Ontario government commits $94 million to boost Niagara’s water and irrigation infrastructure

The Ontario government is investing nearly $94 million in Niagara Region’s water systems and irrigation networks, aiming to unlock thousands of new homes, bolster local agriculture, and keep construction and farm workers employed during a time of economic uncertainty.

The funding, announced Aug. 11 by Minister of Infrastructure Kinga Surma, is part of a broader $135-million provincial package that also includes projects in Leamington. Niagara’s share includes approximately $53 million for six water systems upgrades through the Municipal Housing Infrastructure Program’s Housing-Enabling Water Systems Fund. These projects are expected to support the construction of up to 14,000 new homes.

An additional $41 million will go toward irrigation pipelines, delivering a consistent water supply to hundreds of farms and agri-businesses across the region — a move the province says will help protect the tender fruit, grape, and wine industries that define Niagara’s agricultural landscape.

“In the face of U.S. tariffs and economic uncertainty, our government is investing in the future for the people of Ontario by doubling down on our plan to build,” said Surma. “We are unlocking more housing and building critical infrastructure that will protect communities, support the farming sector, and keep workers on the job.”

Local leaders were quick to highlight the scale and significance of the investment.

“This is a truly historic day for Niagara,” said Sam Oosterhoff, MPP for Niagara West. “With almost $100 million in water infrastructure investments, it shows yet again that for Premier Ford and Minister Surma and this government, Niagara matters. Today’s investments will help build more housing to make the dream of home ownership a reality for young people. It will expand our irrigation systems, ensuring world-class fresh fruits and vegetables can continue to be grown and sold from Niagara. This will also provide hundreds of local construction jobs and support local contractors and farmers.”

Niagara Regional Chair Jim Bradley called the investment “key in unlocking new housing projects to help service projected growth,” noting the region’s population is expected to top 700,000 within 15 years. He added that the irrigation funding will give a long-term boost to farms, wineries, and tender fruit producers in Lincoln, Niagara-on-the-Lake, and St. Catharines.

The province says the irrigation improvements will increase crop yield, quality, and drought resilience, while also promoting water conservation through tools like scheduling systems, reservoirs, and water-saving technology tailored to Niagara’s soil and climate.

The Niagara projects are part of $400 million in previously announced MHIP funding, supporting 50 new water infrastructure projects in 55 municipalities. To date, Ontario has invested $2.3 billion in the program, which is designed to accelerate housing development and strengthen essential infrastructure across the province.