The Alberta government has backed away from a proposal to privately finance a new super courthouse in Calgary. But it still plans to construct, manage and maintain the court as a P3.
An Alberta Infrastructure official has said the province decided to fund the project itself to maintain control over the budget and reduce interest payments. The government expects to save $30 million by financing the project directly rather than paying higher private interest rates.
The province is also expected to scale back the project to reduce spiraling costs. Estimates soared 66 per cent to $500 million for the twin-tower complex, forcing the Klein government to amend its initial P3 plans.