Many critics
of the Muskrat Falls development have advanced the view that the Government
should not expose the small population of NL to high cost power and to the
financial risk associated with the mega project; the idea is that our incremental
power needs can be met from a variety of smaller, less risky sources, until the
Upper Churchill Contract expires.
For at least
a year, the Provincial Government has been attempting to dispel the idea that
developing a portfolio small projects, under the “isolated island” option was a
viable. Your Uncle Gnarley scribe wrote
an article on the subject entitled: Upper Churchill Contract: Inherent Uncertainty or Bafflegab. When the Minister released the new documents,
The Telegram on November 10, 2012, quoted him paraphrasing an opinion contained
in the Paper. Said the Minister:
“I know at
one point I laboured under the illusion that as we waited for 2041 we would get
free power, we would have unlimited power, but when you look at the corporate
structure of CFLco it’s not that simple.
“It’s not
going to be Hydro-Quebec simply agreeing that all power will be given to
Newfoundland and Labrador. Churchill
Falls (Labrador) Corp. will still exist – its ownership split between
Newfoundland Hydro (with 66 per cent stake) and Hydro Quebec (34 percent). Whatever happens with Churchill Falls, the
interest of Hydro Quebec simply can’t be ignored.
“There is no
doubt that Newfoundland and Labrador will benefit in 2041 power, but it’s very
difficult to envision what exactly will take place”.
It is
difficult to contemplate that these are the comments of the Minister of Natural
Resources, a lawyer and former a Minister of Justice. 