Federal government seeks private investors to operate Toronto Pearson and three other major airports
PM Mark Carney's plan would let private firms manage operations while Ottawa retains land ownership; Doug Ford backs the proposal but tensions remain over Billy Bishop expansion.
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The federal government will seek private investors to operate Canada's four largest airports — Toronto, Vancouver, Calgary and Montreal — under a proposal announced by Prime Minister Mark Carney at the Canada Investment Summit on September 15.
Under the plan, Ottawa would retain ownership of the airport land and assets while private firms manage operations during set lease periods. Transport Canada would maintain regulation and oversight. Carney said the government could raise tens of billions of dollars through concessions and would reinvest the money into regional airports, local transportation and other infrastructure. He argued this would reduce spending on major airports and free up funds for regional airports, potentially lowering costs for travellers.
Dog Ford, Ontario's premier, voiced support for Carney's proposal Wednesday and separately called for opening Billy Bishop Airport to private investment. The federal government previously rejected Ford's push to expand the island airport for jet traffic.
John Gradek, a McGill University faculty lecturer in aviation management, said a new system would involve long-term leases or concessions under which private investors would oversee operations "with due regard to improving levels of service and improving the utilization of those assets and getting those assets to generate additional revenues."
Karen Hennessey, a partner in the business law group at Gowling WLG's Ottawa office, cautioned that Carney's plan would likely require legislative changes. She noted that a concession agreement would function like a lease, with government expectations on service levels, performance, public safety, passenger costs and employee management forming part of the deal. "This isn't going to be the situation where the concessionaire is allowed to just take over and run it the way they would run any other business," Hennessey said.
Toby Lennox, former Vice-President of Strategy Development and Stakeholder Relations at Greater Toronto Airports Authority, said without more details on the plan it remains difficult to determine exactly what would change.
What specific lease terms or concession periods is the federal government proposing, and who will ultimately set passenger fees?
Will private operators be able to raise fares significantly, and what safeguards on costs does the agreement contain?
What happens to the current Greater Toronto Airports Authority if Pearson moves to private operation?
We'll update this story as answers emerge.
The facts
Which four airports would be operated by private investors under the federal plan?
Toronto Pearson, Vancouver, Calgary, and Montreal airports would be operated by private firms under the proposal announced by Prime Minister Mark Carney on September 15, 2026.
Who would retain ownership under the private operations plan?
The federal government would retain ownership of the airport land and assets while private firms manage operations during set lease periods.
What did Ontario Premier Doug Ford call for regarding Billy Bishop Airport?
Doug Ford called for opening Billy Bishop Airport to private investment, separate from his support for Carney's broader airport proposal on Wednesday, September 16, 2026.
