Manitoba has initiated a 90-day feasibility study into a plan to shift freight rail traffic away from Winnipeg’s urban core onto a corridor that runs along Manitoba Hydro land, officials said Wednesday. The review, led by former federal cabinet minister Lloyd Axworthy, will analyse whether redirecting rail lines could improve goods movement, reduce disruption for residential areas and free up land for housing, green space and economic projects.
Scope and rationale
The province argues the proposal offers a tangible route for rail relocation that avoids extensive expropriations by using Crown-owned property along a utility corridor. Manitoba has more than 240 kilometres of active rail lines within the city and sees about 50 trains pass through Winnipeg each day, figures that underline the scale of any relocation effort.
Premier Wab Kinew framed the proposed work as a long-term investment rather than a short-term fix, emphasising that the project would be staged over decades if it proceeds.
“The most important number for Manitobans to think about today is that this is a 20-year idea,”
He added that the price tag would be significant, with previous estimates for moving Winnipeg’s rail network placed at well over $1 billion. The premier said that framing the cost across a long timeline makes the investment more manageable.
Leadership and next steps
Lloyd Axworthy will lead consultations and technical work for the next three months to determine whether the proposed southern route is technically and economically viable. Axworthy noted the advantage of a concrete route already being identified and suggested co-location with an existing utility corridor offers practical benefits.
“We can come to Winnipeggers with a very clear concept.”
The study builds on broader relocation work Axworthy was asked to lead in 2024, but this iteration focuses specifically on the corridor-aligned proposal and the fact it is Crown-owned land, which could streamline land assembly.
Costs, timelines and context
Moving rail infrastructure out of urban centres has long been discussed in Winnipeg; the idea dates back to the 1960s. Officials caution that any relocation would be complex and costly. The government has been transparent that the project is a multi-decade undertaking rather than an immediate switch.
- Study length: 90 days
- Existing active rail within Winnipeg: 240+ kilometres
- Average daily trains through the city: ~50
- Estimated relocation cost (prior): well over $1 billion
- Planning horizon cited by premier: 20 years
In 2016, a provincial NDP government committed to a separate study, allocating $400,000 for initial analysis; the current work is positioned as the next, more focused step amid growing interest in the potential to repurpose urban rail land.
| Metric | Value |
|---|---|
| Active rail within Winnipeg | 240+ km |
| Trains per day (average) | ~50 |
| Study duration | 90 days |
| Prior cost estimate | Well over $1 billion |
Implications for railways, residents and development
Major rail operators have previously warned that relocating lines through or around cities is a “sizeable undertaking.” For freight carriers, shifting alignments can mean new routing agreements, infrastructure investment and potential operational disruption during any build phase. For residents, a successful relocation could lower noise, reduce at-grade crossings and unlock sizeable parcels for housing and amenity space.
For the provincial government, the exercise is as much strategic as it is technical: it tests whether a workable, less contentious alternative exists to decades-long debates over rail in the city. The coming 90 days will determine whether the southern Manitoba Hydro corridor is feasible as that alternative and what trade-offs — cost, time and operational impact — would be involved.
Officials and stakeholders will watch the study closely. If it yields a positive assessment, the next phases would likely involve detailed engineering, formal negotiations with rail companies and federal regulators, and a much larger capital plan spread over years.