Agreement between N.L. and Que. on Churchill Falls could be within reach, Radio-Canada reports
CBC
After decades of disputes and years of negotiations, an agreement between Newfoundland and Labrador and Quebec to renew the contract for the Churchill Falls hydroelectric project could be within reach, according to Radio-Canada.
Radio-Canada is reporting that senior executives from Newfoundland and Labrador Hydro and Hydro Quebec had met several times over the past year, and that talks have ramped up in recent weeks. The offices of both Premier Andrew Furey and Quebec Premier François Legault declined interviews with Radio-Canada on the matter.
CBC News has contacted Furey's office for comment.
Signed in 1969, the contract has made more than $28 billion for Quebec's hydro utility, while only returning $2 billion to Newfoundland and Labrador. The deal is in place until 2041.
The legal dispute over Churchill Falls has been long running. Under the terms of the agreement, Hydro-Québec agreed to buy most of the electricity produced by the plant and protect Churchill Falls from cost overruns. In return, Churchill Falls agreed to fixed prices for the entire term of the contract.
In November 2018, the Supreme Court rejected Churchill Falls Corp.'s bid to reopen the energy deal with Hydro-Québec, ruling the Quebec utility had no obligation to renegotiate the contract.
Furey, like other premiers before him, has openly called the contract a thorn in the side of Newfoundland and Labrador. He has also stated he wouldn't negotiate a new deal in public.
The two premiers met in St. John's in February 2023, where Legault told both Furey and reporters that he understood the frustration around what he called a "bad deal" for Newfoundland and Labrador.
More to come.
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