Millions of Canadians will lose door-to-door mail delivery under a $1.2-billion Canada Post overhaul that will see approximately 250,000 community mailboxes installed across the country over the next seven years.Blacklock's Reporter says the Crown corporation plans to convert roughly four million residential addresses to community mailbox service as Ottawa attempts to rescue the financially troubled postal system.According to documents tabled in the House of Commons, Canada Post intends to purchase the mailboxes exclusively from Canadian-based suppliers.“Approximately 250,000 mailboxes will be supplied,” Canada Post stated in an Inquiry Of Ministry.“Four million addresses divided by 16 compartments per mailbox equals approximately 250,000 mailboxes.”The information was released in response to questions from Conservative MP Dan Mazier, who represents Riding Mountain, Manitoba.Mazier requested details of contracts associated with the massive conversion project, including the companies involved and the cost of supplying the mailboxes.Canada Post confirmed the suppliers are Canadian companies.“They are all based in Canada,” management stated.Montreal-based Artitalia Group has been identified as the general contractor, working with eight subcontractors involved in supplying the new mailboxes.Those companies include Abloy Canada of Vaudreuil-Dorion, Quebec; AE Concrete Products of Langley, British Columbia; AtkinsRealis Operations of Toronto; Burke Group of Edmonton; Drader Manufacturing of Brampton, Ontario; Metro Supply Chain of Montreal; Wesko Locks of Mississauga, Ontario; and WSP Canada of Montreal.However, Canada Post refused to disclose the individual contract values, citing confidentiality agreements with its suppliers.“All financial information in the agreements related to converting four million residential addresses from door-to-door delivery is protected by mutual confidentiality clauses between suppliers and Canada Post Corporation,” the Crown corporation stated.“Disclosure of this information would constitute a breach of these agreements.”.The federal government's November 5 budget, titled Masters Of Our Destiny, allocated $1.2 billion over seven years to replace urban doorstep delivery with community mailboxes.Ottawa estimates the conversion will save Canada Post approximately $220 million annually once implemented.The budget also proposes another $1.4 billion in financial support for Canada Post operations over the next two years.“We are taking steps to improve the Corporation’s efficiency, accountability and long-term financial sustainability, ensuring it continues to provide its critical services and keep our postal services delivering for Canadians,” the budget stated.The changes come as Canada Post faces mounting financial losses and pressure to reduce operating costs.The Crown corporation reported a record $1.57-billion loss last year and has not recorded an annual profit since 2017.Canadians will also face substantially higher postage costs.The federal budget outlines a 39% increase in the price of a single stamp in 2027, raising the cost from $1.44 to $2.Just two years ago, stamps were available for as little as 92 cents.Canada Post has not specified when the latest increase will take effect.The planned conversion represents a major change in how millions of Canadians receive their mail, replacing delivery directly to homes with centralized neighbourhood mailboxes.While Ottawa projects significant long-term savings, the government has committed more than $1 billion to implementing the change, alongside additional financial support for the struggling Crown corporation.Canada Post has not disclosed how much individual suppliers will receive from the mailbox contracts.
