Strengthening Ontario’s Airport System Through Provincial Leadership, Funding, and Planning

Written by
Carrie McEachran

Submitted by: Sarnia-Lambton Chamber of Commerce

Co-sponsored by: Chamber of Commerce Brantford-Brant, Tillsonburg District Chamber of Commerce, and the St. Thomas & District Chamber of Commerce.

Issue

Without provincial leadership, Ontario’s airports - especially smaller regional facilities seeking to restore or attract scheduled air service - face increasing financial risk, declining infrastructure condition, and loss of connectivity that undermines economic development, health services, and regional competitiveness.

Ontario does not have a dedicated provincial airport capital or operating assistance program for regional and community airports.

Provincial support is largely limited to remote and northern airports and ad-hoc eligibility through general economic development programs.

Regional airports must rely disproportionately on municipal property tax bases, limited federal programs with restrictive eligibility, and airport-generated revenues that are often insufficient for major capital needs. This approach contrasts sharply with other provinces and territories.

Without action, Ontario risks the gradual erosion of its regional airport network and the economic, social, and transportation benefits those airports provide.

A coordinated provincial role is essential to protect, stabilize, and grow Ontario’s airport system for the long term.

Background

The province has already acknowledged the importance of airports:

• The Southwestern Ontario Transportation Plan (Connecting the Southwest) identifies

airports as an integral component of a multimodal transportation system, supporting:

o Economic development and trade

o Emergency response and health services

o Regional and interregional connectivity

• The Plan explicitly committed to assessing airport activity and infrastructure to better understand their role in supporting people and goods movement across Southwestern Ontario.

These actions establish a clear policy foundation: airports are essential public infrastructure, not optional or discretionary assets.

The Southwestern Ontario Transportation Task Force Final Report (2023) goes further by recommending that the province:

• Support the sustainability of municipal and regional airports

• Encourage collaboration across federal, provincial, and municipal governments to address airport financial challenges

• Help identify new investment mechanisms and funding solutions

• Promote awareness of the economic and social value of airports

• Encourage efforts to attract and retain commercial passenger and freight air services

These recommendations implicitly recognize that municipalities cannot sustain airport infrastructure alone, particularly when airports deliver benefits that extend well beyond municipal boundaries.

The Province of Ontario has already laid the policy groundwork through the Southwestern Ontario Transportation Plan and the Southwestern Ontario Transportation Task Force. What is now required is implementation.

Comparator programs in other Provinces and Territories

Most other Canadian jurisdictions have accepted a clear provincial role in airport sustainability:

• British Columbia: BC Air Access Program provides consistent capital funding to community airports.

• Alberta: Community Airport Program supports infrastructure rehabilitation and safety improvements.

• Saskatchewan: Community Airport Partnership Program delivers provincial cost-sharing.

• Manitoba and Atlantic provinces: Provide operational and capital assistance recognizing airports as regional infrastructure.

• Northern territories: Treat airports as essential public transportation assets with sustained territorial funding.

Ontario’s absence from this list places its airports - and the communities they serve - at a structural disadvantage.

Recommendations

The Ontario Chamber of Commerce urges the Government of Ontario to:

1. Take a more active role in the funding, planning, and long-term sustainability of airports across Ontario, particularly regional and community airports.

2. Respond to findings and actions identified by the Ministry of Transportation (MTO) through the Southwestern Ontario Transportation Plan and the Southwestern Ontario Transportation Task Force and address the growing competitiveness gap between Ontario and other Canadian

provinces and territories.

3. Align action with existing provincial policy and national best practices by formally recognizing

regional and community airports as critical provincial transportation infrastructure and establish

a dedicated provincial airport support program focused on capital projects, asset preservation

and rehabilitation, and readiness for scheduled passenger and cargo service.

a. This program should be designed to reflect the shared jurisdiction and shared benefits

of airport infrastructure, leveraging cost-sharing partnerships between provincial,

federal, and municipal governments, as well as opportunities for private-sector

participation where appropriate.

4. Review and expand existing provincial economic development programs in Southern Ontario

to ensure regional and community airports are consistently eligible for funding - similar to

supports available in Northern Ontario - and consider enhancing these programs to provide

more predictable and accessible funding streams for airport infrastructure and service

development.

Become a Member

Join the people who get things done. We are the hub for business communication and collaboration. Your membership provides you with a connection to local businesses, events, seminars, and member exclusive deals. We invite you to enjoy all that we have to offer.