The federal government and Town of Inuvik say they will jointly invest up to $10.89 million to upgrade the municipality’s water and wastewater systems.

Town Mayor Peter Clarkson announced the funding in Inuvik on Monday afternoon alongside NWT MP Rebecca Alty, who was representing Rebecca Chartrand, the minister responsible for the Canadian Northern Economic Development Agency, or CanNor.

The planned infrastructure upgrades will “ensure the town has the capacity to provide essential municipal services for any future development for Arctic security and sovereignty,” Clarkson stated in a news release.

“By investing in core water and wastewater systems, we’re ensuring the Inuvik airport can grow to serve Canada’s security needs, as well as the needs of everyday people,” Alty stated in the same news release. “Through these improvements, we’re delivering the modern airport Inuvik deserves and all the opportunities it will create.”

The federal and Inuvik governments said they will each invest up to $5.445 million in the project over three years.

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Monday’s press release states the project will include the construction of a new water tower and bulk water station, as well as rehabilitation of the town’s sewage lagoon system.

According to the press release, federal funding for the project comes from the Regional Defence Investment Initiative, or RDII, a $357.7-million program that aims to “support Canada’s defence and security needs while bolstering regional economic development.”

Chartrand announced in December 2025 that CanNor would deliver up to $40.5 million from RDII in Nunavut, NWT and the Yukon over three years beginning in 2025-2026.

The federal government has named Inuvik and Yellowknife among northern operational support hubs that will receive long-term investment focused on strengthening Canada’s military presence in the North.

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The Canadian government has previously committed funding to extend the runway at Inuvik’s airport. The NWT government has said that work has been delayed due to shifting ground related to permafrost.

The territorial government is separately planning to build a new airport terminal in Inuvik. Procurement for that project is currently on hold while the Gwich’in Tribal Council seeks a judicial review.

Planned federal upgrades to Yellowknife’s airport include connection to municipal piped water and sewer services and the extension of runways.

The territorial government said it separately plans to seek federal funding for design work on a new airport terminal in Yellowknife.

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