The Government of Canada has committed CA$1.95 billion to renew long-distance, regional and remote locomotive fleet of VIA Rail and introduce manufacturing of passenger locomotive back to the country for the very first time and that too in decades.

Canada has allotted CA$1.6 billion for 45 new Stadler locomotives.  Stadler has a global center of competence facility for mainline locomotives in Spain. The Swiss rail manufacturer will utilize both global as well as Canadian supply chain partners so as to take care of around 36 locomotives in Canada and thereby make way for manufacturing of passenger locomotive.

Additional CA$357 million is directed to VIA Rail for the development of new assembly and servicing in Montreal, Quebec in order to execute the Canadian locomotive assembly.

The facility, to be constructed by Pomerleau, will assist with the long-term maintenance and operation of the newly acquired fleet at the Montreal Maintenance Centre of VIA Rail, Transport Canada officials confirmed in a news release.

Apparently, the new locomotives are going to be hybrid battery-diesel with batteries sourced from the Saint-Laurent plant of ABB in Quebec. The locomotives will replace VIA Rail’s ageing fleet and serve as the first hybrid-powered passenger locomotives based out of North America, they stated.

This investment demonstrates the robustness of the economic partnership of Canada with Europe that brings together world-class knowledge along with Canadian manufacturing to promote creativity, bolster supply chains, generate skilled jobs and provide long-term economic benefits for Canadians, said the officials from Transport Canada.