SUMMARY: Ottawa faces a growing infrastructure crisis as the cost to maintain and replace its extensive 9,600 km water, wastewater, and stormwater pipe balloons. The current replacement cost of this infrastructure is $51.2 billion and is projected to rise significantly in the coming years. Much of this burden stems from decades of low-density suburban growth, which generates insufficient revenue to cover long-term maintenance. To avoid escalating costs and financial strain, the City must halt new sprawling developments and prioritize infill, intensification, and sustainable funding strategies.
On June 11, 2025, the Ottawa City Council received and adopted the funding strategy described in the Long Range Financial Plan VI – Water, Wastewater and Stormwater (Rate) Supported Programs (LRFP VI), a strategic document that outlines the City’s financial direction and priorities over the next decade. Through careful analysis of this report and the City’s publicly available but technically complex GIS (geographic information system) data is the beginning of a trend, and a revelation, that could have major implications for the City’s future: the cost of maintaining Ottawa’s water infrastructure is about to balloon out of control.
After the Second World War, Ottawa experienced a significant population boom, and the vast majority of its growth was outwards. Spurred by highway construction, and the rise of automobile ownership, new suburban communities began to emerge beyond the traditional urban core. Neighbourhoods like Nepean, Gloucester and Alta Vista, have since evolved into major residential hubs, largely driven by the postwar ideal of homeownership and demand for large, single-family houses. Between 1950 and 2020, Ottawa’s population more than quadrupled, from under 250,000 to over 1 million, with much of that growth taking place in the suburbs.
As Ottawa’s footprint expands, so too does the demand for critical underground infrastructure, systems such as water, wastewater, and stormwater networks that are costly to install, expensive to maintain and even more costly to eventually replace. To support its growing population, Ottawa now oversees an extensive underground infrastructure network totalling more than 9,600 kilometres of water, wastewater, and stormwater pipes, roughly the equivalent of driving from Ottawa to Los Angeles and back.
Unsurprisingly, the city’s oldest pipes are concentrated in the pre-war urban core. Of the approximately 1,000 kilometres of pre-war pipe infrastructure, about 180 kilometres are still in use and range in age from 75 to 150 years old. The first wave of suburban growth in the 1950s and 60s contributed an additional 1,800 kilometres of pipe, while the remaining 7,500 kilometres support areas developed more recently. Because so much of this infrastructure was installed within a relatively short time span, much of it will require renewal or major repairs around the same time — and the cost of doing so will be enormous due to the sheer volume of pipe involved. Ottawa faces an infrastructure time bomb that has already begun ticking.
Every meter of pipe laid to support new developments represents a long-term financial commitment for the City. While development charges may have helped cover the initial capital costs of installing these new pipes in suburban developments, it is water bills collected from residents that fund their ongoing maintenance and eventual replacement. The problem? Low-density suburban neighbourhoods don’t generate enough revenue to pay for the infrastructure they depend on.
In 2017, the City’s Long Range Financial Plan estimated the total replacement value of its water infrastructure—the cost to replace the entire network of pipes, treatment remaining 7,500 kilometres support areas developed more recently. Because so much of this infrastructure was installed within a relatively short time span, much of it will require renewal or major repairs around the same time — and the cost of doing so will be enormous due to the sheer volume of pipe involved. Ottawa faces an infrastructure time bomb that has already begun ticking.
stations, and related assets—at $20.9 billion. Just eight years later, this figure has surged by over $30 billion, reaching $51.2 billion, a staggering increase of 145%. For additional context, the current report proposes investing $4.37 billion over the next 10 years in infrastructure renewal—more than a 30% increase over the inflation-adjusted annual renewal investment of $3.15 billion allocated in 2017. Given the City’s existing pipe network and the planned expansion for new developments, these renewal costs are expected to continue rising unchecked, highlighting an urgent and growing financial challenge.
The real test for the City will come when the 7,500 kilometres of pipes, all installed within the last 55 years, reach the end of their lifespan and require replacement. While underground infrastructure is a major concern, it represents only part of the broader challenge. Other essential assets, such as roads, bridges, transit systems, and public facilities, also require substantial long-term maintenance and eventual replacement. In total, the cost of this infrastructure far exceeds what low-density development can realistically sustain.
The numbers are clear: replacing the City’s aging pipes will require billions of dollars in future investment. However, the communities that rely on these pipes cannot shoulder the financial burden on their own. While these realities may be difficult to confront, deferring action will only worsen the problem. The longer the City delays addressing the fiscal and structural consequences of its growth model, the more severe and costly the eventual interventions will become.
The first and most critical step is to implement a moratorium on approving any new lowdensity developments that would add to the existing infrastructure burden. Without halting new sprawl development, the City risks further compounding its infrastructure liabilities. Strong Towns Ottawa urges the City to begin rejecting low-density housing proposals like the Tewin development, which would significantly expand Ottawa’s sprawl footprint. To address the City’s growing infrastructure challenges and ensure long-term fiscal sustainability while being cognizant of the housing crisis, Strong Towns Ottawa makes the following recommendations:
- Reform Growth: Align new developmental approvals with fiscal sustainability benchmarks. Prioritize infill and intensification in areas with existing infrastructure capacity.
- Revenue Alignment: Explore area-specific infrastructure levies or long-term asset renewal funds tied to suburban communities.
- Plan Ahead: Instead of waiting for a wave of infrastructure renewals to overwhelm the City or delaying until critical systems begin to fail, we should take a proactive approach. Replacing aging pipes in a timely manner not only mitigates risk but also creates opportunities to modernize the above ground infrastructure.
The strain on the City’s infrastructure isn’t simply due to aging assets, but stems from a dated approach to urban development that failed to account for its long-term financial consequences. This model, driven by unsustainable growth and mounting debt, has created significant costs that future generations will be forced to bear. Unless corrected, the City will face rising costs that outpace its ability to pay, resulting in service degradation, infrastructure failure, and higher taxes. To ensure its long-term viability, it is essential that the City align its lands-use and infrastructure strategies with financial realities. The City’s financial stability depends on whether it is willing to confront the cost of its past choices and build smarter from here forward.
Strong Towns Ottawa