Ontario Investing $13.7M in Transit in Waterloo Region
April 2, 2026
Provincial gas tax funding will help support and improve local public transit initiatives
Waterloo — As part of its plan to protect Ontario, the province is investing $13.7M to support public transit service in Waterloo Region. This funding through the 2025-26 Gas Tax program can be used for local public transit initiatives such as expanding service hours, increasing routes, purchasing new vehicles and improving accessibility to increase transit ridership.
“People across Waterloo Region deserve access to reliable transit services that get them where they need to go quickly and safely,” said Mike Harris, MPP for Kitchener-Conestoga “The funding we’re announcing today is good news for people and transit users in Waterloo Region as our government continues to protect Ontario by making historic investments in public transit.”
The province is investing nearly $380 million through the 2025-26 Gas Tax program to support public transit in 107 municipalities, helping protect Ontario communities by strengthening transit services across the province.
“Public transit isn’t just about getting from one place to another—it’s part of what makes a community feel connected and alive,” said Jess Dixon, MPP for Kitchener South – Hespeler. “I’m so pleased to see our government investing in the kind of local infrastructure that gives people in Waterloo Region more freedom—to get to work, connect with others, and live life on their own terms.”
In addition to the Gas Tax program, Ontario also supports municipal transportation projects through the Connecting Links, and Ontario Transit Investment Fund programs.
“Waterloo Region is growing rapidly, and the needs of its residents are evolving alongside it,” said Brian Riddell, MPP for Cambridge. “That’s why our government is making targeted investments to deliver faster, more affordable public transportation options for the community.”
Quick Facts
- Under the Dedicated Funding for Public Transportation Act, 2013, two cents per litre of gasoline tax is dedicated as a permanent funding source for public transit.
- Gas Tax funding can be used towards transit operating and capital costs at the municipalities’ own discretion.
- The Gas Tax funding envelope is determined annually, based on the amount of gasoline sold in the previous year.
- Gas Tax funding is determined through public transit ridership and population growth. The province’s approach provides stable support to all municipalities, including small communities, and helps expand public transit service hours and routes, new vehicles and better transit accessibility.
- Ontario is investing nearly $70 billion in the largest transit expansion in North America, including the largest subway expansion in Canadian history: the Ontario Line subway, the Yonge North Subway Extension, the Scarborough Subway Extension and the Eglinton Crosstown West Extension.
“Under the leadership of Premier Ford, our government is investing nearly $70 billion in public transit to protect Ontario by building a stronger, more resilient, self-reliant economy,” said Prabmeet Sarkaria, Ontario’s Minister of Transportation. “Today, we’re ensuring municipalities can continue to deliver safe and reliable transit services for their communities
Additional Resources
Media Contact
Dakota Brasier
Minister’s Office
Dakota.Brasier@ontario.ca
Julia Caslin
Communications Branch
MTO.Media@ontario.ca
Office of MPP Mike Harris
Mike.harrisco@pc.ola.org