The Greater Toronto Airport…

The Greater Toronto Airport Authority (GTAA) appreciates the opportunity to provide feedback regarding the Ministry’s regulatory framework under the Special Economic Zones Act, 2025.

In alignment to our previous comments on the Act itself, the GTAA is supportive of the creation of Special Economic Zones (SEZs) as a tool for the government to advance strategically important economic activity and reduce delays and approval timelines for projects of economic significance.

At the present time, Toronto Pearson International Airport (operated by the GTAA) drives the following economics outputs for the province and country:

• 52,000 residents across the GTHA work at Toronto Pearson (across 400+ tenant employers).
• Toronto Pearson supports 130,000 jobs across Canada – 110K in Ontario.
• Toronto Pearson generates $17.7B a year to Canada’s GDP.
• Toronto Pearson generates $7.5B in annual taxes for local, provincial and federal governments.
• Tenant organizations at Pearson Airport spend roughly $6.7B annually.
• Pearson is a gateway for tourists - their spend adds roughly $2.6B to Ontario’s GDP (e.g. money
spent by visitors arriving at Pearson in 2023 supported more than 38,000 jobs in Ontario).

Over the next decade, the GTAA is investing significantly in Toronto Pearson with our multi-billion-dollar infrastructure project called Pearson LIFT (Long Term Investment in Facilities and Terminals). This project will feature upgrades to the airfield and runways, significant renovations to the two existing terminals, and the construction of brand-new terminal spaces. LIFT will also result in access road reconfigurations and upgrades at the airport, with opportunities to enhance transit connectivity and sustainable energy solutions for the airport and surrounding area as well.

The end goal is for Toronto Pearson to meet the growing demand for air travel and goods movement, taking our annual passenger count from 46 million today to approximately 65 million by the early 2030s.

Throughout the 10 plus year expansion of Pearson, thousands of jobs will be created through construction and expanded operations; there will be increased demand for local goods and services; and it will enable better access to international markets for exporters. Ultimately, LIFT will boost tax revenue and generate more GDP and jobs for Ontario.

The GTAA is pleased to see the focus of the proposed SEZ criteria on projects being led by trusted proponents and of proponents with a strong Indigenous consultation track record. Additionally, we are supportive of the applicability of the tool to multiple tasks within larger projects given that LIFT will impact multiple areas of the airport’s operations and infrastructure, not just one aspect.

Building upon the framework, the GTAA suggests the following considerations to strengthen the benefit realization and intended outcomes of the SEZ tool for the province:

• Projects: prioritize projects of strategic importance to global connectivity, supply chain resilience, and economic competitiveness; readiness to leverage existing large-scale infrastructure; and innovation with a credible path to delivery.

• Proponents: prioritize those with a strong compliance record over time in Ontario, Canada, and internationally - particularly in safety, environmental performance, and operational standards- and those with evidence of established presence or durable partnerships in Ontario.

• Zones: prioritize projects that will integrate with provincial trade and transport corridors and align with sustainability objectives.

The GTAA also encourages the provincial government to consider the applicability of the SEZ tool to projects in a nearby geographic area of a related significance. For example, the land surrounding Toronto Pearson forms the Pearson Economic Zone (PEZ) - a massive economic engine for Ontario.

The PEZ is:
• Canada’s largest industrial employment zone.
• Home to 18,000 businesses employing 500,000 people – an increase of 100,000 since 2017.
• Responsible for 7% of Ontario’s GDP ($70.6B annually).
• Ontario’s manufacturing and logistics epicenter, with the largest concentration of manufacturing companies in North America (2100+ businesses in the sector).

The jobs and economic benefits that flow from these vital economic lands are a critical insurance policy at a time when the world economic rules are being realigned, and our future growth path is shrouded in uncertainty. The PEZ works – protecting it is about protecting jobs, investment and Ontario’s role in global supply chains.

As LIFT progresses, we anticipate nearby businesses will pursue further expansion along with an increased need for sustainable energy and/or additional transit corridors, such as roadways or higher order transit lines. The government may want to consider how best to apply the SEZ designation to related projects, even if under a different proponent, to ensure significant projects and their economic growth potential occurs in a concurrent manner, rather than a consecutive one, and consider the opportunities to connect to Toronto Pearson which is the flywheel and epicenter for all of the economic activity in the PEZ.

By accelerating infrastructure development and protecting critical employment lands, the application of the SEZ tool for and around Toronto Pearson can help secure Ontario’s place as a global leader in trade, manufacturing, and innovation.

The GTAA is ready to work with the Government of Ontario to safeguard our shared economy and build a stronger Ontario.