t a technical answer, it’s a very honest answer about how you field that risk, how we respond to that. Is everything on fire? No. We have a good system,” he said.

Administration says a full Capital Needs Assessment is coming in March, along with a 10-year rolling capital plan that will lay out what must be funded — and what risks Calgary may have to accept if it isn’t.