This week Russian military forces conducted operations in Afghanistan...say what? The news of the joint American-Russian military operation against a drug target in Afghanistan was interesting to say the least. Only those in the corridors of power would know why this particular drug operation was targeted or why the Russians of all people were involved. There must be a very good reason. Question is: "Does the means help the ends?"
Think for a moment that it was only just over a two decades ago that the Russians left Afghanistan thus ending their nine year occupation of that country. It took the Russians only two days to capture Kabul, but nine years to realize they could not hold it. They suffered 25,000 dead and 37,000 wounded depending on which set of numbers you believe. Nothing compared to the massive attrocities inflicted upon the people of Afghanistan. Estimates of Afghan deaths are between 1-2 million people. 1.2 million people disabled. 3 million mamed or wounded. 5-10 million people fled to Pakistan or Iran - one third of Afghanistan's pre-war population. A further two million displaced internally within the country. As mind boggling as those numbers are, consider the destruction of the country itself. Irrigation systems, crucial to agriculture all but destroyed by Soviet aerial bombing. Water systems poisoned. Villages, towns, cities destroyed and depopulated. In other words, the Soviets/Russians layed Afghanistan to waste.
Consider then how the Afghan population must have felt when Russian troops entered their territory in force for an organized military operation - and as guests of the Americans. The Taliban must have been doing cart wheels at the sheer magnitude of the publicity this presented to them. A recruiting tool unmatched since the first Soviet invasion. Unbelievable. You have to think that at the highest levels these decisions must be well thought out, and sanctioned. The pros must out weigh the cons. Yet that is hard to see or believe in this case.
Certainly if you are the Russians, read: Putin, you are happy to be flexing muscle back in the old neighborhood. You can go in, get out, and suffer relatively little expense. It's a hint of "what we could do, should we choose to." A little macho strut - not unlike some of the other macho goings on in Russian politics prior to the next Presidential election. However, this time everyone has egg on their face.
Our alliance, NATO, has been battling for control of Afghanistan now for some nine years. The stated objective has been to win the hearts and minds battle with the Taliban for the proverbial soul of the Afghan people. The stated purpose of our occupation being to help rebuild Afghanistan and create a viable democracy for the benefit of its people. And then we invite the Russians in? The people that layed waste to the country and within living memory. The Afghan President was dumbfounded and embittered. Easy to understand why when you consider he is the one that must explain this to his people.
It is really a complete breakdown of intelligence to allow such a slap in the face to the Afghan people. It is the height of insensitivity to allow Russian soldiers across the border and into a country that they so recently committed such atrocities to. It almost begs the question: "Are they trying to win the war, or are they trying to amp it up?" Is such a small, and relatively insignificant raid worth undoing nine years of work, and legitimizing the Taliban in the eyes of those undecided or leaning Afghans? Don't the Afghan people deserve better, and more sensitive care at our hands than that? We believe in upholding to them a different standard than the cut throat, barbaric world that has been much of their lives. And then they bring in the Russians. You really have to feel for those people.
Sunday, October 31, 2010
Monday, October 25, 2010
The Quebec route vs Under the Sea
This weekend, at the annual convention of the Progresive Conservative Party of Newfoundland and Labrador Premier Danny Williams made it known - Newfoundland will proceed with a sub-sea cable to transmit power from Labrador to eastern markets. Thus, hopefully, ending the debate of selling further power to Quebec for it to retail to the rest of the east.
Of course much of the debate, if not all, was created by the duplicitous actions of Hydro Quebec and the Power Contract of 1969. While hopefully the debate ended this weekend, politically there was absolutely no other option open to the Newfoundland government. To be exact, the cost of the Upper Churchill Falls contract to date, and projected to 2041, at current rates will be aproximately 91.5 billion dollars. That is 91.5 billion dollars Canadian. That is Newfoundlands direct cost. It is necessary to view it in that light as these are revenues that the Newfoundland people did not get to realize. This is money that is floating the mammoth Hydro-Quebec and the neo-nationalist agenda it and the political elite of Quebec perpetuate. On the backs of Newfoundlanders and Labradorians. They know it and we know it. The animosity this betrayal has created will last intergenerationally, and now has the potential to permanently imprint itself on Newfoundland's political culture.
In reality, therefore, there was never really any chance Quebec would get it's hands on even one more nano watt of Newfoundland's power. Ironically, there are still some in the form of the provincial Liberal Party that espouse a positive view of any business relationship with Hydro Quebec. Whether it be on open air radio shows or in the provincial media, they push the view that our business relationship with Hydro Quebec was, and is, a good one. Hard to imagine. In a sadomasochistic way I suppose, if you're into that, which most of us are not. Perhaps that is one of the fundamental reasons the provincial Liberals in Newfoundland are not even on the radar politicially. Or in the hearts and minds of the people.
In any case, with the partial development of the Lower Churchill, and just as importantly the laying of the sub-sea cables to Nova Scotia, a new era is on the horizon for Canada's "newest and coolest" province. Whether the Upper Churchill Falls contract expires by natural death in 2041, or suffers a more immediate termination, the sub-sea cables will be ready to transmit that power to the eastern seaboard. Energy, and perhaps financial, independence will become a reality and those blessings will give a long overdue bounty to the great people of Newfoundland and Labrador. They overwelmingly deserve it.
Of course much of the debate, if not all, was created by the duplicitous actions of Hydro Quebec and the Power Contract of 1969. While hopefully the debate ended this weekend, politically there was absolutely no other option open to the Newfoundland government. To be exact, the cost of the Upper Churchill Falls contract to date, and projected to 2041, at current rates will be aproximately 91.5 billion dollars. That is 91.5 billion dollars Canadian. That is Newfoundlands direct cost. It is necessary to view it in that light as these are revenues that the Newfoundland people did not get to realize. This is money that is floating the mammoth Hydro-Quebec and the neo-nationalist agenda it and the political elite of Quebec perpetuate. On the backs of Newfoundlanders and Labradorians. They know it and we know it. The animosity this betrayal has created will last intergenerationally, and now has the potential to permanently imprint itself on Newfoundland's political culture.
In reality, therefore, there was never really any chance Quebec would get it's hands on even one more nano watt of Newfoundland's power. Ironically, there are still some in the form of the provincial Liberal Party that espouse a positive view of any business relationship with Hydro Quebec. Whether it be on open air radio shows or in the provincial media, they push the view that our business relationship with Hydro Quebec was, and is, a good one. Hard to imagine. In a sadomasochistic way I suppose, if you're into that, which most of us are not. Perhaps that is one of the fundamental reasons the provincial Liberals in Newfoundland are not even on the radar politicially. Or in the hearts and minds of the people.
In any case, with the partial development of the Lower Churchill, and just as importantly the laying of the sub-sea cables to Nova Scotia, a new era is on the horizon for Canada's "newest and coolest" province. Whether the Upper Churchill Falls contract expires by natural death in 2041, or suffers a more immediate termination, the sub-sea cables will be ready to transmit that power to the eastern seaboard. Energy, and perhaps financial, independence will become a reality and those blessings will give a long overdue bounty to the great people of Newfoundland and Labrador. They overwelmingly deserve it.
Sunday, October 17, 2010
A tempest in a ...
This week our Premier landed himself in some hot water - with some folks. During a press conference he assailed the Mayor of Marystown for assinine comments, and stated that he - the Mayor that is, didn't count. In fact, he essentially accused him of grandstanding over the federal naval ship building contracts. Perhaps the wording "doesn't count" was unfortunate. Perhaps it was said out of frustration.
The Mayor of Marystown is no innocent player afterall. To be specific - he's a bit of a political opportunist. At one point in his career he vied for the PC nomination in his riding and lost. He then ran for the liberal nomination and won. He then ran in the provincial election and lost. That about sums it up.
As a Mayor, and speaking as a former one myself, you don't attack the provincial government unless all avenues have been exhausted and you are certain the provincial side is not looking after your best interests. I for one, and probably atleast 85 percent of Newfoundlanders would have a hard time believing that Premier Danny Williams would do anything to harm the progress, financially or otherwise, of Newfoundland. The man has built himself the most envied political reputation, in recent political history atleast, as one who looks after the people of Newfoundland. Ask a Newfoundlander about Danny Williams and they will tell you: "the only Premier that's ever stood up for Newfoundland". Don't believe me? Try it.
He has taken on the major oil companies, the federal government, the Quebec government, and most recently it looks as though Vale may be next. The bottom line is he has the dollars to back up his talk, and he uses that for the benefit of the people of Newfoundland - to the best of his ability. He is only human, and makes mistakes from time to time, but not at the deliberate cost to his people - unlike so many politicians we have seen across this country. Given all his commitment toward the people and the province is it any wonder he would take great offence to the comments made by the Mayor?
Essentially, this liberal biased Mayor tried to embarrass the Premier for political gain. Pure and simple. It's no coincidence that the liberal party are all rushing to the Mayor's defence. It gives them a wedge issue to portray the Premier as arrogant and detached from the ordinary people. However, and under closer scrutiny, the questions should really be headed in the direction of the Mayor and not the Premier. Why would a Mayor on the short list for a life saving multi-billion dollar contract come out publicly, and the press is as public as you can get, and essentially question the Premier's integrity. Afterall, to say the provincial government needs to do something to help Marystown implies that it is doing nothing. In other words, the provincial government doesn't care enough to help create massive employment and substantial economic growth to the area. From my knowledge of Mr. William's, and for that matter his government, I would say that nothing could be further from the truth. Another question to the Mayor might be: "What do you expect the Premier to do when the military contract is a federal matter and soley under federal jurisdiction?" Clearly, this Mayor is not acting out of the best interests of his citizens, unless he sees publicly embarrassing the Premier as oil to grease the federal wheels.
Bottom line, as a Mayor you are supposed to act in a bipartisan fashion. Your focus is meant to build concensus, and not to be the agent of dissension. How does it serve the purpose of your citizenry to try and gain "sound bites" for your own apparent publicity? Sure the Premier could have chosen his words better, but very few people in Newfoundland question his loyalty to them. That is the highest compliment any politician can have. Perhaps the Mayor needs to learn that lesson. Perhaps the media should be asking the Mayor how his attacks on the provincial government, and it's leader, help the cause of Marystown?
The Mayor of Marystown is no innocent player afterall. To be specific - he's a bit of a political opportunist. At one point in his career he vied for the PC nomination in his riding and lost. He then ran for the liberal nomination and won. He then ran in the provincial election and lost. That about sums it up.
As a Mayor, and speaking as a former one myself, you don't attack the provincial government unless all avenues have been exhausted and you are certain the provincial side is not looking after your best interests. I for one, and probably atleast 85 percent of Newfoundlanders would have a hard time believing that Premier Danny Williams would do anything to harm the progress, financially or otherwise, of Newfoundland. The man has built himself the most envied political reputation, in recent political history atleast, as one who looks after the people of Newfoundland. Ask a Newfoundlander about Danny Williams and they will tell you: "the only Premier that's ever stood up for Newfoundland". Don't believe me? Try it.
He has taken on the major oil companies, the federal government, the Quebec government, and most recently it looks as though Vale may be next. The bottom line is he has the dollars to back up his talk, and he uses that for the benefit of the people of Newfoundland - to the best of his ability. He is only human, and makes mistakes from time to time, but not at the deliberate cost to his people - unlike so many politicians we have seen across this country. Given all his commitment toward the people and the province is it any wonder he would take great offence to the comments made by the Mayor?
Essentially, this liberal biased Mayor tried to embarrass the Premier for political gain. Pure and simple. It's no coincidence that the liberal party are all rushing to the Mayor's defence. It gives them a wedge issue to portray the Premier as arrogant and detached from the ordinary people. However, and under closer scrutiny, the questions should really be headed in the direction of the Mayor and not the Premier. Why would a Mayor on the short list for a life saving multi-billion dollar contract come out publicly, and the press is as public as you can get, and essentially question the Premier's integrity. Afterall, to say the provincial government needs to do something to help Marystown implies that it is doing nothing. In other words, the provincial government doesn't care enough to help create massive employment and substantial economic growth to the area. From my knowledge of Mr. William's, and for that matter his government, I would say that nothing could be further from the truth. Another question to the Mayor might be: "What do you expect the Premier to do when the military contract is a federal matter and soley under federal jurisdiction?" Clearly, this Mayor is not acting out of the best interests of his citizens, unless he sees publicly embarrassing the Premier as oil to grease the federal wheels.
Bottom line, as a Mayor you are supposed to act in a bipartisan fashion. Your focus is meant to build concensus, and not to be the agent of dissension. How does it serve the purpose of your citizenry to try and gain "sound bites" for your own apparent publicity? Sure the Premier could have chosen his words better, but very few people in Newfoundland question his loyalty to them. That is the highest compliment any politician can have. Perhaps the Mayor needs to learn that lesson. Perhaps the media should be asking the Mayor how his attacks on the provincial government, and it's leader, help the cause of Marystown?
Saturday, September 25, 2010
His name was Igor - we have a different one for him...
As the outer rain bands of Hurricane Igor pounded Random Island, my family gathered to watch at the dining room window - 15 feet from the ocean. We new something was not quite right as the eye of the hurricane was still some 400 kms off Cape Race. We were to find out the brutal, ferocious power of Mother Nature at her finest. The power went out in the early afternoon, followed by the phone service some ten hours later. Life was about to become much like that experienced by our ancestors. Gone were the electrical powered luxuries and distractions of modern life. Gone was the freedom of unimpeded motor travel - except of course bikes (ATV's).
We, the whole community of Hickman's Harbour, were hunkered down in our homes, isolated and vulnerable, ernestly listening to our emergency radios for any news of the events unfolding around our little Harbour. For us it was VOCM. We listened to the morning show, we listened to the afternoon show, and we listened to the evening show. All the family huddled around the table under candlelight. Like a few generations before us, the radio waves kept us enthralled and connected.
Newfoundlanders are, for certain, the great communicators of Canada, and for four uncertain days they communicated on the phone-in shows from coast to coast. At first, when events seemed centered around St John's, the shows seemed almost to downplay the events unfolding. The best, or worst example I can recall was talk show hosts and callers decrying the apparent fact that "townies" don't know how to use a four way stop. I recall this because it seemed so absolutely foolish, trivial, and out of touch with the hell unfolding around us. Yet, as the roads in town turned to raging rivers, and the fields and lawns to ponds, the tone seemed to get more grave. It was as if an understanding of something far more ominous was beginning to sink in.
Finally the news started to circulate of the massive devastation around the Burin and Bonavista Peninsulas. The news broke of the first, and thank God the only, fatality of Igor - Mr Alan Duffett. Although I never met the gentleman from Britannia, friends told me he had successfully fought cancer twice and survived several heart attacks. A man of obvious strong determination. It seemed particularily tragic that Mr Duffett should have to die in such a violent and random way. Yet, true to the nature of this storm, nothing was to be untouched by it's fury. The mood seemed to darken over the province.
In our Harbour, like many around the province, people began to emerge from their homes and check on their neighbours and friends. They started to clean their yards and streets. However, their hands were tied when it came to the massive destruction of the roads and flooded areas. The power, phones, water, and fuel were all out of their hands - although some determined souls managed to take bikes to distant communities for jerry cans of gas.
What we learned was that this old land was created by sea, travelled by sea, and populated by sea. The Bights, Coves, Harbours are all used to describe the sea shore at their communities - unlike many places in the country. We were reminded that there is really only one road that runs through the province, and how the link can be shattered at whim. Yet our sea links can not. Even after ferocious Igor pounded the Island, the seas were back to their original, unaltered, state within days. No reconstruction is required there. No intervention by governments. It's as if nature is reminding us of the basic truth that Newfoundland is, and will always be, a land tied to the water.
As we move to reconstruct this land, let us move together, as we always have, and rebuild it stronger than before. In defiance of the odds, and in the knowledge that we are preserving this beautiful land for those that will follow.
We, the whole community of Hickman's Harbour, were hunkered down in our homes, isolated and vulnerable, ernestly listening to our emergency radios for any news of the events unfolding around our little Harbour. For us it was VOCM. We listened to the morning show, we listened to the afternoon show, and we listened to the evening show. All the family huddled around the table under candlelight. Like a few generations before us, the radio waves kept us enthralled and connected.
Newfoundlanders are, for certain, the great communicators of Canada, and for four uncertain days they communicated on the phone-in shows from coast to coast. At first, when events seemed centered around St John's, the shows seemed almost to downplay the events unfolding. The best, or worst example I can recall was talk show hosts and callers decrying the apparent fact that "townies" don't know how to use a four way stop. I recall this because it seemed so absolutely foolish, trivial, and out of touch with the hell unfolding around us. Yet, as the roads in town turned to raging rivers, and the fields and lawns to ponds, the tone seemed to get more grave. It was as if an understanding of something far more ominous was beginning to sink in.
Finally the news started to circulate of the massive devastation around the Burin and Bonavista Peninsulas. The news broke of the first, and thank God the only, fatality of Igor - Mr Alan Duffett. Although I never met the gentleman from Britannia, friends told me he had successfully fought cancer twice and survived several heart attacks. A man of obvious strong determination. It seemed particularily tragic that Mr Duffett should have to die in such a violent and random way. Yet, true to the nature of this storm, nothing was to be untouched by it's fury. The mood seemed to darken over the province.
In our Harbour, like many around the province, people began to emerge from their homes and check on their neighbours and friends. They started to clean their yards and streets. However, their hands were tied when it came to the massive destruction of the roads and flooded areas. The power, phones, water, and fuel were all out of their hands - although some determined souls managed to take bikes to distant communities for jerry cans of gas.
What we learned was that this old land was created by sea, travelled by sea, and populated by sea. The Bights, Coves, Harbours are all used to describe the sea shore at their communities - unlike many places in the country. We were reminded that there is really only one road that runs through the province, and how the link can be shattered at whim. Yet our sea links can not. Even after ferocious Igor pounded the Island, the seas were back to their original, unaltered, state within days. No reconstruction is required there. No intervention by governments. It's as if nature is reminding us of the basic truth that Newfoundland is, and will always be, a land tied to the water.
As we move to reconstruct this land, let us move together, as we always have, and rebuild it stronger than before. In defiance of the odds, and in the knowledge that we are preserving this beautiful land for those that will follow.
Sunday, September 19, 2010
In Politics there is a Right Way and a Wrong Way
Recently, actually for some time, I have often reflected on a story my father once told. A story he would have known, as he was there. It occured during the Italian campaign during World War II at a place called Monte Cassino. The German army had dug into positions on the slopes below the ancient abbey on top, recognizing and respecting it's historical and religious significance. The Germans even informed the Vatican of their positions so there would be no mistake. Unfortunately, the Americans deemed it to be a "possible" position for observation and or bunkering so they used their air force and leveled it. The Germans then occupied the position, using the ruins for maximum cover from air and land forces.
Getting back to my Father, he always maintained that the battle for Monte Cassino should have never happened. As a young Sargeant on the ground, and in regular contact with the Herman Georing Division, airborne, that was defending the area, I like to think he knew of what he was speaking. Interestly, my Dad believed that the allies could have simply driven right around Monte Cassino, without firing a shot, and the entire German contingent on the hill would have been cut off and forced into surrender. The lives that could have been saved on both sides, and the Abbey itself, would have been worth it.
Likely, somewhere up the command, a shiny four star felt that blowing it into oblivion was the right thing to do. Certainly it was one way. History, however, would suggest it was the wrong way. Just because the capability is there, we still have to consider how we use it. Clearly, the young Canadian Sargeant on the ground could see that. I like to think I got my sense of "the right way and the wrong way" from him. This picture of Monte Cassino after the bombing, illustrates the result of the wrong way...
Friday, September 10, 2010
Newfoundland 1 - Quebec 0
What can you say. There was a time when the province of Quebec produced some, if not most, of the great political people of our day. It looks like those days are behind us. In response to Premier Danny William's warnings to Quebec yesterday of a "new and aggressive" approach, in dealing with the Upper and Lower Churchill projects, the best the Quebec government can come up with is the PQ's Intergovernmental Affairs Critic - Bernard Drainville? Really. Drainville, apart from being a seperatist, is not even a member of Mr. Charest's government. Perhaps a deliberate slight toward our Premier. Likely. A serious misjudgement though.
Mr. Drainville, try to ignore the last name, came back at Premier Williams today with the startling accusation that Newfoundland had a "special deal" for it's drilling on the offshore. His other charge: that Quebec has been "screwed" many times since Confederation. Let's deal with the last statement first. Everyone in Canada knows Quebec hasn't lost since it lost. Just some examples: keeping the language and culture; bilingualism; new anthem; new flag; draconian language laws; language police; preferential systemic hiring throughout the federal civil service; domination of federal politics and positions of power; undemocratic numbers of representatives in the House of Commons and Senate; apparently a hockey arena in Quebec City; Bombardier; the Canadian Space Agency; CSIS headquarters; the Museum of Humour; equalization payments; and so many others that they could not be fully listed here. It makes any thinking human being laugh out loud at such a statement.
Now for the "special deal" charge. Mr. Drainville states that Newfoundland enjoys a special deal to develop and drill off hore petroleum resources which Quebec does not. True, but only in the slightest sense. Newfoundland and Labrador negotiated an agreement with the federal government to drill on the offshore. Any province that wishes to do so can, and must negotiate an agreement with the Federal government first. That is the law. It lays out who gets what money, and the rules and responsibilities of those developing as well as the provincial and federal governments. Quebec has not negotiated an agreement with the feds for several reasons. Firstly, as Nathalie Normandean states, they want the agreement to " recognize Quebec's full jurisdiction in the Gulf of St Lawrence". As if any national government in the world is going to give a province jurisdiction over any water way, let alone a strategic one. Then again, the folks in Quebec City tend to see themselves, and want us to see them, as a nation.
Mrs. Normandean has found herself in a bad position as the Newfoundland government has issued drilling rights to Old Harry, the rich site at the centre of controversy between Quebec and Newfoundland. Corridor, the company awarded the rights is set to drill in 2012. Quebec wants this resource for itself, and is pressuring the federal government to grant it the offshore agreement needed to begin drilling - on their terms of course. According to Mrs. Normandean: "The federal government is telling us to go negotiate with Newfoundland and we'll see after that. We say no,no,no,no. Why would we negotiate with Newfoundland if we think there is no problem with the 1964 boundary?" One reason I can think of - if you don't, Newfoundland will empty Old Harry before you can reach a deal with the feds. Perhaps. The other interesting fact of note is that Quebec has a self-imposed drilling ban in place in it's "jurisdiction" until atleast 2012.
At the very least, Quebec has really shot itself in the foot on this one. So using this "special deal" as a comeback on the Churchill projects is really assinine. Throw in the hypothetical and say Newfoundland had a special deal. What possible relevance does that have to Quebec's plundering of the Upper Churchill, and blocking of the Lower? Is there an implication that Newfoundland should sit back and take it in the stomach, because it was forward looking enough to develop it's "own resource". It has not plundered or otherwise taken advantage of Quebec or it's resources. The Upper and Lower Churchill are, after all, Newfoundland's resources.
Premier William's should be sitting back and smiling after todays show. The weakness of Quebec's response correctly reflects the weakness in their position. The days of Quebec crying and the rest of the country running for paper towel are over. In all this, it is important to remember that the people of Quebec have no more say in the policy and actions of Hydro Quebec, or the Quebec government, than any other populace in the country. It's also important to remember that it is irrelevant how much money Quebec gets from the rest of the country - in so far as this battle goes. We can't be suckered into an anti-Quebec stance. We need to stay focused on the issues of the Lower and Upper Churchill falls. We need to use the tools availabe to us to achieve these ends, and we need not explain nor apologize to anyone for using them. All in all though, I would say one to nothing for us.
Mr. Drainville, try to ignore the last name, came back at Premier Williams today with the startling accusation that Newfoundland had a "special deal" for it's drilling on the offshore. His other charge: that Quebec has been "screwed" many times since Confederation. Let's deal with the last statement first. Everyone in Canada knows Quebec hasn't lost since it lost. Just some examples: keeping the language and culture; bilingualism; new anthem; new flag; draconian language laws; language police; preferential systemic hiring throughout the federal civil service; domination of federal politics and positions of power; undemocratic numbers of representatives in the House of Commons and Senate; apparently a hockey arena in Quebec City; Bombardier; the Canadian Space Agency; CSIS headquarters; the Museum of Humour; equalization payments; and so many others that they could not be fully listed here. It makes any thinking human being laugh out loud at such a statement.
Now for the "special deal" charge. Mr. Drainville states that Newfoundland enjoys a special deal to develop and drill off hore petroleum resources which Quebec does not. True, but only in the slightest sense. Newfoundland and Labrador negotiated an agreement with the federal government to drill on the offshore. Any province that wishes to do so can, and must negotiate an agreement with the Federal government first. That is the law. It lays out who gets what money, and the rules and responsibilities of those developing as well as the provincial and federal governments. Quebec has not negotiated an agreement with the feds for several reasons. Firstly, as Nathalie Normandean states, they want the agreement to " recognize Quebec's full jurisdiction in the Gulf of St Lawrence". As if any national government in the world is going to give a province jurisdiction over any water way, let alone a strategic one. Then again, the folks in Quebec City tend to see themselves, and want us to see them, as a nation.
Mrs. Normandean has found herself in a bad position as the Newfoundland government has issued drilling rights to Old Harry, the rich site at the centre of controversy between Quebec and Newfoundland. Corridor, the company awarded the rights is set to drill in 2012. Quebec wants this resource for itself, and is pressuring the federal government to grant it the offshore agreement needed to begin drilling - on their terms of course. According to Mrs. Normandean: "The federal government is telling us to go negotiate with Newfoundland and we'll see after that. We say no,no,no,no. Why would we negotiate with Newfoundland if we think there is no problem with the 1964 boundary?" One reason I can think of - if you don't, Newfoundland will empty Old Harry before you can reach a deal with the feds. Perhaps. The other interesting fact of note is that Quebec has a self-imposed drilling ban in place in it's "jurisdiction" until atleast 2012.
At the very least, Quebec has really shot itself in the foot on this one. So using this "special deal" as a comeback on the Churchill projects is really assinine. Throw in the hypothetical and say Newfoundland had a special deal. What possible relevance does that have to Quebec's plundering of the Upper Churchill, and blocking of the Lower? Is there an implication that Newfoundland should sit back and take it in the stomach, because it was forward looking enough to develop it's "own resource". It has not plundered or otherwise taken advantage of Quebec or it's resources. The Upper and Lower Churchill are, after all, Newfoundland's resources.
Premier William's should be sitting back and smiling after todays show. The weakness of Quebec's response correctly reflects the weakness in their position. The days of Quebec crying and the rest of the country running for paper towel are over. In all this, it is important to remember that the people of Quebec have no more say in the policy and actions of Hydro Quebec, or the Quebec government, than any other populace in the country. It's also important to remember that it is irrelevant how much money Quebec gets from the rest of the country - in so far as this battle goes. We can't be suckered into an anti-Quebec stance. We need to stay focused on the issues of the Lower and Upper Churchill falls. We need to use the tools availabe to us to achieve these ends, and we need not explain nor apologize to anyone for using them. All in all though, I would say one to nothing for us.
Thursday, September 9, 2010
Way to go Premier Danny Williams!
In a speech Wednesday to the St John's Board of Trade our Premier came out and stated: "the dispute with Charest will take a new, aggressive approach". I guess, when you consider that most people might think Mr. William's has already been fairly aggressive in his approach with Quebec, that the new approach will be a doozy. Certainly, if he hopes to be successful, it will need to be. Quebec's territorial strategy is long and deep, and they won't easily bend. Think I'm over stating it? How about this quote from then Quebec Premier Jean Lesage, 1965:
" The primary and absolute condition is that all energy that will enter Quebec becomes property of Hydro Quebec. That condition...has always been the same, and we will never negotiate from another basis. We will never permit, under any condition, others to build a transmission line on Quebec territory, or let others transport the energy produced at Churchill Falls whatever the destinationof that energy, whether it be the United States or the other provinces." quoted from Le Devoir, 1965.
Clearly, Quebec has taken a monopolistic, some might say anti-competetive, approach from day one in the development of their, and our, hydro electric power. I would suggest that Mr Lesage's quote from 1965, four years prior to the Power Contract being signed, clearly illustrates a lack of good faith from the outset.
In any case, when fighting any entity that hides behind the Law to fufill it's own inhumane agenda, the words of the great american Abraham Lincoln should be heeded:
" I did understand however, that my oath to preserve the Constitution to the best of my ability, imposed upon me the duty of preserving, by every indispensable means, that government - that nation - of which that constitution was the organic law. Was it possible to lose the nation, and yet preserve the constitution? By general law life and limb must be protected; yet often a limb must be amputated to save a life, but a life is never wisely given to save a limb. I felt that measures, otherwise unconstitutional, might become lawful, by becoming indispensable to the preservation of the constitution, through the preservation of the nation right or wrong, I assumed this ground, and now avow it. I could not feel that, to the best of my ablility, I had even tried to preserve the constitution, if, to save slavery, or any minor matter, I should permit the wreck of government, country and Constitution all together." Miscellaneous writings of Abraham Lincoln.
In these old words of wisdom lies a real grain of truth for Newfoundland and Labrador. We must fight, utilizing all the tools we have, to undo the 1969 Power Contract. Yes it is a contract, as was the American constitution of Lincoln's time, but when necessary for the survival of the whole it can be abrogated. If Newfoundland chooses to allow the Upper Churchill agreement to continue the result will be catostrophic for the people. Economically, as layed out here in previous posts, Newfoundland's economic survival is at stake. It's way of life is threatened. It's people's pursuit of happiness is not only diminished, but likely permanently thwarted. In other words, to remain in this agreement is to sentence the people of Newfoundland to an ever diminishing way of life.
Thank-you Premier Williams for seeing the fight, and taking it to those who need it. As you can see by history, when approached with submission, a great people step forward together in a singular purpose. It is in the leader's hands to show them the way.
" The primary and absolute condition is that all energy that will enter Quebec becomes property of Hydro Quebec. That condition...has always been the same, and we will never negotiate from another basis. We will never permit, under any condition, others to build a transmission line on Quebec territory, or let others transport the energy produced at Churchill Falls whatever the destinationof that energy, whether it be the United States or the other provinces." quoted from Le Devoir, 1965.
Clearly, Quebec has taken a monopolistic, some might say anti-competetive, approach from day one in the development of their, and our, hydro electric power. I would suggest that Mr Lesage's quote from 1965, four years prior to the Power Contract being signed, clearly illustrates a lack of good faith from the outset.
In any case, when fighting any entity that hides behind the Law to fufill it's own inhumane agenda, the words of the great american Abraham Lincoln should be heeded:
" I did understand however, that my oath to preserve the Constitution to the best of my ability, imposed upon me the duty of preserving, by every indispensable means, that government - that nation - of which that constitution was the organic law. Was it possible to lose the nation, and yet preserve the constitution? By general law life and limb must be protected; yet often a limb must be amputated to save a life, but a life is never wisely given to save a limb. I felt that measures, otherwise unconstitutional, might become lawful, by becoming indispensable to the preservation of the constitution, through the preservation of the nation right or wrong, I assumed this ground, and now avow it. I could not feel that, to the best of my ablility, I had even tried to preserve the constitution, if, to save slavery, or any minor matter, I should permit the wreck of government, country and Constitution all together." Miscellaneous writings of Abraham Lincoln.
In these old words of wisdom lies a real grain of truth for Newfoundland and Labrador. We must fight, utilizing all the tools we have, to undo the 1969 Power Contract. Yes it is a contract, as was the American constitution of Lincoln's time, but when necessary for the survival of the whole it can be abrogated. If Newfoundland chooses to allow the Upper Churchill agreement to continue the result will be catostrophic for the people. Economically, as layed out here in previous posts, Newfoundland's economic survival is at stake. It's way of life is threatened. It's people's pursuit of happiness is not only diminished, but likely permanently thwarted. In other words, to remain in this agreement is to sentence the people of Newfoundland to an ever diminishing way of life.
Thank-you Premier Williams for seeing the fight, and taking it to those who need it. As you can see by history, when approached with submission, a great people step forward together in a singular purpose. It is in the leader's hands to show them the way.
Thursday, August 26, 2010
Debt, Hydro Power, and fighting for the Crumbs
The game of Hydro Power domination, currently unfolding in Maritime Canada, will be fueled by old faithful - debt. Or perhaps more accurately: debt capacity. Afterall, most businesses close their doors when their debts hopelessly outnumber their assets, and all the players involved in the Power War are in this diminshed position. Like the Emporer without clothes they strut, and yet their citizens dare say nothing, as to do so would force them to recognize their own naked place. And so we stumble on until the great international financiers force a mirror on us in the form of credit downgrades, credit freezes, devestating interest rates and terminal deflation.
When the government of Quebec proclaimed it's intention to buy New Brunswick Power, partner on the Lower Churchill, or any such project, it was really like the dog frantically chasing it's tail. Contemplate the following financial facts on the province: Quebec's gross debt today is 49.9% of it's GDP; it's gross debt is projected to be 53.4% of GDP by 2014; and it's current total debt is 94% of GDP. Those numbers place Quebec in the not so auspicious position of just behind Greece as one of the world's most indebted economies. Essentially bankrupt. If you combine that staggering debt with the lowest birthrate in North America Quebec's medium to long term prospects are dim - to say the least. It is estimated that should Quebec ever seperate it's debt would be aproximately 300 billion. To put that into context, Quebec would have to slash programs, and raise taxes 53% just to instantly become a member of the Third World.
It helps to put things into context. Here is another shocker. Hydro Quebec, the great propeller of Quebec's Manifest Destiny, is in serious debt too. As of 2010, Hydro Quebec's debt is 36 billion dollars with planned investments of 18 billion more by 2013. That's 54 billion. In that context it probably is not surprising that Quebec tries to thwart Newfoundland's entry into the market, or allow it to free the chains of the Power Contract, 1969. Essentially, through an extremely exagerated sense of self- importance, and a spending spree to match, Quebec has reached the limit. If it can not expand it's primary natural resource, hydro, then it will start to shrink and decline. In strictly financial terms it has already peaked and declined. Now they are trying to swim upstream just ahead of a massive water fall. The recent letter by Quebec's Premier to Mr. Harper, complaining that any funds given to Newfoundland and Nova Scotia would constitute an unfair subsidy to their hydro ambitions, rings hollow when you consider Quebec recieved at least 8.5 billion in equalization payments last year - including compansation for subsidized electrical rates for Quebec residents and business. Desperate people sometimes do desperate things.
The province of Newfoundland is not exactly in great financial shape either. Trapped in low wages, high taxes, shrinking revenues, massive debt, declining birth rates, net migration and surrendered resources Newfoundland is also on life support. Bravely, along the lines of the Emperor's new clothes, Newfoundland continuously fights to stay above water. However, without recapturing the Upper Churchill revenues, and developing the Lower Churchill potential, Newfoundland's future will echo that of Quebec's.
Both provinces have spent way past their means. Both have tried to build massives infrastructures in a relatively short period of time with declining birth rates. Bucking the wind as it were. Unlike say China, India, and Brazil where their population growth is positive and their development and spending is therefore sustainable, Newfoundland and Quebec have been living life on high. And for all, there comes a time to pay the piper. Now, rather than enjoying the benefits of our ancestors prudence and discipline, the things that differentiated the New World from the Old, we find ourselves like the world of Old - fighting for the crumbs.
So I say to the government of Newfoundland and Labrador: Fight. All you have to lose are your chains. But know you are in for the fight of your lives, and, therefore, fight accordingly. Please.
When the government of Quebec proclaimed it's intention to buy New Brunswick Power, partner on the Lower Churchill, or any such project, it was really like the dog frantically chasing it's tail. Contemplate the following financial facts on the province: Quebec's gross debt today is 49.9% of it's GDP; it's gross debt is projected to be 53.4% of GDP by 2014; and it's current total debt is 94% of GDP. Those numbers place Quebec in the not so auspicious position of just behind Greece as one of the world's most indebted economies. Essentially bankrupt. If you combine that staggering debt with the lowest birthrate in North America Quebec's medium to long term prospects are dim - to say the least. It is estimated that should Quebec ever seperate it's debt would be aproximately 300 billion. To put that into context, Quebec would have to slash programs, and raise taxes 53% just to instantly become a member of the Third World.
It helps to put things into context. Here is another shocker. Hydro Quebec, the great propeller of Quebec's Manifest Destiny, is in serious debt too. As of 2010, Hydro Quebec's debt is 36 billion dollars with planned investments of 18 billion more by 2013. That's 54 billion. In that context it probably is not surprising that Quebec tries to thwart Newfoundland's entry into the market, or allow it to free the chains of the Power Contract, 1969. Essentially, through an extremely exagerated sense of self- importance, and a spending spree to match, Quebec has reached the limit. If it can not expand it's primary natural resource, hydro, then it will start to shrink and decline. In strictly financial terms it has already peaked and declined. Now they are trying to swim upstream just ahead of a massive water fall. The recent letter by Quebec's Premier to Mr. Harper, complaining that any funds given to Newfoundland and Nova Scotia would constitute an unfair subsidy to their hydro ambitions, rings hollow when you consider Quebec recieved at least 8.5 billion in equalization payments last year - including compansation for subsidized electrical rates for Quebec residents and business. Desperate people sometimes do desperate things.
The province of Newfoundland is not exactly in great financial shape either. Trapped in low wages, high taxes, shrinking revenues, massive debt, declining birth rates, net migration and surrendered resources Newfoundland is also on life support. Bravely, along the lines of the Emperor's new clothes, Newfoundland continuously fights to stay above water. However, without recapturing the Upper Churchill revenues, and developing the Lower Churchill potential, Newfoundland's future will echo that of Quebec's.
Both provinces have spent way past their means. Both have tried to build massives infrastructures in a relatively short period of time with declining birth rates. Bucking the wind as it were. Unlike say China, India, and Brazil where their population growth is positive and their development and spending is therefore sustainable, Newfoundland and Quebec have been living life on high. And for all, there comes a time to pay the piper. Now, rather than enjoying the benefits of our ancestors prudence and discipline, the things that differentiated the New World from the Old, we find ourselves like the world of Old - fighting for the crumbs.
So I say to the government of Newfoundland and Labrador: Fight. All you have to lose are your chains. But know you are in for the fight of your lives, and, therefore, fight accordingly. Please.
Thursday, August 19, 2010
And so it starts...
An eventful, and somewhat predictable week begins the not-so-unofficial hydro war between Newfoundland and Quebec. You could say NALCOR and Hydro Quebec, but the reality is the massive dollars involved are targeted primarily for public coffers.
Things started with the disclosure that Newfoundland, in partnership with Nova Scotia, had officially requested P3 funding for an underwater electrical cable linking Labrador, Newfoundland, and Nova Scotia. While we in the general public have not heard the "deal" that obviously exists between Newfoundland and Nova Scotia, you can bet there is one. The Quebec government, Premier no less, wrote an official request to the Prime Minister to disallow such funding based on the presumption that it was an unfair subsidy to Newfoundland's hydro ambitions. By doing so Quebec not only "outed" Newfoundland and Nova Scotia's appeal for public funds, but also, and likely more importantly, they set the stage for the ongoing saga lovingy known as "the betrayal of Quebec".
This theme Quebec brings to the fore every time they feel their interests are threatened. Essentially it is a warning to the federal government that if such and such were to go through, well, they couldn't be held responsible for the reaction amongst the people of Quebec. Read here: revival of the seperatist movement and Quebec's march to "rightful" independance. We have seen this movie so many times now that the Canadian people know it by heart. That does not mean however that Canadians are not concerned about Quebec actually attempting to seperate. They just are no longer prepared to sign over whatever Quebec wishes to keep it in place. Certainly attitudes in this regard changed with the defeat of the Meech Lake Accord and the subsequent Charlottown Accord, and likely peaked with Jean Chretien's bold statement to the Quebec government that if Canada is divisable then so is Quebec.
Apparently, despite this strengthening of the collective Canadian will, some Quebec politicians believe that setting the old background up prior to the main match is still a comfortable strategy. Well, they may as well save their breath. The rules of engagement have changed, and Newfoundland is not going to back down on the Upper or Lower Churchill Falls, and nor should they.
Premier Danny Williams must reconvene the Newfoundland House of Assembly and pass the necessary legislation to ban hydro sales to any entity that does not recognize and practise English as it's primary language. Insert the notwithstanding clause to avoid any court action by the Quebec or federal government. Nalcor will have no choice but to cease selling to Hydro Quebec as to do otherwise would then break the law. The Power Contract of 1969 would still be alive, but it would be against the law to fufill it in other words. Why would the Premier wait, and in some ways dance around with Quebec and others on this issue. It is too crucial to Newfoundland's survival. He certainly has the people on his side, and a vast ocean of political capital to draw on should he need it. Quebec, and to some degree Ottawa, need to understand that Newfoundland is not begging for pennies. It is asserting it's rights over it's own resources, and no soft pedalled deal can come in between the way of that right. We can talk, but only after we have regained control over our own vital natural resource.
If you want to fight the Quebec government, then you must out do them at their own game. Do not try and be gentalmanly as they will see that as weakness. Do not compromise until you have achieved the primary goal as they will see that weakness. Do not lose sight of your reasons for fighting this injustice, as they will see that as opportunity. There is no longer any need to try and partner with Quebec. If you question that, then you should have been watching the news this week. Make no mistake, Quebec's strategic plan is to keep the 1969 contract until it's expiry date. In the mean time they will construct their own facilities so they are prepared to lose that power at that time. They do not have a long term interest in Newfoundland, and they know their time in Labrador is limited. They obviously no not care one iota how their policies have affected the people of Newfoundland - not in the least. Literally could not care less. We must meet this with our own strength, and with this knowledge in mind. As the Premier of Nova Scotia stated today: "Quebec does not have a veto." Perhaps the bigger question should have been: "Whatever gave them the idea they did?" In any case, let the games begin!
Things started with the disclosure that Newfoundland, in partnership with Nova Scotia, had officially requested P3 funding for an underwater electrical cable linking Labrador, Newfoundland, and Nova Scotia. While we in the general public have not heard the "deal" that obviously exists between Newfoundland and Nova Scotia, you can bet there is one. The Quebec government, Premier no less, wrote an official request to the Prime Minister to disallow such funding based on the presumption that it was an unfair subsidy to Newfoundland's hydro ambitions. By doing so Quebec not only "outed" Newfoundland and Nova Scotia's appeal for public funds, but also, and likely more importantly, they set the stage for the ongoing saga lovingy known as "the betrayal of Quebec".
This theme Quebec brings to the fore every time they feel their interests are threatened. Essentially it is a warning to the federal government that if such and such were to go through, well, they couldn't be held responsible for the reaction amongst the people of Quebec. Read here: revival of the seperatist movement and Quebec's march to "rightful" independance. We have seen this movie so many times now that the Canadian people know it by heart. That does not mean however that Canadians are not concerned about Quebec actually attempting to seperate. They just are no longer prepared to sign over whatever Quebec wishes to keep it in place. Certainly attitudes in this regard changed with the defeat of the Meech Lake Accord and the subsequent Charlottown Accord, and likely peaked with Jean Chretien's bold statement to the Quebec government that if Canada is divisable then so is Quebec.
Apparently, despite this strengthening of the collective Canadian will, some Quebec politicians believe that setting the old background up prior to the main match is still a comfortable strategy. Well, they may as well save their breath. The rules of engagement have changed, and Newfoundland is not going to back down on the Upper or Lower Churchill Falls, and nor should they.
Premier Danny Williams must reconvene the Newfoundland House of Assembly and pass the necessary legislation to ban hydro sales to any entity that does not recognize and practise English as it's primary language. Insert the notwithstanding clause to avoid any court action by the Quebec or federal government. Nalcor will have no choice but to cease selling to Hydro Quebec as to do otherwise would then break the law. The Power Contract of 1969 would still be alive, but it would be against the law to fufill it in other words. Why would the Premier wait, and in some ways dance around with Quebec and others on this issue. It is too crucial to Newfoundland's survival. He certainly has the people on his side, and a vast ocean of political capital to draw on should he need it. Quebec, and to some degree Ottawa, need to understand that Newfoundland is not begging for pennies. It is asserting it's rights over it's own resources, and no soft pedalled deal can come in between the way of that right. We can talk, but only after we have regained control over our own vital natural resource.
If you want to fight the Quebec government, then you must out do them at their own game. Do not try and be gentalmanly as they will see that as weakness. Do not compromise until you have achieved the primary goal as they will see that weakness. Do not lose sight of your reasons for fighting this injustice, as they will see that as opportunity. There is no longer any need to try and partner with Quebec. If you question that, then you should have been watching the news this week. Make no mistake, Quebec's strategic plan is to keep the 1969 contract until it's expiry date. In the mean time they will construct their own facilities so they are prepared to lose that power at that time. They do not have a long term interest in Newfoundland, and they know their time in Labrador is limited. They obviously no not care one iota how their policies have affected the people of Newfoundland - not in the least. Literally could not care less. We must meet this with our own strength, and with this knowledge in mind. As the Premier of Nova Scotia stated today: "Quebec does not have a veto." Perhaps the bigger question should have been: "Whatever gave them the idea they did?" In any case, let the games begin!
Saturday, August 7, 2010
Good Old Harry
When you here the name "Old Harry" you could be forgiven for thinking it might be some old clock in England, or a funny nickname for the old guy down the street. However, Old Harry really stands for big money, big oil and a seriously annoyed Quebec. You see old Harry is the name for a 29km long oil/gas deposit off the coasts of Nova Scotia, Quebec, and Newfoundland. Technically, atleast according to Quebec, the majority, if not the entirety, of Old Harry lies within Quebec's maritime jurisdiction. We can't really call them maritime boarders as the players are all in the same country - although sometimes you might wonder.
This time around, unlike 1969, Newfoundland has got a jump on Quebec in exploiting this massive resource. You see, any province wanting to explore/drill on the offshore must have a revenue sharing agreement in place with the federal government. It must also agree on being compliant to federal legislation and establish regulatory oversight. Newfoundland has already gone through that entire process, and has had many years of experience in the field. Quebec - has not. The Quebec government has been pushing Ottawa to finalize a deal so they can begin hauling in the catch, so to speak, at Old Harry. Ottawa on the other hand has told them to negotiate with Newfoundland first to straighten out the border differences between the two.
Where does that leave Quebec? Deep in it I would say. For starters, Newfoundland has begun work on it's side of the line with an eye on beating Quebec to the field. Afterall, just because they drill on the Newfoundland side of the line doesn't mean they can't empty the Quebec side of the resource. Question that? Go back to the Saddam Hussein days and the slant drilling Kuwait and Iraq were doing to each others fields - depending on who you spoke to. Newfoundland is definately in a position to hand Quebec its first massive financial lose since it lost on the Plains of Abraham. No doubt the separatists in Quebec will say this is yet another humiliation inflicted on Quebec by the rest of Canada.
However, before they speak, they should remember the Upper Churchill. In the resource war that now consumes Atlantic Canada and Quebec, this is just another salvo - albeit painful. There will be no peace, no good will, no sharing amongst the family until the blight that the Power Contract of 1969, and the Upper Churchill enslavement, are set aside for a new agreement. This isn't just a one off. This is going to become the norm - and it is dangerous.
Those of us that love this country are very concerned that pettulant provincial battles constantly rip at her fabric, and the greatness we have as one is threatened by the greed of some. Never has any province in the history of this land been subjected to an economic enslavement such as the Upper Churchill contract by another province. Her own fellow Canadians. It has cost Newfoundland entire lost generations and monumental wealth - replaced of course with massive debt and horrific demographics. The Upper Churchill contract must be set aside voluntarily, or otherwise. If not, the eastern half of this country will come to resemble an internal economic civil war. Quebec needs to understand that greed can only take it so far, and it's dream of dominating the hydro electric market is not going to happen. There is no great separate manifest destiny for the province of Quebec, and she must immediately halt her ridiculous "nationalistic" energy practices.
This time around, unlike 1969, Newfoundland has got a jump on Quebec in exploiting this massive resource. You see, any province wanting to explore/drill on the offshore must have a revenue sharing agreement in place with the federal government. It must also agree on being compliant to federal legislation and establish regulatory oversight. Newfoundland has already gone through that entire process, and has had many years of experience in the field. Quebec - has not. The Quebec government has been pushing Ottawa to finalize a deal so they can begin hauling in the catch, so to speak, at Old Harry. Ottawa on the other hand has told them to negotiate with Newfoundland first to straighten out the border differences between the two.
Where does that leave Quebec? Deep in it I would say. For starters, Newfoundland has begun work on it's side of the line with an eye on beating Quebec to the field. Afterall, just because they drill on the Newfoundland side of the line doesn't mean they can't empty the Quebec side of the resource. Question that? Go back to the Saddam Hussein days and the slant drilling Kuwait and Iraq were doing to each others fields - depending on who you spoke to. Newfoundland is definately in a position to hand Quebec its first massive financial lose since it lost on the Plains of Abraham. No doubt the separatists in Quebec will say this is yet another humiliation inflicted on Quebec by the rest of Canada.
However, before they speak, they should remember the Upper Churchill. In the resource war that now consumes Atlantic Canada and Quebec, this is just another salvo - albeit painful. There will be no peace, no good will, no sharing amongst the family until the blight that the Power Contract of 1969, and the Upper Churchill enslavement, are set aside for a new agreement. This isn't just a one off. This is going to become the norm - and it is dangerous.
Those of us that love this country are very concerned that pettulant provincial battles constantly rip at her fabric, and the greatness we have as one is threatened by the greed of some. Never has any province in the history of this land been subjected to an economic enslavement such as the Upper Churchill contract by another province. Her own fellow Canadians. It has cost Newfoundland entire lost generations and monumental wealth - replaced of course with massive debt and horrific demographics. The Upper Churchill contract must be set aside voluntarily, or otherwise. If not, the eastern half of this country will come to resemble an internal economic civil war. Quebec needs to understand that greed can only take it so far, and it's dream of dominating the hydro electric market is not going to happen. There is no great separate manifest destiny for the province of Quebec, and she must immediately halt her ridiculous "nationalistic" energy practices.
Sunday, June 27, 2010
Upper/Lower Churchill
Almost everyone in this province knows the beating we took at the hands of Hydro Quebec in 1969. The infamous Power Contract that has seen Quebec reap 22 billion so far and Newfoundland a mere billion. The agreement that sealed our fate as a have not province - unless oil is high. Whatever news story we hear regarding out migration, lack of health care, social services, roads, etc can be directly traced back to the massive loss of money Newfoundland has suffered since 1969. Don't believe that? Consider that even a mere 50-50 split of that 22 billion Quebec has received so far, 11 billion, would be enough to pay Newfoundland's complete debt of today. Yes, like Alberta - debt free.
Now consider that Newfoundland has the largest per capita debt in Canada. A massive 11 billion for a population of less than 500,000 souls. We aren't getting any younger either. That means less people to pay the debt we already have - which is increasing by at least 200 million a year. That is where the hydro projects come in. Not one single shovel has been turned at the Lower Churchill. The reason - we can't raise the money locally or internationally. At an estimated cost of 6-7 billion for the Lower Churchill and another 3 billion for the under sea cable to transmit the power, well, let's just say we don't have the credit limit to cover that. Hence our Premier trying to twist arms in Ottawa to get it's Hibernia share, and other such revenue generating adventures. The only problem with that strategy is Ottawa's got it's own bills to worry about, and they need the cash.
Some here have said that Ottawa will intervene on Newfoundland's behalf, and help us finance the Lower Churchill development. That seems very unlikely. It would require the federal government side with Newfoundland in an energy war with Quebec. The political calculation is 9 million votes or 500,000 votes. Some say that we should be partners with Quebec in the Lower Churchill, but the reality is we are shaping up to be competitors in the continental energy market. Partnerships with Quebec in hydro tend to be one sided in any case. Think that is too strongly worded? Consider that when Quebec automatically renews the agreement for another 25 years in 2014 they will be paying us less than they do today. That's right - less.
There is one chance to undo all this history, recover our finances, end our financial decline, and even reverse our population lose. We must cancel the Upper Churchill agreement and recoup as much of those funds as possible moving forward. With that revenue coming in financial backers could realistically invest in our long term future. To change the deal has proven fruitless over the years, but only because the strategies have been flawed. Hydro Quebec's lawyers ensured their contact with us was air tight according to the laws of the land in 1969, and likely could not foresee any change in contract law. However, in the 1980's, we repatriated the Constitution - and the Notwithstanding Clause. Essentially, the Clause allows the federal or provincial governments to pass laws, within their jurisdiction, that would otherwise contradict the Constitution. One such area of provincial jurisdiction we can use, as others have, is language.
Our provincial government must pass legislation banning the export of hydro power to any jurisdiction that does not recognize English as it's primary language. This ties a provincial jurisdiction, which the law can be used on, to the Power Contract. I other words it would be illegal for Nalcor to sell power to Quebec. We could not be sued or even challenged in court as the Clause exempts the government that uses it from any legal challenge. It should have an inclusion that the law takes effect in 60 days, and the government may amend the law to allow sales to whomever it wishes on a case by case basis. It could also be cancelled at any time the government chooses. Suddenly, Quebec is in the same position that they put Newfoundland in back in 1969. With their American customers telling them to get their house in order, and their supply secured, Hydro Quebec will have no choice but to renegotiate. They should hurry with their offer as nobody likes a middleman.
Now consider that Newfoundland has the largest per capita debt in Canada. A massive 11 billion for a population of less than 500,000 souls. We aren't getting any younger either. That means less people to pay the debt we already have - which is increasing by at least 200 million a year. That is where the hydro projects come in. Not one single shovel has been turned at the Lower Churchill. The reason - we can't raise the money locally or internationally. At an estimated cost of 6-7 billion for the Lower Churchill and another 3 billion for the under sea cable to transmit the power, well, let's just say we don't have the credit limit to cover that. Hence our Premier trying to twist arms in Ottawa to get it's Hibernia share, and other such revenue generating adventures. The only problem with that strategy is Ottawa's got it's own bills to worry about, and they need the cash.
Some here have said that Ottawa will intervene on Newfoundland's behalf, and help us finance the Lower Churchill development. That seems very unlikely. It would require the federal government side with Newfoundland in an energy war with Quebec. The political calculation is 9 million votes or 500,000 votes. Some say that we should be partners with Quebec in the Lower Churchill, but the reality is we are shaping up to be competitors in the continental energy market. Partnerships with Quebec in hydro tend to be one sided in any case. Think that is too strongly worded? Consider that when Quebec automatically renews the agreement for another 25 years in 2014 they will be paying us less than they do today. That's right - less.
There is one chance to undo all this history, recover our finances, end our financial decline, and even reverse our population lose. We must cancel the Upper Churchill agreement and recoup as much of those funds as possible moving forward. With that revenue coming in financial backers could realistically invest in our long term future. To change the deal has proven fruitless over the years, but only because the strategies have been flawed. Hydro Quebec's lawyers ensured their contact with us was air tight according to the laws of the land in 1969, and likely could not foresee any change in contract law. However, in the 1980's, we repatriated the Constitution - and the Notwithstanding Clause. Essentially, the Clause allows the federal or provincial governments to pass laws, within their jurisdiction, that would otherwise contradict the Constitution. One such area of provincial jurisdiction we can use, as others have, is language.
Our provincial government must pass legislation banning the export of hydro power to any jurisdiction that does not recognize English as it's primary language. This ties a provincial jurisdiction, which the law can be used on, to the Power Contract. I other words it would be illegal for Nalcor to sell power to Quebec. We could not be sued or even challenged in court as the Clause exempts the government that uses it from any legal challenge. It should have an inclusion that the law takes effect in 60 days, and the government may amend the law to allow sales to whomever it wishes on a case by case basis. It could also be cancelled at any time the government chooses. Suddenly, Quebec is in the same position that they put Newfoundland in back in 1969. With their American customers telling them to get their house in order, and their supply secured, Hydro Quebec will have no choice but to renegotiate. They should hurry with their offer as nobody likes a middleman.
Sunday, June 13, 2010
Upper Churchill Falls End Game
In 1969, when the Power Contract was finalized between Brinco and Hydro Quebec, Newfoundland's fate was sealed. "Have Not" status was to be a permanent state of affairs with Quebec gaining wealth and independance. Quebec saw this as an opportunity to massively expand Hydro Quebec, as the foundation of it's nationalistic drive towards being " masters in their own house". Newfoundland has suffered ever since, and continues to do so to this day.
Many Premiers have since tried to right the wrong done by this deal, but with no success. Legal avenues have been tried. Minor, or ill advised, political pressure has been tried. Most recently the Newfoundland government's attempt to have the Quebec utilities regulator rule against Hydro Quebec in favour of Newfoundland - like that would ever happen! It has to be considered an absolute act of futility, and honestly not well thought out. The lawyers for Hydro Quebec in 1969 made sure they had Newfoundland painted into a corner with no way out - that is, according to the law at that time. They did not forsee any change in civil law that could in any way alter the Power Contract, and in this sense they were right.
However, with the repatriation of the Constitution in the 80's an answer to Newfoundland's prayers actually emerged. As a compromise with the provinces Mr Trudeau allowed the creation and insertion into the Constitution of the "notwithstanding clause". A clause that would allow the federal government or a provincial government to override certain rights within the Constitution that fell under their respective jurisdictions. Therein lies the key for Newfoundland.
In order to make this work we must first tie one of these rights to the hydro electric business. The one obvious area would be language. Quebec has made French it's primary language, including in the business sector, and utilized the notwithstanding clause to do so. It could do that, because language, business, education, etc are provincial jurisdictions. It is in effect a game that Quebec has perfected. The game has never been used against Quebec. Now it must be.
Newfoundland's House of Assembly must pass legislation forbidding the sale of hydro electric power to any jurisdiction that does not have English as it's primary language. The legislation must have the notwithstanding clause inserted in it to shield Newfoundland from any legal action from either the Quebec or Federal governments. It is within our rights to do so as language and natural resources are both within provincial jurisdiction. The language of the legislation should include a provisio that the Newfoundland government retains the right to allow exceptions to this law should it be in the interest of the Newfoundland people to do so. A 60-day implementation period should be included. This would give Quebec and likely the Federal government 60 days to renegotiate the 1969 contract with Newfoundland.
The repurcussions for Hydro Quebec would be serious. Should it fail to renegotiate the contract, power would be cut from the Upper Churchill. The United States and other customers that Hydro Quebec services would be facing immediate power losses. Hydro Quebec as a corporate entity, and certainly as a supplier of power, would be crippled. The Americans would demand that Hydro Quebec immediately negotiate with Newfoundland. Suddenly, history will be reversing itself as Hydro Quebec will now be the one that is in the poor bargaining position and the province of Newfoundland will hold all the chips and be dictating terms. One would seriously expect those terms to include compensation for revenues lost from 1969 to present and atleast a 50% share in ongoing profits. Likely, the Americans would then look to Newfoundland as future suppliers of hydro power as we own the resources. In other words, cut out the middle man.
Newfoundland does not have the funds to proceed with the Lower Churchill, let alone the underwater sea lines to the maritimes, without the revenues from the Upper Churchill. Newfoundland is already paralyzed, in reality, with an 11 billion dollar debt. For a province with less than 500,000 people that is crippling. No lender, nationally or internationally, is going to invest with that kind of debt load, and few revenues. For those that expect the Federal government to help out, well, that is being naive. Quebec and Newfoundland will be competing power giants, and the federal government is not likely to side with the province of 500,000 vs the province of 9,000,000. Politically, the cost would be suicidal.
No folks, this one we have to do on our own. This one we have to use the tools this Country has given us, and make them work for us. It is the only option now left for us. Don't be fooled by pie in the sky promises. Especially in these days after the massive debt collapse around the world. Newfoundland won't be taken seriously when looking for investment. I can hear some say: "but we've got the oil". Oil is not exactly a reliable source of income, as we have seen in the last 15 months, and it does run out. Hydro is forever. All that is required is the courage of conviction to do the right thing for the people of Newfoundland and Labrador.
Many Premiers have since tried to right the wrong done by this deal, but with no success. Legal avenues have been tried. Minor, or ill advised, political pressure has been tried. Most recently the Newfoundland government's attempt to have the Quebec utilities regulator rule against Hydro Quebec in favour of Newfoundland - like that would ever happen! It has to be considered an absolute act of futility, and honestly not well thought out. The lawyers for Hydro Quebec in 1969 made sure they had Newfoundland painted into a corner with no way out - that is, according to the law at that time. They did not forsee any change in civil law that could in any way alter the Power Contract, and in this sense they were right.
However, with the repatriation of the Constitution in the 80's an answer to Newfoundland's prayers actually emerged. As a compromise with the provinces Mr Trudeau allowed the creation and insertion into the Constitution of the "notwithstanding clause". A clause that would allow the federal government or a provincial government to override certain rights within the Constitution that fell under their respective jurisdictions. Therein lies the key for Newfoundland.
In order to make this work we must first tie one of these rights to the hydro electric business. The one obvious area would be language. Quebec has made French it's primary language, including in the business sector, and utilized the notwithstanding clause to do so. It could do that, because language, business, education, etc are provincial jurisdictions. It is in effect a game that Quebec has perfected. The game has never been used against Quebec. Now it must be.
Newfoundland's House of Assembly must pass legislation forbidding the sale of hydro electric power to any jurisdiction that does not have English as it's primary language. The legislation must have the notwithstanding clause inserted in it to shield Newfoundland from any legal action from either the Quebec or Federal governments. It is within our rights to do so as language and natural resources are both within provincial jurisdiction. The language of the legislation should include a provisio that the Newfoundland government retains the right to allow exceptions to this law should it be in the interest of the Newfoundland people to do so. A 60-day implementation period should be included. This would give Quebec and likely the Federal government 60 days to renegotiate the 1969 contract with Newfoundland.
The repurcussions for Hydro Quebec would be serious. Should it fail to renegotiate the contract, power would be cut from the Upper Churchill. The United States and other customers that Hydro Quebec services would be facing immediate power losses. Hydro Quebec as a corporate entity, and certainly as a supplier of power, would be crippled. The Americans would demand that Hydro Quebec immediately negotiate with Newfoundland. Suddenly, history will be reversing itself as Hydro Quebec will now be the one that is in the poor bargaining position and the province of Newfoundland will hold all the chips and be dictating terms. One would seriously expect those terms to include compensation for revenues lost from 1969 to present and atleast a 50% share in ongoing profits. Likely, the Americans would then look to Newfoundland as future suppliers of hydro power as we own the resources. In other words, cut out the middle man.
Newfoundland does not have the funds to proceed with the Lower Churchill, let alone the underwater sea lines to the maritimes, without the revenues from the Upper Churchill. Newfoundland is already paralyzed, in reality, with an 11 billion dollar debt. For a province with less than 500,000 people that is crippling. No lender, nationally or internationally, is going to invest with that kind of debt load, and few revenues. For those that expect the Federal government to help out, well, that is being naive. Quebec and Newfoundland will be competing power giants, and the federal government is not likely to side with the province of 500,000 vs the province of 9,000,000. Politically, the cost would be suicidal.
No folks, this one we have to do on our own. This one we have to use the tools this Country has given us, and make them work for us. It is the only option now left for us. Don't be fooled by pie in the sky promises. Especially in these days after the massive debt collapse around the world. Newfoundland won't be taken seriously when looking for investment. I can hear some say: "but we've got the oil". Oil is not exactly a reliable source of income, as we have seen in the last 15 months, and it does run out. Hydro is forever. All that is required is the courage of conviction to do the right thing for the people of Newfoundland and Labrador.
Saturday, May 29, 2010
Upper Churchill Newfoundland - what needs to be undone
It is estimated that the Upper Churchill Hydro project has created roughly 22 billion dollars for Hydro Quebec to date. Newfoundland's share is about 1 billion. Not exactly a balanced deal. Let's face it, not even close. What is the real cost of this deal?
If you consider that Newfoundland is 11 billion dollars in debt, and a mere 50% share of the Upper Churchill would have Newfoundland without any debt, then you start to get the idea. The biggest problem with the Upper Churchill is not the damage that it has done so far, which is huge to Newfoundland's development, but where it leaves us for the future. Consider that the Lower Churchill development is estimated to cost 7 billion - without the underwater cable transmission system. Then consider that the province is already 11 billion in debt. Then consider that there are only 500,000 souls in Newfoundland. Then consider that the population is aging faster than almost anywhere else in Canada. Then try not to consider the number of people that are leaving for the rest of Canada. Makes you wonder how Danny Williams copes!
The deal with Quebec has left Newfoundland starved of the revenue it needed to build the province up, and retain, if not grow, it's population. Yes oil has been developed, which has added to the provincial coffers, but likely won't undue by itself the damage of the last 40 years. Hard to get those years back.
Here's the kicker. Frankly, we aren't hearing the truth and the whole truth regarding the Lower Churchill development. The province of Newfoundland will likely not be able to do this project on it's own. Approaching financiers at this time, and in the state of our books, well let's just say we would not be the most attractive investment out there. The international bankers would view Newfoundland much the same as an extremely in debted family seeking a million dollar loan to start a business. Our largest resource is in the clutches of our biggest competitor for the foreseeable future. Oil is a good, but highly volatile resource given its cyclical nature and environmental concerns (the least of not being off shore drilling right now). They would likely say "we see where your going with this ...but, you have too high a debt to income...sorry". We need to prepare ourselves for this reality should we choose to let Hydro Quebec continue with its shabby deal.
Things are starting to look like they did in 1969 when Brinco, out of desperation, signed the deal with Hydro Quebec that sunk the province financially. We now have a Premier who is desperate to industrialize the province, but is stuck without a major backer/customer. The thought actually scares me, but recent media reports seem to imply a flirtateous eye is winking at Hydro Quebec. Surely, and I haven't heard the ice forming below, it would be a cold day in hell before we would do that to the province again.
If we hope to get financing from the international community, or at home in Canada for that matter, the financial fundamentals of the province must be sound. Sound means reducing debt, rationalizing spending, a Newfoundland-first procurement policy, but just as importantly increasing revenues. Not by way of taxing whats left of the economy to death, but recapturing what is otherwise bleeding away to push up Quebec's economy. This isn't being anti-Canadian. This is becoming masters in our own house. Not as separatists or radicals, but in self-defence of the Newfoundland way of life.
Simply put, we need to take back the Upper Churchill - period. Without it we won't get a cent. If we are to be a Hydro Power in the international sense, then we need to utilize what we have. Hydro Quebec, by whatever means, must be convinced to rip up the Power Contract and renegotiate the power of the Upper Churchill. No other province, and I've lived in alot of them, would tolerate the raping that Newfoundland is recieving at the hands of Hydro Quebec. Nor should they. Even Alberta unilaterally changed its oil royalty program with the big boys, although I believe they have been convinced to change that policy. There is, however, a big difference between Hydro Quebec and say Esso. The bottom line is that if Newfoundland must throw the switch on the Upper Churchill, and deny Hydro Quebec any power from that point, then so be it. To carry on with the Power Contract of 1969 is economic suicide for Newfoundland, without question, the results of which will be seen when Newfoundland tries to raise the money to develop the Lower Churchill. All that evil needs to grow is for good men/women to turn a blind eye.
If you consider that Newfoundland is 11 billion dollars in debt, and a mere 50% share of the Upper Churchill would have Newfoundland without any debt, then you start to get the idea. The biggest problem with the Upper Churchill is not the damage that it has done so far, which is huge to Newfoundland's development, but where it leaves us for the future. Consider that the Lower Churchill development is estimated to cost 7 billion - without the underwater cable transmission system. Then consider that the province is already 11 billion in debt. Then consider that there are only 500,000 souls in Newfoundland. Then consider that the population is aging faster than almost anywhere else in Canada. Then try not to consider the number of people that are leaving for the rest of Canada. Makes you wonder how Danny Williams copes!
The deal with Quebec has left Newfoundland starved of the revenue it needed to build the province up, and retain, if not grow, it's population. Yes oil has been developed, which has added to the provincial coffers, but likely won't undue by itself the damage of the last 40 years. Hard to get those years back.
Here's the kicker. Frankly, we aren't hearing the truth and the whole truth regarding the Lower Churchill development. The province of Newfoundland will likely not be able to do this project on it's own. Approaching financiers at this time, and in the state of our books, well let's just say we would not be the most attractive investment out there. The international bankers would view Newfoundland much the same as an extremely in debted family seeking a million dollar loan to start a business. Our largest resource is in the clutches of our biggest competitor for the foreseeable future. Oil is a good, but highly volatile resource given its cyclical nature and environmental concerns (the least of not being off shore drilling right now). They would likely say "we see where your going with this ...but, you have too high a debt to income...sorry". We need to prepare ourselves for this reality should we choose to let Hydro Quebec continue with its shabby deal.
Things are starting to look like they did in 1969 when Brinco, out of desperation, signed the deal with Hydro Quebec that sunk the province financially. We now have a Premier who is desperate to industrialize the province, but is stuck without a major backer/customer. The thought actually scares me, but recent media reports seem to imply a flirtateous eye is winking at Hydro Quebec. Surely, and I haven't heard the ice forming below, it would be a cold day in hell before we would do that to the province again.
If we hope to get financing from the international community, or at home in Canada for that matter, the financial fundamentals of the province must be sound. Sound means reducing debt, rationalizing spending, a Newfoundland-first procurement policy, but just as importantly increasing revenues. Not by way of taxing whats left of the economy to death, but recapturing what is otherwise bleeding away to push up Quebec's economy. This isn't being anti-Canadian. This is becoming masters in our own house. Not as separatists or radicals, but in self-defence of the Newfoundland way of life.
Simply put, we need to take back the Upper Churchill - period. Without it we won't get a cent. If we are to be a Hydro Power in the international sense, then we need to utilize what we have. Hydro Quebec, by whatever means, must be convinced to rip up the Power Contract and renegotiate the power of the Upper Churchill. No other province, and I've lived in alot of them, would tolerate the raping that Newfoundland is recieving at the hands of Hydro Quebec. Nor should they. Even Alberta unilaterally changed its oil royalty program with the big boys, although I believe they have been convinced to change that policy. There is, however, a big difference between Hydro Quebec and say Esso. The bottom line is that if Newfoundland must throw the switch on the Upper Churchill, and deny Hydro Quebec any power from that point, then so be it. To carry on with the Power Contract of 1969 is economic suicide for Newfoundland, without question, the results of which will be seen when Newfoundland tries to raise the money to develop the Lower Churchill. All that evil needs to grow is for good men/women to turn a blind eye.
Tuesday, May 25, 2010
Chateau Lake Louise gets 6 months to prove it’s not wasting water
Dawn Walton
Calgary — From Monday's Globe and Mail Published on Sunday, May. 23, 2010 7:51PM EDT Last updated on Monday, May. 24, 2010 1:08PM EDT
The Fairmont Chateau Lake Louise now has until the end of the year to show Parks Canada that it is not wasting water from the emerald-blue lake in Banff National Park from which it takes its name.
But based on preliminary water use data, Ottawa says it is “definitely encouraged” that the posh Alberta hotel may be on its way to having its water woes under control.
The Globe and Mail outlined how the hotel’s water distribution system had lost nearly 510,000 cubic metres of water taken from Lake Louise between 2003 and 2009, prompting a probe by Parks Canada.
According to records submitted to Ottawa, 21 per cent of the lake water drawn by the hotel’s aging treatment plant had vanished from the metered distribution system on average each year between 2003 and the fall of 2009.
In 2008, a member of Parks Canada’s Advisory Development Board raised a red flag about a $7-million plan to upgrade the hotel’s water-treatment plant and reservoir. Brad Cabana noticed what he viewed as a large gap between the amount of water drawn from the glacier-fed lake and the amount of water used by the hotel. He subsequently resigned, citing “environmental negligence.”
Despite expectations that the new water system, which is supposed to be more efficient and measure every drop of water used by the hotel, would be operational by last fall, Parks Canada revised its expectation to the end of February, 2010. Now hotel officials said the plant, which treats water for use by hotel guests and sends waste water for treatment, won’t be fully online until June 1.
Parks Canada and its Advisory Development Board, which is supposed to involve Canadians in what projects go ahead in the Rocky Mountain parks, has given the hotel six months to show that the water use situation in the UNESCO World Heritage Site has improved.
“This is now really a state-of-the-art facility as it relates to the water treatment system and the distribution system,” said Gregor Resch, general manager of the Fairmont Chateau Lake Louise.
Although the hotel says water production numbers for September, 2009, through February, 2010, were not collected as the old plant was taken out of service, Mr. Resch is confident progress has been made based on data available so far.
In March, there was a 26.5-per-cent water loss rate, which the hotel blamed on burst hydrants and metering problems at the beginning of the month, and in April the discrepancy was 12.7 per cent.
Experts say well-run water systems have loss rates of 8 to 12 per cent. The hotel says it has been told 10 to 20 per cent is acceptable.
“Parks Canada is definitely encouraged by these early results,” said Pam Veinotte, superintendent of the Lake Louise, Yoho and Kootenay field unit. “However, we must see a sustained trend based on accurate data in order to determine that the discrepancy has been reduced to an acceptable level and that this issue has been completely resolved.”
Mr. Cabana said the early results show promise.
“[My] goal was in the beginning to protect Lake Louise as it could not protect itself,” he said. “I think that we have succeeded.”
Monday, May 24, 2010
Quebec - It's time for a new deal for Newfoundland
Hydro Quebec, the two words that have become synonimis with Newfoundlander's sense of their place in Canada. Although I personally believe that is not an accurate statement of the relationship, it is easy to understand why such feelings have developed over the years.
You have to go back to the early days. The devisive debates and then the vote on joining Confederation. A Premier desperate to prove to Newfoundlander's the wisdom of that decision. A province that was economically and industrially empoverished in comparison to the rest of the country. Newfoundland gave a monopoly, not unlike the monopoly Hudson Bay Company once enjoyed to develop the great unknown wealth of Canada, to Brinco - a private consortium to develop Newfoundland and Labrador's water and power potential. While the government in St John's saw the potential to begin the industrialization of Newfoundland, it is clear that Brinco was seeking only to convert the monopoly to profit.
The development of the Upper Churchill, to provide hydroelectric power, became the sole focus of Brinco, and Hydro Quebec it's sole partner. No other potential business partners were available to finance the project and, unlike say Hibernia, the federal government did not step forward with any loan guarantees. That left Brinco at the mercy of Hydro Quebec, and of course Newfoundland at the mercy of Brinco. At a time when Newfoundland needed a hand up to join the more industrialized ranks of provinces, Hydro Quebec turned on her.
The nationalistic Quebec government, using Hydro Quebec as it's instrument of choice, dictated terms to Brinco. Hydro Quebec even came back after the intial agreement was signed and added further prejudicial clauses that essentially left the people of Newfoundland without the benefit of their own resources. The basic hi-lites of the deal being: an extremely low price for the power - even by 1969 standards; automatic renewal clause of the agreement in 2016 that does not even require further signatures; a 37.5% stake in the Corporation that runs the Upper Churchill; construction of almost all the equipment used in the project done in Quebec; transmission lines designed to meet Hydro Quebec's specifications; a 99 year renewable lease on the Upper Churchill; and so it goes. In other words, if you want us to use our money, our loan guarantees, and you want us to buy the power we will take everything. The kind of deal you find abhorant if it were conducted between separate countries, let alone fellow provinces. The irony is that even if Newfoundland chooses not to renew the deal in 2041, Hydro Quebec still gets 37.5% of the profit from any new deal Newfoundland may find.
If that didn't make your blood boil consider this: Quebec has earned approximatley $22 billion on the deal to date. Newfounland has seen $1 billion. Consider that Newfoundland's current debt is $11 billion dollars. If Newfounland would have been even 50 - 50 partners with Hydro Quebec on the Upper Churchill, and recieved half of that 22 billion, Newfoundland would be debt free today. Conversely, the Upper Churchill agreement made Hydro Quebec into the player it is today - doubling its corporate size.
Several Premiers have since tried to undo this "deal with the devil" in the Courts. The lawyers of the day apparently ensured they had every angle taken care of - including a clause stopping Newfoundland from raising taxes on the power until atleast 2016. And, just to cover all their bases, the Quebec government has filed a complaint over the border between itself and Labrador which, if successful, would see Newfoundland lose the Upper Churchill - plant and all. Oh brotherly love.
The answer lies in politics. During the sixties and seventies Quebec sought to become "masters in their own house". Instruments like Hydro Quebec assisted in that effort, but it was politics that allowed the instruments to be deployed. Quebecers instinctively, and through substantial practise, have mastered the art of wedge politics within Canada. Their biggest success in this regard is their ability to not have those same politics used against them. One of the only successful attempts to do so was the recent failure of Hydro Quebec to take over New Brunswick's power utility - a move that some might say eerily resembles the nationalistic expansion policies of Gazprom in Russia.
If the answer lies in politics, then the silver bullet lies in the Constitution. The Government of Newfoundland might as well forget pursuing the Americans for help, as they will likely turn the whole matter on its head for their economic advantage - if they even choose to get involved, which is unlikely. Newfoundland's best hope lies in the Constitution, and more specifically the "notwithstanding clause". Both documents were not even envisioned in 1969. The not withstanding clause allows a province to override legislation, or create legislation, that is within its jurisdiction, but contrary to certain constitutional principles. Ordinarily, I would not advise, nor approve of such a measure. However, the Government of Quebec, as represented by Hydro Quebec, has stepped way over the line in it's treatment of Newfoundland, and by association the good people of Newfoundland and Labrador.
You have to go back to the early days. The devisive debates and then the vote on joining Confederation. A Premier desperate to prove to Newfoundlander's the wisdom of that decision. A province that was economically and industrially empoverished in comparison to the rest of the country. Newfoundland gave a monopoly, not unlike the monopoly Hudson Bay Company once enjoyed to develop the great unknown wealth of Canada, to Brinco - a private consortium to develop Newfoundland and Labrador's water and power potential. While the government in St John's saw the potential to begin the industrialization of Newfoundland, it is clear that Brinco was seeking only to convert the monopoly to profit.
The development of the Upper Churchill, to provide hydroelectric power, became the sole focus of Brinco, and Hydro Quebec it's sole partner. No other potential business partners were available to finance the project and, unlike say Hibernia, the federal government did not step forward with any loan guarantees. That left Brinco at the mercy of Hydro Quebec, and of course Newfoundland at the mercy of Brinco. At a time when Newfoundland needed a hand up to join the more industrialized ranks of provinces, Hydro Quebec turned on her.
The nationalistic Quebec government, using Hydro Quebec as it's instrument of choice, dictated terms to Brinco. Hydro Quebec even came back after the intial agreement was signed and added further prejudicial clauses that essentially left the people of Newfoundland without the benefit of their own resources. The basic hi-lites of the deal being: an extremely low price for the power - even by 1969 standards; automatic renewal clause of the agreement in 2016 that does not even require further signatures; a 37.5% stake in the Corporation that runs the Upper Churchill; construction of almost all the equipment used in the project done in Quebec; transmission lines designed to meet Hydro Quebec's specifications; a 99 year renewable lease on the Upper Churchill; and so it goes. In other words, if you want us to use our money, our loan guarantees, and you want us to buy the power we will take everything. The kind of deal you find abhorant if it were conducted between separate countries, let alone fellow provinces. The irony is that even if Newfoundland chooses not to renew the deal in 2041, Hydro Quebec still gets 37.5% of the profit from any new deal Newfoundland may find.
If that didn't make your blood boil consider this: Quebec has earned approximatley $22 billion on the deal to date. Newfounland has seen $1 billion. Consider that Newfoundland's current debt is $11 billion dollars. If Newfounland would have been even 50 - 50 partners with Hydro Quebec on the Upper Churchill, and recieved half of that 22 billion, Newfoundland would be debt free today. Conversely, the Upper Churchill agreement made Hydro Quebec into the player it is today - doubling its corporate size.
Several Premiers have since tried to undo this "deal with the devil" in the Courts. The lawyers of the day apparently ensured they had every angle taken care of - including a clause stopping Newfoundland from raising taxes on the power until atleast 2016. And, just to cover all their bases, the Quebec government has filed a complaint over the border between itself and Labrador which, if successful, would see Newfoundland lose the Upper Churchill - plant and all. Oh brotherly love.
The answer lies in politics. During the sixties and seventies Quebec sought to become "masters in their own house". Instruments like Hydro Quebec assisted in that effort, but it was politics that allowed the instruments to be deployed. Quebecers instinctively, and through substantial practise, have mastered the art of wedge politics within Canada. Their biggest success in this regard is their ability to not have those same politics used against them. One of the only successful attempts to do so was the recent failure of Hydro Quebec to take over New Brunswick's power utility - a move that some might say eerily resembles the nationalistic expansion policies of Gazprom in Russia.
If the answer lies in politics, then the silver bullet lies in the Constitution. The Government of Newfoundland might as well forget pursuing the Americans for help, as they will likely turn the whole matter on its head for their economic advantage - if they even choose to get involved, which is unlikely. Newfoundland's best hope lies in the Constitution, and more specifically the "notwithstanding clause". Both documents were not even envisioned in 1969. The not withstanding clause allows a province to override legislation, or create legislation, that is within its jurisdiction, but contrary to certain constitutional principles. Ordinarily, I would not advise, nor approve of such a measure. However, the Government of Quebec, as represented by Hydro Quebec, has stepped way over the line in it's treatment of Newfoundland, and by association the good people of Newfoundland and Labrador.
Tuesday, May 18, 2010
Harper Government's idea of Transparency
I have been watching, like many people, all the apparent breaches of transparency in this government over the last..let's say six months. I have to pinch myself to make sure I'm not having a bad dream. This is a Prime Minister who's early political career, and even his rise to office, were all centred on the populist Reform Party. Born in the prairies, Reform was meant to address all the undemocratic ills of the Federal Government, and return civility (or start some) and transparency to Ottawa. Am I the only one that remembers this? I doubt it. Yet in the last six months we have witnessed, amongst others: the proroging of Parliament; the refusal to release documents regarding the Afghan Detainee issue; the apparent political summary execution of the Minister of...well Jaffer's wife; and the public announcement from the Commissioner of Access to Information that her Office was being muzzled. Wow, Reform you say. I don't think even Mulroney got away with that - not that he necessarily sought to.
That brings me to today's blog. As some of you may or may not know I have been fighting with the Federal Government, as well as the Chateau Lake Louise ( the big high-end resort in Banff National Park) over the environmental abuse of Lake Louise. Lake Louise is internationally recognized as one of the most beautiful and prestine lakes in the world. It has been given World Heritage status by the United Nations, and is a protected site by both National and International law. That being said, Lake Louise has been environmentally abused by the Chateau Lake Louise now for atleast a decade. Apparently, according to a Senior Warden in the Park, the Chateau was caught dumping sewage into the Lake in the 1970's, and fined. A recent access to information request on anything to do with this incident resulted in a nil return from the government. According to Parks Canada in Ottawa no such records exist. Interesting. Could be that the Warden, a life long employee at the Park was mistaken, I guess, although you would think that someone would remember something like that.
Then, as a member of the voluntary Advisory Development Board for Banff, Kootenay, Yoho national parks I discovered massive water losses from the Chateau's operation over the last ten years. Essentially, the Chateau takes water from the Lake, treats it, and then consumes it. The production number should be very close to the consumption number or there are water losses somewhere in the system. I found that, by the Chateau's own numbers, that 510,000 m3 of water was missing as of 2008. To put it into context, that is over 25,000 semi tanker loads of water in seven years. During the following stories in the Globe and Mail, and then other National and International media another allegation arose. Several previous employees of the Chateau's water department came forward with the revelation that the Chateau was dumping waste water (treated water not put through the sewer treatment plant) directly into the Creek. Well that is the quick version of events.
Then yesterday my first set of documents finally arrived from Parks Canada under the Access to Information Act. The request was simple: Any and all documents on the water and sewer distribution systems at Lake Louise. One wouldn't think National Security was involved. Sounds like a fairly straight forward request considering the history of the ongoing struggles to get the Chateau to stop abusing the resource. Apparently not. What I received was an 10" by 14" envelope with 43 pages of documents. Unfortunately, 39 of the documents were completely blank. Nothing. Not even a sentence. There was more ink on the Afghan detainee documents shown on TV. What an absolute slap in the face to Canadian Democracy. Reform you say. Transparent you say. What a mockery. Of course I will appeal to the Commissioner, and hopefully some sense will be seen. Apart from the issue of "who is wagging who's tail?", apart from where is the protection for such a site as Lake Louise, where are the basic Canadian's rights?
Mr Harper if this is your idea of democracy, freedom, and liberty - well, your time of accountability is coming. Hopefully, the cost to this country of ours, not just yours, won't be too steep. As the old saying goes:
"Power. Use it, but abuse it, lose it."
That brings me to today's blog. As some of you may or may not know I have been fighting with the Federal Government, as well as the Chateau Lake Louise ( the big high-end resort in Banff National Park) over the environmental abuse of Lake Louise. Lake Louise is internationally recognized as one of the most beautiful and prestine lakes in the world. It has been given World Heritage status by the United Nations, and is a protected site by both National and International law. That being said, Lake Louise has been environmentally abused by the Chateau Lake Louise now for atleast a decade. Apparently, according to a Senior Warden in the Park, the Chateau was caught dumping sewage into the Lake in the 1970's, and fined. A recent access to information request on anything to do with this incident resulted in a nil return from the government. According to Parks Canada in Ottawa no such records exist. Interesting. Could be that the Warden, a life long employee at the Park was mistaken, I guess, although you would think that someone would remember something like that.
Then, as a member of the voluntary Advisory Development Board for Banff, Kootenay, Yoho national parks I discovered massive water losses from the Chateau's operation over the last ten years. Essentially, the Chateau takes water from the Lake, treats it, and then consumes it. The production number should be very close to the consumption number or there are water losses somewhere in the system. I found that, by the Chateau's own numbers, that 510,000 m3 of water was missing as of 2008. To put it into context, that is over 25,000 semi tanker loads of water in seven years. During the following stories in the Globe and Mail, and then other National and International media another allegation arose. Several previous employees of the Chateau's water department came forward with the revelation that the Chateau was dumping waste water (treated water not put through the sewer treatment plant) directly into the Creek. Well that is the quick version of events.
Then yesterday my first set of documents finally arrived from Parks Canada under the Access to Information Act. The request was simple: Any and all documents on the water and sewer distribution systems at Lake Louise. One wouldn't think National Security was involved. Sounds like a fairly straight forward request considering the history of the ongoing struggles to get the Chateau to stop abusing the resource. Apparently not. What I received was an 10" by 14" envelope with 43 pages of documents. Unfortunately, 39 of the documents were completely blank. Nothing. Not even a sentence. There was more ink on the Afghan detainee documents shown on TV. What an absolute slap in the face to Canadian Democracy. Reform you say. Transparent you say. What a mockery. Of course I will appeal to the Commissioner, and hopefully some sense will be seen. Apart from the issue of "who is wagging who's tail?", apart from where is the protection for such a site as Lake Louise, where are the basic Canadian's rights?
Mr Harper if this is your idea of democracy, freedom, and liberty - well, your time of accountability is coming. Hopefully, the cost to this country of ours, not just yours, won't be too steep. As the old saying goes:
"Power. Use it, but abuse it, lose it."
Monday, May 3, 2010
Newfoundland's Debt Anchor
Who new Newfoundland had a debt of 11 billion dollars? I mean outside of Newfoundland that is. Other than being the best place to live in Canada, I would say discovering this debt was the second biggest secret in the country. Coming from Saskatchewan, where their debt of 6-14 billion(depending on who you speak to and what they include as debt) is a constant source of political bemoaning, it was interesting to note that Newfoundland's debt did not appear to be that big of a talking point. Considering Saskatchewan's population is roughly twice that of Newfoundland, and let's say the their debts are roughly equal, people here ought to be pretty concerned.
The cost of serving that debt was enormous and acted as an anchor on the development of Saskatchewan's economy. It was not until the 100-145 dollar per barrel oil that Saskatchewan's economy started to take off. That, and a large investment of Alberta dollars seeking to buy cheap properties up, and flip them for Alberta sized profits. Of course now that they have doubled the price of housing there, and the oil has dropped, Saskatchewan has leveled off economically. That being said, they did start paying down debt with the goal of eliminating the debt. They know that with the growing elderly population, their tax base to support this debt is declining rapidly, and dumping all that debt on the relatively small working population will only cause another exodus to Alberta or elsewhere.
Is there a lesson for us in all this? I say yes. Some of the biggest economic/demographic traits of Saskatchewan are: rural people leaving for the cities; many people working in Alberta; low prices in the farming sector combined with higher input costs (such as fuel); high taxes; inability to attract new people including such critical sectors as health; an over reliance on the provincial/federal government civil service for well paying jobs; and generally people fighting over what they can get their hands on.
Sound framiliar? As a new comer I can only speak from recent knowledge, but what I have seen so far is a very similar path for these two provinces. In Saskatchewan the labour (read government worker) movement is constantly at war with the "right wing" political parties (read anyone who doesn't support them getting on-going increases in pay and benefits). I like to say that when there are only crumbs left these two fight like dogs for their bit. I hope Newfoundland does not share this futile trait with Saskatchewan. If it does, the ability to reduce the provincial debt will be impaired - to say the least. As we can see with Greece, most recently, and the world in 2008/2009, debt is laying waste to our ability to grow. As they say in business, if you are not growing, you're dying. Newfoundland needs to seriously look at creating a debt payment fund and stick to it. Each year pay down what we can, especially when the Canadian dollar is so high. We likely incurred the debt when the dollar was .65 - .85 US. Now at par we can pay down 20% more debt with the same Canadian dollar.
One thing is certain, at 11 billion dollars, Newfoundland's debt will be an anchor around our neck. If we hope to break the cycle of below average wages, higher than average taxes, and a massive untaxed black market, then the debt has to be the number one priority. Some will say that the economy won't grow without the government (read us) dumping the dollars in. The truth of the matter is a real economy is a private enterprise driven organism. High debt equals high taxes equals less disposable income equals an unhealthy place for business to be.
The cost of serving that debt was enormous and acted as an anchor on the development of Saskatchewan's economy. It was not until the 100-145 dollar per barrel oil that Saskatchewan's economy started to take off. That, and a large investment of Alberta dollars seeking to buy cheap properties up, and flip them for Alberta sized profits. Of course now that they have doubled the price of housing there, and the oil has dropped, Saskatchewan has leveled off economically. That being said, they did start paying down debt with the goal of eliminating the debt. They know that with the growing elderly population, their tax base to support this debt is declining rapidly, and dumping all that debt on the relatively small working population will only cause another exodus to Alberta or elsewhere.
Is there a lesson for us in all this? I say yes. Some of the biggest economic/demographic traits of Saskatchewan are: rural people leaving for the cities; many people working in Alberta; low prices in the farming sector combined with higher input costs (such as fuel); high taxes; inability to attract new people including such critical sectors as health; an over reliance on the provincial/federal government civil service for well paying jobs; and generally people fighting over what they can get their hands on.
Sound framiliar? As a new comer I can only speak from recent knowledge, but what I have seen so far is a very similar path for these two provinces. In Saskatchewan the labour (read government worker) movement is constantly at war with the "right wing" political parties (read anyone who doesn't support them getting on-going increases in pay and benefits). I like to say that when there are only crumbs left these two fight like dogs for their bit. I hope Newfoundland does not share this futile trait with Saskatchewan. If it does, the ability to reduce the provincial debt will be impaired - to say the least. As we can see with Greece, most recently, and the world in 2008/2009, debt is laying waste to our ability to grow. As they say in business, if you are not growing, you're dying. Newfoundland needs to seriously look at creating a debt payment fund and stick to it. Each year pay down what we can, especially when the Canadian dollar is so high. We likely incurred the debt when the dollar was .65 - .85 US. Now at par we can pay down 20% more debt with the same Canadian dollar.
One thing is certain, at 11 billion dollars, Newfoundland's debt will be an anchor around our neck. If we hope to break the cycle of below average wages, higher than average taxes, and a massive untaxed black market, then the debt has to be the number one priority. Some will say that the economy won't grow without the government (read us) dumping the dollars in. The truth of the matter is a real economy is a private enterprise driven organism. High debt equals high taxes equals less disposable income equals an unhealthy place for business to be.
Monday, April 26, 2010
Order of Canada and a Newfoundland Separatist
It was 25 April 2010, and I was taking in a NTV show called meeting remarkable people. I did not know, nor had I heard of the gentleman being interviewed. He was, however, wearing an Order of Canada pin on his lapel. The show was a replay and apparently was aired in 2008 before Mr Williams officially executed the "ABC" strategy of dealing with the federal government. For those of you that don't know, the ABC strategy means "Anything But Conservative". The guest spoke of this stategy and how he believed the Premier was on the right track. He said years of talking to Ottawa to straighten out the long standing issues Newfoundland had were going no where fast, and this strategy was a solid effort to turn the heat up. Fair enough.
Quebec has the BQ, and they are nothing but a regional protest movement - albeit on the payroll of Canada. Alberta had the Reform Party - again regional protest. So why shouldn't Newfoundland take a similar strategy and, while not having an actual party representing them in protest, send a message by definately not voting for or with the Conservatives. Many would consider that not only fair, but also a semi-unique exercise of provincial influence in national affairs.
Here is the kicker. This well-educated gentleman then goes on to state that he was all in favour of Newfoundland going its own way as it "never really fit into the Canadian model". His evidence of this was the fact that Newfoundland had an unemployment rate of 14%, that the ferry service was poor, and that other Canadians made Newfie jokes. Well, I have to tell you I could not believe the words coming from his mouth, and my mind immediately went to " how does a joker like this get an Order of Canada?". It is common knowledge that at the end of the Second World War the British Empire was dissolving - primarily due to the cost of the war. Newfoundland was left facing a future as an independent country or a province of Canada. A hard choice for a people with strong ties to Britain, and a fierce pride in their own traditions and culture to be sure. What people, like the man on the show, seem to always refuse to see or speak to is where would Newfoundland be today if it had not joined Canada.
Well, in fairness, he did bring up the examples of Iceland and Ireland as two successful island nations that went their own way. As noted earlier, the show was recorded in 2008, before the great market meltdown. Iceland, which has lost many people to emmigration since its independence, completely melted down. They had to take humiliating loans from the Dutch and British just to stop the complete collapse of their banking system. They are grossly indebted and even unable to pay back a relatively small debt of $5 billion dollars. Then of course there is Ireland. Well, the foolishness of this statement should be readily apparent - especially to someone from Newfoundland. The great many Newfoundlanders are of Irish descent, your's truely included, and if it were such an iconic nation-state people would not have to literally die to get out of it. They were starving to death. They were in an unending civil war. They had massive unemployment. The Irish populated many of the "new" countries. All of this points to a country that has had its problems through out history - including today. Again, the financial collapse of 2009 caused the collapse of many Irish banks, and massive unemployment. Joining the EU and its status as a tax free zone for banking helped make Ireland in recent history, however there are now many countries that have banking havens, and the Irish advantage appears to be fading - quickly.
So, judging by his comments, the gentleman wants Newfoundland to be a country with a crippled banking system, massive unemployment, massive emmigration, but atleast we can say she is ours...Come to think of it, wasn't that the condition Newfoundland was in when it joined Canada. My own Grandmother had to leave Newfoundland, along with her five sisters, for Montreal after her father was knocked off his boat by the boom and drowned off Long Tickle. Two of her older brothers were already there working, as were many from the Bonivista area. From a family of fifteen one brother remained. They were third generation Newfoundlanders. The reason they went to Montreal was the same reason people today are going to northern Alberta - work that pays. Newfoundlanders helped build many parts of Canada. They have always been welcomed and loved in any part of Canada that I have been to. The dollars raised in the rest of the country have often gone back to help out on the Island, and even today fuel much of the economic boom occuring here. Not one Canadian bank folded during the meltdown of 2009, and Canada is in a strong position throughout the world. How is it then that this gentleman doesn't think Newfoundland fits with the Canadian model.
Perhaps, in 2008 when the story was first aired, he was intoxicated by $145 a barrel oil. That although Newfoundland had been relying on the rest of the country for many years, now that it had to contribute back, it was time to cut the anchor rope and sail off. Although there are legitimate issues Newfoundland has, especially the going over it has been getting from Quebec Hydro, it has no better fit than Canada. Newfoundlands's future depends on modernizing and diversifying it's economy - much like Saskatchewan did. The trade, income and expertise to do that comes from its place in Canada. The stronger our union, the stronger our international position to the betterment of our people. Instead of looking at others to criticize for our position it is time to look in the mirror at those that are in charge of shaping the economy here.
To the gentleman wearing the Order of Canada lapel - please take it off. You do the people of Newfoundland a disservice. It is not always about "standing up for Newfoundland". We need to work hard for what we want. We can disagree without being disagreeable. Shed the complex.
Quebec has the BQ, and they are nothing but a regional protest movement - albeit on the payroll of Canada. Alberta had the Reform Party - again regional protest. So why shouldn't Newfoundland take a similar strategy and, while not having an actual party representing them in protest, send a message by definately not voting for or with the Conservatives. Many would consider that not only fair, but also a semi-unique exercise of provincial influence in national affairs.
Here is the kicker. This well-educated gentleman then goes on to state that he was all in favour of Newfoundland going its own way as it "never really fit into the Canadian model". His evidence of this was the fact that Newfoundland had an unemployment rate of 14%, that the ferry service was poor, and that other Canadians made Newfie jokes. Well, I have to tell you I could not believe the words coming from his mouth, and my mind immediately went to " how does a joker like this get an Order of Canada?". It is common knowledge that at the end of the Second World War the British Empire was dissolving - primarily due to the cost of the war. Newfoundland was left facing a future as an independent country or a province of Canada. A hard choice for a people with strong ties to Britain, and a fierce pride in their own traditions and culture to be sure. What people, like the man on the show, seem to always refuse to see or speak to is where would Newfoundland be today if it had not joined Canada.
Well, in fairness, he did bring up the examples of Iceland and Ireland as two successful island nations that went their own way. As noted earlier, the show was recorded in 2008, before the great market meltdown. Iceland, which has lost many people to emmigration since its independence, completely melted down. They had to take humiliating loans from the Dutch and British just to stop the complete collapse of their banking system. They are grossly indebted and even unable to pay back a relatively small debt of $5 billion dollars. Then of course there is Ireland. Well, the foolishness of this statement should be readily apparent - especially to someone from Newfoundland. The great many Newfoundlanders are of Irish descent, your's truely included, and if it were such an iconic nation-state people would not have to literally die to get out of it. They were starving to death. They were in an unending civil war. They had massive unemployment. The Irish populated many of the "new" countries. All of this points to a country that has had its problems through out history - including today. Again, the financial collapse of 2009 caused the collapse of many Irish banks, and massive unemployment. Joining the EU and its status as a tax free zone for banking helped make Ireland in recent history, however there are now many countries that have banking havens, and the Irish advantage appears to be fading - quickly.
So, judging by his comments, the gentleman wants Newfoundland to be a country with a crippled banking system, massive unemployment, massive emmigration, but atleast we can say she is ours...Come to think of it, wasn't that the condition Newfoundland was in when it joined Canada. My own Grandmother had to leave Newfoundland, along with her five sisters, for Montreal after her father was knocked off his boat by the boom and drowned off Long Tickle. Two of her older brothers were already there working, as were many from the Bonivista area. From a family of fifteen one brother remained. They were third generation Newfoundlanders. The reason they went to Montreal was the same reason people today are going to northern Alberta - work that pays. Newfoundlanders helped build many parts of Canada. They have always been welcomed and loved in any part of Canada that I have been to. The dollars raised in the rest of the country have often gone back to help out on the Island, and even today fuel much of the economic boom occuring here. Not one Canadian bank folded during the meltdown of 2009, and Canada is in a strong position throughout the world. How is it then that this gentleman doesn't think Newfoundland fits with the Canadian model.
Perhaps, in 2008 when the story was first aired, he was intoxicated by $145 a barrel oil. That although Newfoundland had been relying on the rest of the country for many years, now that it had to contribute back, it was time to cut the anchor rope and sail off. Although there are legitimate issues Newfoundland has, especially the going over it has been getting from Quebec Hydro, it has no better fit than Canada. Newfoundlands's future depends on modernizing and diversifying it's economy - much like Saskatchewan did. The trade, income and expertise to do that comes from its place in Canada. The stronger our union, the stronger our international position to the betterment of our people. Instead of looking at others to criticize for our position it is time to look in the mirror at those that are in charge of shaping the economy here.
To the gentleman wearing the Order of Canada lapel - please take it off. You do the people of Newfoundland a disservice. It is not always about "standing up for Newfoundland". We need to work hard for what we want. We can disagree without being disagreeable. Shed the complex.
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