When the Higgs government came into power and cancelled this project, this abrogated the federal/provincial cost sharing agreement. The federal contribution to this project was therefore lost.
Higgs then partially restarted this project last year (sans the bridges), and although I believe he tried to get some new federal funding towards the reduced project, I don't think he was successful.
Even if the province is going it alone to complete the roadway (except the bridges), this may still be cheaper than the original provincial contribution. The most expensive part of this project (by far) was the two bridges. In addition, all land along the right of way has already been cleared, and the roadbed partially constructed. It wouldn't be that expensive to finish things up.
It was stupid of Higgs to cancel this project so rashly when he assumed office. The province now has a balanced budget, and I don't think the overall cost of this project would have changed that. It will be difficult getting a federal contribution in the future to eventually twin those two bridges........