EDMONTON -- Edmonton mayor Don Iveson said a $14.9 billion transit announcement by the federal government means the city can continue to plan and build out the LRT network to areas like Castle Downs and Heritage Valley.

"That's just within the timeframe of their current fiscal framework but the real commitment is to ongoing funding essentially on an open-ended basis," he said at a news conference following the announcement.

The prime minister also committed to a "permanent transit fund of $3 billion a year" starting in 2026.

Iveson said the money goes "above and beyond" what has already been allocated to the LRT so the stimulus dollars will allow Edmonton to "build more, sooner."

"The ongoing commitment means we can now today, start to forecast when we might be able to build the extension to the northwest, Castle Downs, up towards St. Albert and other further extensions, further south, further northeast, further southeast, in all directions" he said.

Exactly how much Edmonton will get still needs to be determined, however the mayor said the city can expect "hundreds of millions a year."

"At this stage, even a decade out, it's going to send a measure of stimulus confidence to the construction industry and also real estate developers who have lands depending on that," he said.

"So the folks at Griesbach, for example, have been planning a transit-oriented development in the southwest corner of the old base redevelopment and if we can give them even an approximate timeline of when we would get the train up into the northwest there, that's going to be helpful to them."

Prime Minister Justin Trudeau said the federal funds will be "crucial" to Canada's recovery from the pandemic and will also help achieve the government's climate goals.

"The development of public transit will help us exceed our 2030 target and put us squarely on the path to net-zero by 2050," he said.

With the possibility of another federal election soon, Iveson said the Big City Mayors' Caucus met with Conservative Leader Erin O'Toole Tuesday and plans to meet with other party leaders soon to ensure the funding stays on the table.

"There's quite a bit of money in today's announcement for rural and regional systems as well, which ought to have appeal across party lines," he said.

Iveson is currently chair of the Federation of Canadian Municipalities' Big City Mayors' Caucus.