The entire train and dedicated rail line in the CPKC Rail corridor is being funded by a public-private-partnership (P3). This approach to infrastructure funding is being supported by the federal government and the federally owned Canada Infrastructure Bank (CIB) so all levels of government are not required to provide the upfront capital and bear the risks associated with this investment.
Up to 50% of the capital funding required to build CABR is projected to be provided by the CIB over 50 years at a low interest rate (1% pa at the time of the MoU between Alberta and CIB). The remaining capital costs will be financed by the proponents (Liricon/Plenary) through equity and debt at commercial rates.