Results of a Socio-Economic Cost Assessment of Underground Infrastructure Breaks Presented at the Info-Excavation 2026 Conference

As part of the annual Info-Excavation Conference held on March 19 and 20, 2026, Ingrid Peignier, Project Director at CIRANO, presented the results of a study assessing the socio-economic costs of underground infrastructure breaks.

When infrastructure damage occurs, attention is usually focused only on the visible part of the iceberg: the direct repair costs. However, a significant share of the impacts often remains unseen. Interruptions to essential services, disruptions to economic activity, traffic congestion, emergency interventions, and evacuations—these indirect costs are rarely measured, even though they are largely borne by the public.

To better document these impacts, CIRANO developed an assessment tool to estimate these costs using damage data reported by infrastructure owners. By making these impacts measurable, this tool helps better inform decision-making and supports prevention strategies.

Applied to the 660 breaks reported in Quebec in 2025, the tool estimates annual indirect costs at nearly $40 million. These estimates remain conservative, given the limitations inherent in the available data.

Why Do We Neglect Our Public Infrastructure?

Jean-Philippe Meloche, researcher and CIRANO Fellow, also presented a talk at the conference titled “Why Do We Neglect Our Public Infrastructure?”

His presentation highlighted the economic and political mechanisms that explain underinvestment in public infrastructure. Unlike private infrastructure, public infrastructure generally does not rely on pricing mechanisms, and its revenues are not directly affected by service interruptions. This reality creates a disconnect between observed deterioration and investment decisions.

Consult the executive summary of the study