Newfoundland and Labrador Premier Tony Wakeham has decided not to hold a public referendum on a new Churchill Falls deal, citing changing political circumstances. During his election campaign last year, Wakeham had promised a referendum on any Churchill Falls deal. However, alongside Prime Minister Mark Carney and Quebec Premier Christine Fréchette, Wakeham announced a new deal on Monday without a referendum, acknowledging that people may be disappointed by this decision.
Explaining his change in approach, Wakeham mentioned the significant opportunity presented by the involvement of the federal government, which was not previously anticipated. He highlighted the evolving landscape, including the impact of the U.S. trade war and the necessity for swift action as urged by the federal government.
The House of Assembly is set to open on Sept. 14 for a special debate on the new deal. Wakeham emphasized that Members of the House will have access to resources to review the details, with the negotiating team on hand. The new agreement supersedes a 2024 memorandum of understanding (MOU) from the previous Liberal government, which a review commissioned by Wakeham’s administration found not to be in the province’s best interests.
Wakeham pointed out the benefits of the new deal, such as the ability for Newfoundland and Labrador to sell power to Quebec or support local industries with excess power. Additionally, Ottawa’s involvement enhances the agreement, including provisions for a large-scale onshore wind energy project and support for infrastructure projects like the Labrador Transmission Line.
Regarding the impending Quebec election, Wakeham expressed optimism that the deal would benefit both provinces regardless of the election outcome. He aims to finalize the agreement by the end of the year.
Energy N.L. CEO Charlene Johnson welcomed the new energy projects, expressing pride in the province’s natural resources. She highlighted the potential for job opportunities across various stages of the projects and stressed the importance of energy supply in today’s geopolitical landscape.
Johnson echoed Carney’s description of the deal as the largest clean energy investment in North American history, emphasizing Newfoundland and Labrador’s readiness to meet global energy demands. She emphasized the need for energy amid the current geopolitical uncertainties.
The announcement has generated enthusiasm among stakeholders, with a focus on the economic and environmental benefits of the proposed energy projects. The evolving energy landscape underscores the importance of strategic partnerships and investments in sustainable energy sources for future generations.