N.L. needs confidence on hydro: Marshall
Nalcor CEO says province can’t let fear of repeating past mistakes stop future development
There's been concern raised in the House of Assembly during the spring session about Hydro-québec's possible involvement in a future Atlantic Loop.
The Atlantic Loop is a proposed energy grid involving the Atlantic provinces and Quebec — and possibly later the eastern seaboard of the United States — which would utilize Muskrat Falls and Upper Churchill power, and future development of Gull Island, along with an upgraded transmission system, to help provinces and other areas move from coalpowered electricity to the clean energy of hydroelectric power.
Many people in Newfoundland and Labrador have been angry about the long and lopsided Upper Churchill power agreement that favours Quebec, and which is not set to end until 2041.
Any talk of Hydro-québec possibly being involved in new hydroelectric developments in Newfoundland and Labrador usually raises that anger.
Nalcor president and CEO Stan Marshall, who presided over his final Nalcor Energy annual general meeting Thursday before his upcoming retirement on Tuesday, said the Atlantic Loop was first proposed by him to Atlantic premiers some years ago.
He said Hydro-québec was invited to initial talks.
“I didn't call it the Atlantic Loop. But I put the concept forward and it has since gained momentum,” Marshall said.
“Every time people talk about Hydro-québec or talk about Gull Island, it's all about fear. Get over it. You've got to have the confidence to go forward and do great things. Don't worry about mistakes you made in the past.
“The important thing is to have great people. You don't want to repeat those mistakes, but you can't be going around saying, ‘Well, we made a mess of that and we can't go here.' This province will never get to go forward if you don't have the confidence to develop our own resources.”
Progressive Conservative Interim Leader David Brazil raised questions about media reports from Quebec that suggested Newfoundland and Labrador's dire financial situation outlined in the Premiers Economic Recovery Team (PERT) report provides a great opportunity for Hydroquébec.
“Newfoundlanders and Labradorians are all-too familiar with the tactics of Hydro-québec, which has historically blocked our every attempt to develop our hydroelectric resources,” Brazil said in the House of Assembly. “We are all collectively haunted by the disastrous Upper Churchill contract, which has seen Quebec makes billions while we get scraps.”
Premier Andrew Furey said in the last session of the House of Assembly that everyone recognizes Newfoundland and Labrador's abundance of clean energy in Labrador can be “the battery that powers the northeastern seaboard.”
“But we won't do it by sacrificing to Quebec,” he said. “We will make sure we have our fair share going forward to ensure this creates a sustainable future for our families, and also helps our Atlantic partners.”
Furey said Muskrat Falls rate mitigation needs to be settled and the project up and running before the province participates further in the Atlantic Loop discussions.
Mitigation talks with the federal government are ongoing.
Marshall said Thursday the Muskrat Falls project should be “straightforward” now to go online in November as construction is completed.
As for working with Hydro-québec in the future, Marshall said he would have no hesitation.
“I tried to normalize the relationship with Hydroquébec. I had a certain degree of success. We are business partners. They own one-third of the Upper Churchill. They are a big customer,” he said.
“I think we are starting to normalize the relationship. You have to. It's like having a neighbour next door, you can't always be fighting. We made some progress, but we have a long way to go. Eventually the Upper Churchill contract will expire, and we have to resolve that. It is better for both of us to learn to compromise.”