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Good morning! ♻️ Scientists in the UK have developed a method to use leftover heat from steel production to recycle cement from demolished buildings. Experts say this breakthrough could pave the way for massive emissions reductions.

⏰ Today’s read: 5 minutes

MARKETS

*Stock data as of last market close; currency, oil and crypto data as of 8 pm ET May 27th, 2024.

Economy: The Canadian construction equipment market is expected to grow to $14.6 billion by 2029, driven by investments in housing and transportation projects. However, there are concerns about a slowing economy and a lack of skilled workers. The government is spending money on infrastructure and is trying to encourage the use of more sustainable equipment. Construction costs are expected to rise slightly in the next few years.

THE BIG STORY

Cash-strapped: Payment issues persist in B.C.

Kelly Grunow, a senior site superintendent for Andama Construction in B.C., has been a proud member of the industry for more than 40 years, but the issue of non-payment has begun to sap his joy. 

“We enjoy seeing something go up, but we don’t like being taken advantage of,” he told SiteNews while preparing for legal battle over payment with a project owner in Vancouver. 

Growing movement: Grunow isn’t alone. Thousands of others have grown frustrated with late or non-payment. Ontario, Saskatchewan, and Alberta have all implemented prompt payment legislation, while Quebec, New Brunswick and Manitoba are in the process. Last year the federal government mandated its construction contractors must be paid on time. 

B.C. left out: B.C. has not addressed the issue. Government recently received a letter signed by 31 industry and labour organizations requesting prompt payment legislation. The Select Standing Committee on Finance and Government Services has recommended the Government implement prompt payment legislation multiple times in its annual budget consultation report.

Where’s the money: The issue is widespread. According to the BC Construction Association, about 90% of B.C. contractors are small companies, and they are often paid three or six months after work is completed. A 2023 construction industry survey found that 82% of contractors have dealt with late or delayed payments for finished work.

Big impact: Grunow’s team can swell to about 80 employees when projects are underway, but the issue of late payment is far bigger than individual businesses. Overall B.C.’s construction industry is responsible for 229,100 employees and $27-billion – or 10.3% – of the province’s GDP. If money can’t flow through construction, the entire province has a serious problem. 

“Developers and general contractors need to understand that we are the backbone of your companies. If you keep stepping on us, word gets out and people will refuse to work with you. What will you do then?” - Grunow

NEED TO KNOW

The week's headlines

🏗️ Major milestones were achieved on both the Broadway Subway Project and Pattullo Bridge Replacement Project in B.C. Tunnel boring for the new subway line is complete, while the new Pattullo Bridge's main tower, the tallest in the province, is finished. Both projects are expected to be operational by fall 2025 (bridge) and fall 2027 (subway), offering improved traffic flow, wider lanes, dedicated walking and cycling paths, and a significant reduction in travel times.

🚗 Canada Infrastructure Bank (CIB) is partnering with a hydrogen infrastructure company to invest $337 million in building a network of hydrogen refuelling stations and production facilities in B.C. and Alberta. This will create a "H2 Gateway" to support clean transportation with fuel cell vehicles and heavy-duty trucks. This is the third investment from CIB's initiative to expand hydrogen infrastructure in Canada.

⏲️ Toronto city councillors are unhappy with the slow pace of construction on the Gardiner Expressway and want a plan by July to speed things up. This includes exploring options like 24/7 construction with some overnight demolition work, and pre-fabricating construction materials off-site. However, they acknowledge the need to balance construction speed with the well-being of residents who live near the expressway.

🏠 B.C. is launching a digital Building Permit Hub to speed up home building. Officials say this one-stop online system will streamline applications, reduce delays, and make it easier to get homes built. A pilot program has started with full rollout expected this summer. Future expansions will include permits for secondary suites and broader provincial availability.

PROJECT SPOTLIGHT

Port expansion

Facing maxed-out capacity, the Port of Montreal is building a $950-million new container terminal in Contrecoeur, 40 kilometers downstream, to add 1.15 million twenty-foot equivalent units (TEUs) annually – a 60% increase in its handling power. The project is expected to create thousands of jobs and generate economic benefits across Canada. It includes a 675-metre-long dock, rail network and freight transfer hub, container handling yard and operations and administrative buildings.

PROJECT UPDATES

Cowichan hospital project hits construction milestone

Construction begins on Calgary compost facility expansion

More funding for Indigenous hub in Winnipeg

Crews break ground on new PNE Amphitheatre

WHAT WE’RE TALKING ABOUT

PHOTOS: 🏗️ U.S./Canada bridge preparing to meet in the middle

VIDEO: 🔎 Archaeologists uncover Blackfoot lodge in Calgary

READ: 🏠 Can changing stairs unlock more housing? 

PHOTOS: ⛓️ Sculpture uses 3,000 pounds of chains

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Here’s to a great rest of the week!