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Ottawa earmarks up to $8B for RCAF’s 5 Wing Goose Bay in Labrador but falls short of offering details

Sarah Taylor by Sarah Taylor
April 1, 2026
in Canadian news feed
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Ottawa earmarks up to $8B for RCAF’s 5 Wing Goose Bay in Labrador but falls short of offering details
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Ottawa has earmarked billions of dollars for investments at Labrador’s 5 Wing Goose Bay, but so far, MPs are shying away from sharing specifics on what it will go toward and a timeline for it to happen.

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In March Prime Minister Mark Carney announced 5 Wing Goose Bay was getting an unspecified piece of new $32 billion in investments toward airfields, hangars and other facilities in Yellowknife, Inuvik and Iqaluit, along with Goose Bay. At the time, details were sparse on what that funding could entail for Labrador.

On Wednesday, Fisheries Minister and St. John’s East MP Joanne Thompson said up to $8 billion from the defence plan has been allocated for 5 Wing Goose Bay.

“This is a game-changer for 5 Wing Goose Bay, for Labrador and for Newfoundland,” Thompson said, adding the money is for areas such as airfield improvement, operational facilities and infrastructure.

She said the Labrador base matters now more than ever.

“We live in an increasingly dangerous and divided world. And Canada’s ability to monitor and defend its Arctic and northern territories is essential.”

Thompson also referenced the recent news that for the first time since the Cold War ended, Canada cleared NATO’s defence spending benchmark of two per cent of gross domestic product.

NATO countries recently pledged to spend five per cent of their gross domestic product on defence — 3.5 per cent on their militaries and 1.5 per cent on defence infrastructure.

The announcement comes amid mounting concerns over Canada’s security during increased geopolitical instability and U.S. President Donald Trump’s jabs about Canada’s sovereignty.

Two weeks ago, Thompson was in St. John’s to announce five N.L. companies were getting a share of $16 million in repayable federal loans to help scale up Canada’s defence capabilities.

While Thompson called it an “extraordinary commitment,” when asked by reporters for more specifics, she did not provide more information.

She said the billions are a commitment for the area and the “takeaway” from the announcement is Ottawa has made a commitment to the base.

The details “haven’t been worked through,” she said, but benefits to Labrador “will flow and how that flows, those are conversations that will happen as we go forward.”

During questions from reporters, she repeatedly defended the announcement.

“Let me be very clear, the number is not vague. The number is the number and we need to celebrate that. The details will follow,” she said.

Speaking at the event, Labrador MP Philip Earle said the base has played an important role in the country’s defence in the past and Wednesday’s announcement enforced its continued significance.

“Investments at 5 Wing Goose Bay help strengthen our military’s readiness but they also create real and lasting benefits here at home, in Labrador,” he said.

Earle added the investment is about ensuring that 5 Wing Goose Bay remains strong, capable and ready to support the needs of the Canadian Armed Forces today and into the future.

Thompson also announced the Department of National Defence awarded a $187 million energy performance contract to modernize the base’s central heating plant, replacing the existing diesel system with cleaner and more efficient boilers.

In a statement, the Department of National Defence said the contract had been awarded to MCW Custom Energy Solutions Ltd.

Ted Loucks, who is a partner with MCW Custom Energy Solutions Ltd., said they’re excited about the work ahead, adding they will be working with local businesses as well.

“We’ll be starting as soon as this summer and it will roll out over the next five years, to be complete by 2030,” he told CBC News.

Download our  free CBC News app  to sign up for push alerts for CBC Newfoundland and Labrador. Sign up for our  daily headlines newsletter here . Click  here to visit our landing page .

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