August 12, 2026
Manitoba Government Announces Potential Corridor for Winnipeg Rail Network Relocation
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The Manitoba government is taking the next step toward a potential transformation of Winnipeg’s rail network, launching a 90-day feasibility study and proof-of-concept consultation chaired by Lloyd Axworthy to explore a new southern rail bypass, Premier Wab Kinew announced today.
“Lloyd Axworthy has spent his career seeing possibilities for Winnipeg and creating opportunities to realize those visions, which is why we chose him to lead this study,” said Kinew. “This is a historic opportunity to move freight out of the urban core, utilizing Crown land that is already cleared along Manitoba Hydro’s south corridor to help secure Winnipeg’s place as a global trading hub.”
The work builds on the Winnipeg Rail Relocation and Renewal Study launched in 2024, led by Axworthy. The newly announced feasibility study and proof-of-concept consultation will explore whether moving more freight rail traffic out of Winnipeg’s urban core could improve movement of goods, reduce impacts on residential neighbourhoods and open new opportunities for housing, green space, transportation and economic development.
The proof-of-concept consultation will explore a potential route along Manitoba Hydro’s southern transmission corridor, connecting east to west along the Perimeter Highway. The existing Manitoba Hydro corridor is on Crown land that is cleared, serviced and available for use. The route would allow freight traffic to bypass Winnipeg’s urban core, increasing efficiency and significantly reducing interactions with residential areas.
The consultations will examine three key questions about potential route, including:
- accommodation of rail operations while protecting Manitoba Hydro infrastructure,
- analysis of potential rail relocation costs for government partners and railway companies,
- operational and commercial practicality for railways.
“This is an opportunity to think ahead about the kind of city we want Winnipeg to become,” said Lloyd Axworthy, study lead, Winnipeg Rail Relocation and Renewal Study. “We have a chance to plan for growth in a way that brings communities together, protects the land around us and leaves future generations a stronger, more connected city.”
The study will work in partnership with railway companies including CN, CPKC and BNSF to utilize their expertise in rail infrastructure and optimization to ensure a business case exists for the proposed relocation, the premier noted, adding that a senior technical liaison from each Class I railway will provide information and support as the study progresses.
Municipal, Indigenous governments, CentrePort Canada, the business community, rail customers and shippers will provide additional input to ensure a comprehensive review of costs and benefits, operational requirements, development opportunities and potential investment.
As part of that long-term planning, the study will examine the potential for a Perimeter Highway greenbelt alongside the proposed rail and Manitoba Hydro corridor. The greenbelt concept would protect critical rail and Manitoba Hydro infrastructure from future development while preserving agricultural land and green space, supporting ecological corridors and creating opportunities for trails, recreation and Indigenous stewardship.
The proposed bypass would also strengthen Manitoba’s north-south and east-west trade connections, improving links between Winnipeg, CentrePort Canada, the Port of Churchill and established North American markets, the premier noted.
For more information on the Winnipeg Rail Relocation Study, visit: https://www.gov.mb.ca/rail/index.html.
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BACKGROUND INFORMATION ATTACHED
Background Information
Background Information - https://www.gov.mb.ca/asset_library/BG-Rail_Study_Map-PR.pdf