Ontario to fast-track Toronto Island airport expansion with special economic zone

Ontario plans to designate Toronto’s island airport as a “special economic zone,” a move aimed at accelerating its expansion after the province assumed control of the airport lands, says Transportation Minister Prabmeet Sarkaria.

Legislation passed Thursday (May 28) gives the province authority over the lands on the Toronto Islands occupied by Billy Bishop Toronto City Airport (YTZ).

While the law technically allows the province to take control of all island lands, officials say they do not intend to do so and will work with the City of Toronto to use only the property required for airport expansion.

Premier Doug Ford has long advocated for expanding Billy Bishop Airport, which he describes as a “crown jewel,” including enabling jet aircraft operations.

Currently, the airport’s runways are too short to accommodate most jets.

The legislation also permits the province to replace the City of Toronto in the tripartite agreement governing the airport lands.

That agreement is currently shared among the city, the federal government, and the Toronto Port Authority.

Toronto Mayor Olivia Chow has sharply criticized the province’s move, accusing the provincial government of sidelining residents and withholding details about its plans for airport expansion.

“We have not seen a formal proposal for airport expansion. The province and the Toronto Port Authority must stop keeping Torontonians in the dark and release their plans now, Chow said in a statement yesterday, as reported by the Canadian Press.

The port authority, however, supports the project.

Premier Ford believes expanding Billy Bishop Airport could boost annual passenger volumes from roughly two million to as many as 10 million.

Port Authority CEO RJ Steenstra has also said the airport expansion would be funded by airlines and passengers rather than taxpayers, with costs estimated at $4 billion to $5 billion over 25 years.

The federal government has taken a more cautious approach.

The office of Transport Minister Steven MacKinnon said consultations with residents and communities will begin this summer and that public feedback will help inform future decisions and any changes to the airport’s governing agreement.

Prime Minister Mark Carney, meanwhile, has described the proposal a “very interesting vision” with “big possibilities.”

900 metres of additional land

As previously reported, plans to lengthen the runway at Billy Bishop so it can handle jets could require as much as 900 metres of additional land out into Lake Ontario—significantly more than what was considered when a similar proposal was rejected about ten years ago.

Under the emerging concept, the runway would be extended by about 600 metres, plus 150-metre safety zones at each end already planned, bringing the total extension to roughly 900 metres, the Globe and Mail reported.

Most of the new structure (up to 750 metres) would likely extend westward into Lake Ontario, running alongside the shoreline near Ontario Place.

Mr. Steenstra at the Port Authority told the Globe that the expanded runway would still be shorter than major airports like Toronto Pearson, and would mainly accommodate smaller jet aircraft such as the Embraer E195-E2 and Airbus A220, which carry around 135–160 passengers.

Government polling vs. “Pearson by the lake”

Expanding the Toronto’s island airport has been discussed for years but has never moved ahead, partly due to public opposition.

However, Ford said provincial polling suggests significant support for the idea.

An online survey conducted by the Ontario government between Nov. 28 and Dec. 2, 2025 polled 2,514 Ontario residents aged 18 and older.

According to the government, about 70 per cent of respondents supported expanding the airport.

But not everyone is on board with the idea. NoJetsTO, a coalition of concerned citizens dedicated to preserving Toronto's mixed-use waterfront, has launched a petition against the waterfront development.

“In the winter we skate, in the summer we attend festivals and sample delicious food. Waterfront activities attract 17 million visits per year,” reads the petition. “An expanded Island Airport with jets will change all this, turning the Waterfront into Pearson-by-the-Lake.”

The debate comes on the heels of Billy Bishop opening a brand-new U.S. Preclearance facility, promising faster arrivals, smoother connections, new route opportunities, and a more seamless experience for travellers passing through the airport.

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