Can Newfoundland and Labrador Develop Churchill River on its Own?

Since the Lower Churchill development short list was announced by Premier Danny Williams yesterday, the topic of who should actually develop the mega hydro project has moved front and center in the minds of many Newfoundlanders and Labradoreans.

What will no doubt shape up to be a lively and exciting debate over the coming months, has begun in earnest. Open line shows are buzzing and coffee shop commentators are quickly choosing sides. The ideas are flowing faster than the double doubles.

A straw poll (that is to say, my ear has caught much more of one comment than another) shows that at this point, the overwhelming sentiment is in favour of a provincially developed project rather than a partnership with any of the outside proponents, especially Hydro Quebec.

Premier Williams stated yesterday that with Newfoundland and Labrador’s improved financial situation, due in part to offshore oil revenues, that provincial development is an option to be considered. The statement may be nothing more than a bargaining chip he intends to use in future negotiations, but if you add to that statement the long standing mistrust existing within the province when it comes to outside interests –

- The one sided deal brokered for the Upper Churchill hydro project;

- What was seen as an outside company, FPI grabbing fishing quotas from Harbour Breton and in essence leaving the town to die;

- The current resource grab being made by Abitibi Consolidated in the province,

to name just a few, and you have a climate where it may be difficult to sell any other option. The reality of the situation is that the people of the province are not only concerned about another “bad deal” but they are also hungry to try a project on their own.

Perhaps it represents a sort of “coming of age” for the province. Perhaps there’s some “little engine that could” feeling, or perhaps it’s simply a matter of needing to show the big guys that the little guy can do it all by themselves. Whatever the reason, the “go it alone” sentiment is rapidly growing.

The question is, can it really be done?

Where would the money for development come from?

There are options of course. The province does have $2 billion in the bank from the recently signed Atlantic Accord deal and future revenues beyond that number, a portion of which could be funneled into the project. Newfoundland and Labrador Hydro has some funds available, not to mention borrowing power. More creative options like issuing bonds or some sort of income trust could also play a part in the financing and of course there is always the “Green” fund setup by the Feds.

Would it be worth the cost of development?

Of course it would. The revenues generated from a project of this sort could run into the hundreds of millions a year. Current estimates put Hydro Quebec revenues from the Upper Churchill at about $800 million a year. Although that project produces slightly more power than this new project, the ramifications are clear.

Beyond the direct financial value to be gained from a power project of this sort lie the secondary and perhaps even more valuable benefits, benefits that come with controlling so much low cost, renewable energy. Benefits like the ability to attract industry.

Currently, large industries in Ontario and throughout North America are suffering from a lack of power. Comments have been made to the effect:

“If they move here they won’t have that problem and it would take the strain off the power grid in the major centers”.

“Ontario won’t have to worry about brown outs if some of their factories move to Newfoundland and Labrador”

“Maybe if we can attract power hungry industries, the jobs might mean we can start seeing in-migration rather than out-migration for a change.”

Indeed, all of this sounds great, but is there still a catch?

Well, there may be one. Simply put, for Newfoundland and Labrador to develop the project on their own they must adopt a “If we build it they will come” attitude. The reality is that a return may not be seen on the investment until and unless these industries actually move into the province and start using the power.

The power produced from this project will far exceed anything the province itself can currently use. The original Upper Churchill hydro project has shown that Hydro Quebec will do everything possible to stop the province from moving power across it’s grid, unless they recieve the lions share of the revenues. It’s a sad reality, but a reality none the less.

Should the province go it alone?

Theoretically, it makes sense in the long run.

Financially, it’s possible.

Politically, the move could be a king maker.

Emotionally (for the public), it is a given. The public needs to begin feeling stronger and more in control their own destiny.

Never the less, the problem of geography still exists. The big question is whether or not the intestinal fortitude exists in the province to take the hit initially and wait out the returns. No matter how much the people of the province would wish it wasn’t so, the cruel fact is that geographically and philosophically the province will always be at odds with Quebec. This is a reality that is never going to change unless enough pressure is applied to Quebec by the feds and other power hungry interests.

Who knows, perhaps it takes a major move like this to put the province on a more even playing field with it’s neighbours. If the province of Newfoundland and Labrador, which already has ample resources, were to add excess power and a major industrial base to its portfolio, it might make for more beneficial dialog both federally and inter provincially down the road.

Only time and the final decision on the project in a few months will tell the tale. Until then, may the coffee and conversation flow faster than the Churchill River itself.

Newfoundland and Labrador hosts North America's Oldest Sporting Event

On Wednesday, August 3rd the 187th officially recognized running of the Royal St. John’s Regatta took place. Not that anyone would know it. If you were not in Newfoundland at the time you probably missed it. If you are not from Newfoundland and Labrador, you probably never even heard of it. So let me fill you in.

The Royal St. John’s Regatta is an annual event officially dating back to the early 1800’s, however some evidence points to the fact that these boat races were held as early as the late 1700’s. In fact, the Regatta is considered to be the oldest continuing annual sporting event on the continent. It also has the distinction of being the only sporting event that has its own holiday.

Every year in the City of St. John’s, the entire population wakes early and intently listens to the radio station of their choice. The reason is simple. If the wind conditions are right and the Regatta Committee makes the decision to proceed with the boat races, then a holiday is declared. If not, it’s off to work they go, only to try again the next day.

The day long event is steeped in history and this year consisted of 28 boat races, drew 118 rowing crews, untold thousands of fans lined the lake front and the day culminated in the Ladies and Men’s Championship races in the evening. The weather was not quite as warm as many had hoped this year, but that did little to dampen the spirit of those in attendance and a carnival like atmosphere abounded.

This race, as exciting and historically important as it may be, is a hidden jewel that has never caught the attention of television networks like CBC or TSN. In fact, the only television station to carry the event was the local community cable channel. What a waste.

Sports magazines don’t write articles about it, newspaper sports editors (outside the area) don’t mention it, even in passing. In fact, if it weren’t for the fact that tens of thousands attend the race each year and hundreds of rowers practice for months on end to compete, one might think it was the figment of somebody’s imagination.

Canada has too long ignored its sporting history. Professional hockey is the only sport really promoted in this country. What about paying at least a little lip service to other Canadian sporting events? The sporting history of Canada is a rich one but unfortunately most people think it began with Lord Stanley, it didn’t. According to historical records, our sporting history officially began with the 47th anniversary of the coronation of King George III and the regatta.

The Royal St. John’s Regatta is a prime example of the type of event that should garner some Canadian press and perhaps even a little air time. History and tradition have always been important to Newfoundlanders and Labradoreans. It’s just too bad nobody outside the province is aware of the rich past, and present, the province has.

Never a Dull Moment in Newfoundland and Labrador

One thing nobody can ever say about the province of Newfoundland and Labrador is that life is dull. Indeed, for anyone interested in politics and current affairs, there is never a dull moment in the province.

Even with the provincial legislature being shut down for the summer break, there is no shortage of fodder for commentary and no end to the open discussion and debate that are so popular in bars, coffee shops and street corners throughout the land.

The politicians may be out of the office, but the work of dealing with issues from every nook and cranny of the province goes on, not to mention the work of talking and writing about it.

A number of issues have grabbed the attention of most people over the past weeks. Issues such as:

The closure of the Abitibi mill in Stephenville and their paper machine if Grand Falls - Windsor, not to mention the power grab they are attempting with the provinces timber and hydro power;

The never ending battle for the survival of the air base at 5 Wing Goose and the survival of the town of Harbour Breton; and of course

The ongoing and ever increasing protests over cod fishing in the province.

While all of these things have been happening, I've been on a short vacation. This has afforded me the opportunity to travel to various parts of the island (I apologize to the fine folks in Labrador but I didn't get a chance to get up there this year). It also gave me the chance to see and chat with people from parts of the province where I don't usually get a chance to go. I have to say it was a pure delight and highly educational to boot.

Newfoundlanders and Labradorians are nothing of not outspoken and informed.

Most of the people I was fortunate enough to meet with during my hiatus were happy to bend my ear on all of the topics noted above and more, but the one topic that seemed to illicit the most emotional and heart felt comments was the recent cod fishing protests and the response of DFO to them.

It is simply impossible for most people in the province to understand how the feds can allow cod fishing in other parts of this country while banning it in areas of Newfoundland and Labrador. People are angry and upset that DFO has decided to lay charges against several protestors who took to the water recently while continuing to allow foriegn vessels to ply the same waters and catch thousands of tons of cod.

It is an issue that people in all areas of the province are interested in but one that seems to be of more than just a passing interest to the fine folks I spoke with in places like Conception Bay and Petty Harbour. Although I have to admit that in the latter, the production of the CBC series Hatching Matching and Dispatching in the town ran a close second.

To people in these areas this battle is a passionate one. One that will not go away simply because a few charges have been laid or because orders have been given in Ottawa.

A recent article by St. John's writer and lawyer Averill Baker clearly described the issue as seen by people in the province. In the piece Ms. Baker identifies the actual amount of cod fish that boats from other countries are allowed to take from Newfoundland and Labrador waters.

According to her article, countries like Russia, Japan, the U.S., Spain and others have permission from the Canadian Department of Fisheries and Oceans to take hundreds of tons each from areas where individuals in the province cannot even catch a single fish to put on the dinner table. This is shameful and is completely unfathomable to anyone in the province.

The people of Newfoundland and Labrador do not give up a fight easily and I doubt they will give up on this one. As I have mentioned in past articles, the battle over fishing rights inside the provincial 3 mile limit is now winding its way throught the courts. Protests are growing and everyone is becoming more and more vocal. This is an issue that isn't going to just go away and in fact, regretfully, may become more militant.

Thus far, about the only segment not heard from on the issue are provincially elected officials. In fact MHAs in the province seem to be more quiet than one would expect them to be on any issue, especially such a hot one.

This unnatural silence is making some wonder why they are staying out of the fray. In fact, it is making the public speculate all sorts of mean, nasty and ugly things from conspiracy to payoffs (perhaps with a 2 billion dollar cheque).

Speculation can be a very bad thing if it is believed. I heard much of it in my recent travels and I worry about what can happen when people convince themselves that something is true without having direct evidence. Such things can lead to anarchy and chaos. Perception can become reality if it is left to fester. Perhaps its time for our provincial leaders to get behind the people of the province who elected them and take a stand. Better they fight along side their brothers than stand against them.

I like many others would love to see our politicians stand up and fight. They know how to do it, they've done it before on other issues.

I would like to say to everyone I had the opportunity to "jaw" with over the past couple of weeks, I thank you from the bottom of my heart. You have been a delight.

Everyone from Port Aux Basque to Bishop's Falls, from Deer Lake to Arnolds Cove, from St. John's to Stephenville and all points in between. With the exception of Premier Danny Williams himself who turned down a chance to chat with me recently, I feel I've spoken with just about everyone I could have possibly gotten to in the time I had (Of course I will try to fit the Premier in should he change his mind).

To all of you, don't ever stop tugging on the strings of our leaders and don't ever stop sharing your opinions. Remember, It is not our leaders who foster change, but rather it is you, you and most especially you.