The Government of Canada will invest up to C$1.2bn ($900m) in Quebec City’s public transit network.
The public transport project includes a light-rail line, two BRT lines and dedicated bus lanes.
The project has already received funding commitment of C$1.8bn ($1.3bn) from the Government of Quebec, while Quebec City has agreed to provide C$300m ($225m).
The project, which is scheduled for completion in 2026, will include a 23km light-rail line, as well as two tram-bus BRT lines totalling 15km.
It will improve the existing Métrobus lines and build another 16km line dedicated for bus lanes. Four new park-and-ride lots will also be added.
Additionally, the project includes four hubs to allow passengers to move from one system to another within the transit network.
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Quebec’s Minister of Transport and Minister Responsible for the Estrie Region François Bonnardel said: “I am very pleased that the funding for the Quebec city structuring public transit network project is now secured.
“This is an important step, which will enable us to continue with the preparations for this major project for Quebec City.
“The structural network will extend over more than 54km, making travel faster and more efficient for users. It is clear that this project will contribute to Quebec City’s development, and help it to remain on the cutting edge with respect to public transit.”
The Canadian Government through the Public Transit Infrastructure Fund has spent over C$737m ($554m) in 312 projects in Quebec province to improve public transit services.
Last month, the Government of Canada revealed plans to invest C$1.3bn ($1bn) to fund the extension of the Montréal Metro’s Blue line.