Yukon, N.W.T. leaders react to Carney's new budget
Nov 6, 2026
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After decades of waiting, the Mackenzie Valley Highway
in the Northwest Territories is one step closer to becoming a reality.
The federal government has committed
to funding the project in its latest budget.
The long-awaited project would connect
more communities in the Sahtu region
to the territory's year-round road network.
Sahtu MLA Danny McNeely says the highway has
been talked about for decades,
and with warmer winters making ice roads less reliable,
year-round access is becoming increasingly important.
Endless happiness.
For this news, it's long in coming,
we had indicators that looked and sound positive,
but the final proof in the pudding is in the budget
and that being released, I'm just overwhelmed.
The highway could also make it easier to transport goods,
travel between communities, and create local jobs.
But McNeely says communities need to prepare, including training young
people for construction opportunities and planning access roads.
The budget also proposes more than $929 million to replace
and upgrade aging electricity infrastructure in northern communities.
That's good news for the Mayo Hydro Facility in the Yukon
and the Atlin Hydro Expansion Project in northern B.C.
Whitehorse's two power centers will
also receive funding through the Build Communities Strong Fund.
That's a multi-billion dollar pool
that supports infrastructure investment.
Yukon's premier has emphasized that improving the power system
in the territory was his number one priority.
That's why we've seen Minister Lakey off to energy meetings,
whether it's in Calgary,
Toronto or Ottawa, meeting repetitively with the federal government.
I think the feds probably got a little bit bored
with us eventually because every time
we meet with them, we tell them the same thing over
and over again, that power was their
number one thing.
Obviously, we have a number of other priorities
and important investments that are needed
in Yukon, but none of them are possible without power.
And so we've tried to impress upon the federal government that,
and it looks like our message
has gotten through.
The federal budget also sets aside funding
to protect wild Pacific salmon in Yukon and British Columbia.
Also in the federal budget, a proposed funding boost
for a program supporting Inuit children and families.
Ottawa wants to extend the Inuit Child First initiative for five years,
with more than $600 million in additional funding.
The program helps Inuit families access health and education supports,
including nutritious food.
But food vouchers were cancelled in 2025, and advocates warned that
losing the initiative altogether could trigger a humanitarian crisis.
It's unclear whether the vouchers would
return under the proposed extension.
The funding still needs parliamentary approval.

