Finance

Tensions Rise Over Hydro Quebec Deal: Danny Williams Urges Caution, Minister Responds

2025-01-14

Author: Sophie

Tensions Rise Over Hydro Quebec Deal

In a surprising turn of events, former Newfoundland and Labrador Premier Danny Williams has sounded the alarm over the impending deal between the province and Hydro Quebec regarding the Upper Churchill project and future hydroelectric developments in Labrador. His warning? "Beware."

Williams has voiced concerns particularly about Hydro Quebec’s recent comments, which he interprets as boasting about the "bargain" they believe they are securing from Newfoundland and Labrador in terms of hydroelectric power. He feels that the province should be negotiating for a significantly better rate—at least double the proposed four cents per kilowatt hour outlined in the Memorandum of Understanding (MOU).

“Engaging in a partnership with Quebec can be advantageous, but only if it’s a fair deal for Newfoundland and Labrador,” Williams insists. He worries that Quebec has secured not just favorable terms, but also long-term access, “I think Quebec has got what they want, when they want it, and for as long as they want it,” he remarks. Williams emphasizes the need for the current government to return to the bargaining table to bolster the agreement for the benefit of his province.

Minister Responds to Williams' Concerns

In contrast, Energy Minister Andrew Parsons has pushed back against Williams’ assertions. He stated that the concerns raised by Williams are not new, having been discussed and addressed during debates in the House of Assembly just last week. Parsons suggests that those seeking clarity should revisit those discussions available in the assembly's records, known as Hansard.

He criticized Williams’ reliance on “summary of what Quebec media are saying,” dismissing it as “more of the same old rhetoric” that has historically hindered progress, referencing the controversial Muskrat Falls project. “It’s frustrating when you’ve been cleaning something, and the person that made the mess tells you how to hold the mop,” Parsons adds, emphasizing the complexities involved in such negotiations.

Future of the Hydroelectric Deal and Community Concerns

As discussions around the hydroelectric deal continue, both sides appear entrenched in their positions, setting the stage for a potentially contentious negotiation process. With Newfoundland and Labrador's energy future hanging in the balance, many residents and stakeholders are anxiously watching to see how this unfolds. Will the province secure a deal that truly reflects its needs, or will it become another chapter in a longstanding saga of energy disputes? Only time will tell.