In a way, the turn of the century was the most fateful pass in Canadian Northern history, for it brought into the obvious the fact that a new system of railways was coming into existence, as distinct from several apparently disconnected, and almost aimless branches, headed for nowhere in particular.
The last year of the nineteenth century carried us to Erwood, seven miles beyond the Manitoba boundary, into what was still the North West Territories, and a few miles east of where the line to the Pas and Hudson Bay branches off. The name, by the way, gives a modified immortality to E. R. Wood, the Toronto financial and Y.M.C.A. leader. Theretofore the intention had been to make the road to Prince Albert, through the Swan River and Carrot River valleys, the main line to Edmonton. As a concomitant to this expansion it is worth noting that the implement manufacturers moved their credit frontiers a hundred miles north about this time.
In 1900, then, the main line turned west from Dauphin through Gilbert Plains, a marvellously attractive locality for the farmer; and twenty-six miles, to Grandview, were built. The eastbound line from Winnipeg had sixty-five miles added to it. In April the eighty-seven miles that had ventured out of Port Arthur towards Duluth as far as Gunflint, were bought. The Port Arthur, Duluth and Western, of official documents, had become known to the public as The Poverty, Agony, Distress and Want Railway. Its acquisition immediately changed the character of our eastern section, for it became part of a main line, which was being extended to meet the original Manitoba and South Eastern and the Muskeg Limited. A month previously the Canadian Northern Company came into existence, to control and develop what had thus far been accomplished.
The C.P.R. monopoly had been broken by the Northern Pacific, but the new development had halted when the Northern Pacific fell on evil days, and was still awaiting the rejuvenating advent of J. J. Hill. Still, lines running to Winnipeg from the boundary, to Portage from Winnipeg, to Brandon from Morris, in southern Manitoba, a fifty-mile stretch to Hartney, and a couple of offshoots from Portage, had been built; altogether 350 miles.
There were rumours that the Northern Pacific would get out of Western Canada, and the busy tongue of speculation began to predict that these two fellows, Mackenzie and Mann, who knew how to catch on, but did not know how to let go, would soon have some new stunt to show the West. The guess was justified; for the first year of the twentieth century saw the Northern Pacific retire in favour of the Canadian Northern, which was fully launched on the high road to an expansion without parallel in the history of transportation.
The C.P.R. was not alarmed, but it was very observant. There was a world of difference between being kind to a few branch lines that were as much feeders of the C.P.R. as if they belonged to it, and welcoming a challenge to its supremacy of transportation to and from the head of the Great Lakes.