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This executive summary lays out highlights from the report聽Investing in the North: Enhancing Transportation Supply Chain Resiliency,聽written by Max Bell School聽Master of Public Policy聽students Fiorella Becerra, Maeve McGuire, Jillian Hayden, and Krystina Sorensen as part of the 2024 Policy Lab.

Access the summary and presentation below, and read their full report聽here.

While supply chain resiliency is an issue across Canada, it is especially critical to the socio-economic well-being of the Canadian North. The region鈥檚 150,000 residents depend on transportation networks for essential goods and services like infrastructure materials, healthcare, and food. However, the current Northern supply chain network lacks adaptability in the face of ongoing disruptions. Limited transportation options amid rising challenges like climate adaptation and threats to national sovereignty necessitate swift and decisive action to support the North. Without it, costly delays in getting key resources will hinder infrastructure development and impact communities鈥� growth and security.

Recognizing these nuances, TC has posed the following question: What can the Federal government do to ensure transportation supply chain resiliency in the Territorial North?

This policy brief aims to identify the gaps contributing to the North鈥檚 current transportation supply chain vulnerability and provide innovative yet actionable solutions. Through an extensive research and engagement process, we have identified four key findings:

1. The North has limited transportation infrastructure and redundancy: Most Northern communities rely on air transport due to topographic and climate challenges. While marine services also support communities鈥� access to goods and markets, they are only available for short summer seasons. The lack of redundancy in Northern transportation modes increases susceptibility to weather and infrastructure disruptions. Additionally, transportation services are more costly because there are only a small number of companies who will accept the risk of operating in remote corridors. This complicates government efforts to improve transportation supply chains and, by extension, the quality of life of inhabitants.
2. The North faces navigational uncertainties: Due to the lack of remote mapping and surveillance capabilities in the North, operators rely on outdated maps. Insufficient survey data exacerbates regional challenges like the dispersal of icebergs and fog level increases. As a result, planning and developing transportation routes are risky, causing delays, increased costs, and accidents. There is an urgent need to address these navigational uncertainties, as the North is expected to experience increases in shipping traffic.
3. There are additional barriers to climate adaptation in the North: Unreliable supply chains hinder timely adaptation to climate change. This includes addressing permafrost鈥檚 damage to infrastructure and implementing energy alternatives for long-term solutions. The region faces 鈥渆nergy inequality,鈥� with communities more likely to be diesel-reliant and disconnected from the national grid. These developments negatively impact communities and operators, who face increasing challenges in maintaining transportation infrastructure.
4. There are ethical and cultural challenges to achieving supply chain resiliency: When building capacities in the North, Indigenous communities must be centred as the focus. The exclusion of Northerners limits the capacity for economic reconciliation and self-determination. It also prevents the design of resilient infrastructure that reflects the region鈥檚 environmental challenges. Additionally, measures must be taken when expanding transportation options in the North to prevent increasing crime rates, especially for human trafficking. Programs must account for Northern Inuit women鈥檚 increased susceptibility to trafficking because of factors like language barriers, high rates of poverty, unstable housing, and elevated risks of physical and sexual abuse.

Together, these findings highlight the need to scale up existing infrastructure and position communities to address the immediate and future needs of the Northern transportation corridors. Thus, this paper presents three programmatic recommendations to TC:

1. Northern Air Gateway Improvement Initiative: This program targets critical airport infrastructure by reallocating existing funding in a meaningful supply chain capacity scale-up. Projects include routine airstrip and lighting maintenance, as well as dust control and emergency lighting to bolster safety and efficiency. The program also recommends a new grants and contributions process that ensures effective community engagement when fielding applications.
2. Arctic Response and Surveillance Enhancement: This program targets the navigability of Northern waters, incorporating new services and emerging technology to support community needs. To enhance surveillance capabilities, the program will formalize an Arctic Pilotage Authority, whose board comprises Northern Indigenous community members. It will also integrate Unmanned Aerial Vehicles (UAVs) into the region鈥檚 capabilities. To enhance navigability, the program recommends integrating multibeam and AI Alert systems into marine vessels. TC should collaborate with Northern Indigenous communities to ensure that mapping coverage through these technologies does not impede access to essential resources or harm their traditional livelihoods.
3. Prioritizing Northern Community Safety: This program targets the emerging vulnerabilities in supply chains, introducing new regulatory oversight to address human trafficking concerns and support ethical labour practices. This includes prescribing liability insurance coverage requirements for air services to comply with anti-trafficking measures. It also stipulates that transportation personnel be equipped with training to identify and respond to human trafficking incidents. Tailored real-time reporting mechanisms and educational campaigns underpin this program.

These programmatic recommendations are guided by one foundational principle, Indigenous reconciliation, and three supporting pillars that address supply chain resiliency. All programs must be pursued respecting Indigenous knowledge and practices, giving communities decision-making power to say when, how, and if they desire to execute any project. Three additional support pillars - risk management, climate adaptation, and capacity building - guide the implementation of the programs. These supports are necessary components of addressing Northern barriers to supply chain resiliency.

The recommendations in this report emphasize that TC must respond urgently to the immense challenges faced by Northerners. The region is a defining feature of Canada; the government must seize this moment and embrace comprehensive and innovative programs to support supply chain resiliency.

Download the full version of this report聽here.

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