Published On: Tuesday, 07 March 2017
Provincial Infrastructure Incentive Program Stimulates Economy
BC - The Province will stimulate economic growth and job creation through another instalment of the Infrastructure Royalty Credit Program (IRCP).
The program encourages new private-sector investment with up to $120 million in royalty credits available in the 2017 calendar year for industry to build new or upgraded all-season roads and pipelines.
Investments made as a result of the program stimulate economic activity, create jobs and facilitate growth in British Columbia’s petroleum and natural gas sector. Infrastructure built improves access to new or underdeveloped resource areas, giving operators easier access to the province’s vast natural gas resources, effectively increasing British Columbia’s capacity to supply energy to growing markets via the development and operation of a liquefied natural gas (LNG) export industry.
Under the IRCP, a company must fully fund and complete an approved infrastructure project and then they can apply to recover up to 50% of the project’s costs. This approach uses a portion of royalty revenue to support development without a direct expense to government.
Companies can apply for the latest instalment of IRCP until April 21, 2017. Applications will be ranked according to their potential benefits, with approval going to the projects demonstrating the highest economic advantage to British Columbia.
The program was created in 2004 and is unique in North America. It has supported the development of over 235 new or upgraded all-season roads and pipeline projects since its first instalment – a total capital investment of more than $2.7 billion.
The Request for Applications information can be found at the following link.