Benefits of Twinning Highway 3
Benefits of Twinning Highway 3
Trade & Transportation - Provincial Policy
Issue
The twinning of the remaining sections of Alberta Highway 3 (Crowsnest Pass Highway) continues to be a critical priority for southern Alberta. While meaningful progress has been made in recent years, approximately 170 kilometres of the corridor remain undivided. Ongoing safety risks, growing trade volumes, and rising construction costs reinforce the urgency of advancing a long‑term, fully funded twinning program through sustained provincial commitment.
Background
Highway 3 is a designated core route of Canada’s National Highway System and a key component of Alberta’s export and trade corridor, linking the Port of Vancouver, the CANAMEX corridor, and the Coutts border crossing—the only 24‑hour commercial port of entry in Alberta. It remains the only National Highway System route in Alberta that is not fully twinned.
In recent years, the Government of Alberta has demonstrated incremental progress on the corridor:
- Twinning between Fort Macleod and Taber (approximately 104 km) is complete.
- The Taber to Burdett section has been approved and advanced through design and construction phases, representing a significant milestone for the eastern portion of the corridor, with completion expected at the end of 2026.
- Functional planning and engagement are progressing through Piikani Nation lands.
- Planning and engagement in the Pincher Creek – CNP area has progressed.
- Detailed design and engagement is underway between Medicine Hat and Whitla.
Despite these advances, large portions of Highway 3—particularly west of Fort Macleod and through mountainous terrain near the Crowsnest Pass—remain undivided and increasingly costly to deliver.
Economic Case and Updated Cost Context
Previous cost-benefit analysis conducted by the Van Horne Institute identified a benefit-cost ratio of nearly 3:1, with a net present value exceeding $2.3 billion (2016 dollars). Since that time, the economic case has strengthened due to:
- Increased commercial traffic volumes and heavier loads supporting agriculture, agrifood‑processing, energy, and manufacturing exports.
- Supply‑chain resiliency lessons learned during the 2021 B.C. flooding, which reinforced Highway 3’s role as Alberta’s most reliable southern alternative to the Trans‑Canada Highway.
- Continued population growth, tourism expansion, and cross-border trade activity in southern Alberta.
At the same time, construction and land acquisition costs have escalated substantially:
- Southern Alberta farmland values have increased by more than 60% since early feasibility work began in the early 2000s.
- Highway construction costs province-wide have risen sharply due to labour shortages, materials inflation, and increasingly complex environmental and archaeological requirements.
- Preliminary planning and engineering costs are now commonly estimated at $800,000–$1 million per 10 km, excluding land acquisition and construction.
Delaying investment further risks eroding the strong return on investment previously identified and increases total lifecycle costs to the province.
Strategic Importance to Alberta’s Economy
Highway 3 supports more than regional mobility—it is a provincial economic asset:
- The corridor connects southern Alberta exporters to U.S. and international markets via the Coutts border and west coast ports.
- The Lethbridge region alone supports over $1 billion in exports annually, with manufacturing and agri-food sectors highly dependent on safe, predictable transportation.
- Oversized and specialized industrial transport operating along Highway 3 faces speed restrictions and permitting challenges that are exacerbated by an undivided highway, increasing costs and safety risks.
Industry organizations, including the Alberta Motor Transport Association, continue to identify Highway 3 twinning as a top provincial infrastructure priority.
Given the progress achieved to date, the remaining scope of work, and the accelerating cost pressures, Highway 3 twinning requires a shift from incremental approvals to a clearly articulated, long-term provincial program. A committed, program-based approach will protect Alberta’s prior investments, improve safety outcomes, support trade and tourism, and ensure southern Alberta continues to contribute fully to the provincial and national economy.
Recommendations
The Southeast Alberta Chamber of Commerce, in collaboration with the Alberta Chambers of Commerce, recommends that the Government of Alberta:
- Establish a dedicated, multi-year Highway 3 Twinning Program with predictable annual funding to complete remaining planning, land acquisition, and construction in manageable segments.
- Accelerate engineering, environmental, and archaeological work on remaining sections to preserve optionality and reduce future delivery delays.
- Prioritize safety-critical and high-traffic segments, particularly west of Fort Macleod and through the Crowsnest Pass region.
- Deliver Highway 3 twinning as a highway standard, rather than a full freeway, where appropriate, to maintain cost flexibility while achieving safety and efficiency outcomes.
- Continue government-to-government collaboration with Indigenous communities, ensuring infrastructure investment supports economic reconciliation and long-term regional prosperity.
- Engage with the Government of British Columbia to align long-term planning for Highway 3 connectivity across provincial borders.
References
Government of Canada. National Highway System Policy (1988) – Designation of Alberta Highway 3 as a core route of the National Highway System.
Government of Alberta, Alberta Transportation and Economic Corridors. Highway 3 Corridor Planning and Construction Updates – Fort Macleod–Taber twinning completion and status of remaining segments.
Van Horne Institute, University of Calgary. Atkins, F.J. Cost-Benefit Analysis of the Twinning of Alberta Highway 3 (2002; revised 2004; updated 2017).
Alberta Motor Transport Association. Provincial Infrastructure Priorities – Identification of Highway 3 twinning as a top provincial infrastructure priority.
Statistics Canada / Government of Alberta. Southern Alberta Trade and Export Data – Lethbridge region exports exceeding $1 billion annually.
Government of Alberta, Agriculture and Irrigation. Farmland Value and Trends Reports – Documentation of farmland value increases in southern Alberta since the early 2000s.
Truth and Reconciliation Commission of Canada. Calls to Action – Economic reconciliation and Indigenous participation in major infrastructure projects.
Government of Alberta and Government of British Columbia. 2021 Flood Response and Trade Disruption Reports – Demonstrating Highway 3’s role as a critical alternative trade corridor.
Date Approved: 2017
Dates Renewed: 2020, 2023, May 25, 2024, 2026
Date Approved: March 18, 2026