20 February 2007

Thank God for snow days

Seems like Simon's posts are better - if that's possible - when he's stuck indoors.

1. A short piece on the growing tendency of elected officials hiding behind appointed officials...likely telling us how "accountable" they are all the while.

2. A longer piece on how Newfoundlanders (and likely less so Labradorians) are joining the ranks of the world's remittance labourers.

And their government is jiggy with that.

When minds are closed

They miss an interesting study that suggests one way to improve Canada's global competitiveness.

Of course, those same closed minds leap at trivial issues and petty jealousies hold them back from thinking new thoughts.

On the trivial issues front, look around for a long list of who funded the study and who worked on it. Yep. It's a conspiracy to get at our vital bodily fluids.

Petty jealousies? Plenty of those too. How ironic that St. John's Mayor Andy Wells greets the idea of Halifax being a major hub city with the same derision people in Mount Pearl reserve for his pet idea of annexing their city to his own fiefdom.

That's just like shipping government jobs out of a capital city to the hinterland. Wells opposed it when it means moving taxpayers from his city to the various bits of Newfoundland and Labrador devoid of public servants. Wells is in favour of the big waste of money - of course - when the jobs are flowing from Ottawa into his tax base.

Typical.

Wells derides Halifax as an oil centre yet misses the fact that St. John's is rapidly losing its status as an oil and gas centre largely because of the policies he advocates.

Anyway, go against the grain. Keep your mind open. Read the Conference Board of Canada's study on major cities.

You'll be rewarded with sensible observations like this one:
The Balkanization of our Economic Space

Every volume of this report emphasizes the adverse consequences to Canadians of chopping up our national economic space. The non-tariff barriers to interprovincial
trade, mobility and investment are at times so severe that they inhibit the kinds of east–west connections that characterize our deep connections outside Canada. People cannot move easily to work, some industries cannot recruit easily, students face difficulties in transferring credits from one post-secondary institution to another, and supply chains across provincial borders can face obstacles that global supply chains have eliminated. In an age of global mobility, it simply makes no sense to add degrees of difficulty to the movement of people, goods and services from one province to another.

Separated at birth 2

Conrad Black, left [Photo: canada.com], is suing an author for allegedly defaming Black's wife.

Danny Williams, right [Photo: Greg Locke], is threatening to sue people for defamation.

What's the difference?

Well, much like the grumpy-looking visages, there isn't much of a difference actually. At least on this point.

Except, maybe that Black's lawsuit demonstrates both a breathtaking command of obscure words that mean really bad things and an almost fetishistic penchant for hyphens.

Danny Williams likes short sentence. Crisp ones. Half sentences. Fragments really. Sometimes half-thoughts.

The purpose is both cases is the same: people with money, power and a penchant for free speech seek to chill free speech for others through the use of the courts.

Bonus points on this snow storm Tuesday for anyone who could read about Black's law suit and didn't have to look up harridan and slattern.

Government helps cut price on FPI sale

If current speculation is correct, Clearwater Seafoods Income Fund is floating a $43 million debenture issue to purchase some of the assets of Fishery Products International Limited (FPI). There's an option for an additional $6.0 million to be issued.

Something's in the works: fisheries minister Tom Rideout [Right] issued a news release on FPI on Monday.

If it turns out to be true, Clearwater will buy up FPI for about half the value of the income trust proposal, dithered and delayed by the Williams administration until it became useless.

Almost 50 million bucks is less than half the value of FPI's income trust fund proposal.

The impact of government policy is obvious.

Makes one wonder what was the cost per share of Tom Rideout's little dance on the tailgate of a truck in front of FPI's headquarters this time last year and the subsequent decision to prosecute the company for exporting fish.

Curious that exporting undersized fish was one of the ways FPI subsidized it s money-losing groundfish operations. That was very likely something FPI briefed government on in December 2005 when the company let government in on its financial situation and its plans for getting out of the fiscal hole.

That little tidbit did become public until after Rideout's little tailgate party. Odd that, in light of Rideout's very public declarations about the company.

Yes, if Clearwater's debenture issue is intended to finance an FPI purchase, the people of Newfoundland and Labrador should demand a public inquiry into government's (in)action over such a long period. The consequences of what appears to be neglect and bad policy could be dismantling of a company developed with public money with assets sold off for less than their real value. Take a look at a write-down Sanford took last year as a result of the FPI shenanigans.

Don't forget too that, as Bond Papers noted last may, changes to the FPI legislation were intended to make it easier to sell off the company in bits and pieces. Some others have only figured that out now.

But that easy sell-off wouldn't necessarily extend to Clearwater, a company from outside Newfoundland and Labrador and therefore - by definition - one of the foreign demons Danny Williams' administration likes to fight against.

That's where the whole thing gets a bit murky.

The provincial government wants to acquire - completely free of charge - FPI's quotas. If Clearwater wants the whole company or the bits with quota, expect the provincial government to veto the deal or try and squeeze its advantage.

But if Clearwater wants any other part of FPI at all, like say the valuable overseas marketing arm, the whole FPI saga could be over in a matter of a few weeks.

It only took three years to break up a once-proud company, with the help of the provincial government.

19 February 2007

Changing the channel

In politics, they call it changing the channel.

That's when an incumbent is taking a few smacks in the skull without let up. So he starts talking about something else entirely.

It's especially important when the provincial pollster is in the field.

Like right now.

After all, this Premier does nothing if he doesn't try to goose polls to demonstrate how much support he has. He needs those numbers to dazzle people, like say a columnist for the Globe.

The provincial government issued 55 news releases last week in an effort to change channels from the by-election loss and the ongoing spending scandal in the House of Assembly. That's the latest aspect of the spending scandal, which of course is different from the previous scandal, as Danny Williams will tell you.

It is different of course since this aspect of it happened since he became Premier and despite earlier assurances that all inappropriate spending was stopped on 22 October 2003.

But I digress.

Let's put that 55 releases in a week in some kind of perspective.

Since the government started it's online news archive in 1996, last week was the seventh heaviest week of releases.

Those 55 releases are the second highest number for Danny Williams' administration. Only Budget 2005 beat it out, but only but two releases.

The typical number of news releases for February over the past two years is around 34. During the same week in 2004, the provincial government issued on 19 releases.

Yessirreee Bob, that's a serious effort at changing the channel.

Manitoba, Ontario move closer on electricity

Manitoba has the electricity Ontario needs.

Manitoba will develop new supplies of electricity to feed demand both in Manitoba and in Ontario.

Ontario gets the power.

Manitoba gets Ontario's cash.

Everybody is happy.

Everybody, that is, except a few people who see plots and schemes in everything designed to rob Newfoundlanders and Labradorians of their precious bodily fluids.

The concern in this province should be that the Lower Churchill will not be built simply because everyone else will get power to market before we do. No one should worry about some secret plans on the mainland to rob us blind; that's just another fantasy devoid of any basis in fact.

In the meantime, some people will continue to advocate that Newfoundland and Labrador follow the successful example of Enver Hoxha's Albania: no export of anything to anyone for any reason. Everything was developed, if it was developed at all, on a go-it-alone basis.

The approach was so successful the country was propped up by hand-outs from outsiders.

Enjoy the story from the weekend Winnipeg Free Press.

Equalization made easy

For those who can't quite figure out this Equalization thing, a short piece from the Edmonton Journal.

If you can't figure out, you aren't alone. There are about five people who actually understand how it works.

Neither of the five currently work for any provincial government in Canada.

Rectifying history

The past is whatever the Party chooses to make it....
If the facts say otherwise then the facts must be altered.
George Orwell, 1984

Apparently someone at Confederation Building read 1984 - or more likely saw the movie - and didn't get the point.

One of the major activities of The Party's Ministry of Truth was the constant rewriting of history to conform to whatever mythology The Party was spreading at the moment, especially about Big Brother.

Witness the latest Newspeak utterance from the Premier's propaganda department announcing the by-election for Labrador West.
"It is a pleasure to announce that residents of Labrador West will have the opportunity to go to the polls and vote for new representation on March 13," said Premier Williams. "The legislation was amended in 2004 to ensure a district does not go without representation for a prolonged period of time."
Seems that some Winston fouled up. He or she was supposed to go back and amend all the previous amendments to the amendments to conform to the current distortion. The factual material would then be dropped down the memory hole whence it could not escape.

A quick check of the 2004 changes to the Elections Act shows that the time to call a by-election was reduced from 90 days to 60 days. The original version was introduced by the Wells administration in 1992. Prior to that the government could wait pretty much as long as it pleased to call a by-election. That's what happened in 1987 when Clyde Wells was elected leader of the Liberal Party. The Tories decided to delay the by-election in Windsor-Buchans as long as they could. So, as premier, Wells introduced changes to the Act to prevent that kind of abuse.

Danny didn't have to wait that long to get his seat in the House.

The Williams change was a cosmetic change at worst. At best, the changes brought in by Danny Williams were inconsequential, tiny, insignificant even, at least when it comes to ensuring that the people of any part of Newfoundland and Labrador were properly represented in the House of Assembly in a timely way once a vacancy had occurred.

Only The Ministry would view it otherwise.

By the looks of it though, someone will be sent off for re-education.

Of course, he/she and his/her error will be erased as if they never existed.

Oil and Gas Week 2007

What a difference a year makes.

For Oil and Gas Week 2006, there was no news release from the provincial government praising the future potential of the industry.

Nope.

There was an announcement that consultations were starting on an energy plan due later in the spring or summer.

Hebron negotiations were moving ahead on a deal for the fourth offshore field.

The oil industry knew that the Hibernia partners would be looking to develop the 300 million barrels at Hibernia South.

Now it's 2007.

No Hebron.

No Hibernia South.

No energy plan. It's only been under development for 10 years.

Natural resources minister Kathy Dunderdale issues a news release talking about all the undiscovered potential offshore Newfoundland and Labrador. Not a peep about the contribution the oil industry already makes to the provincial economy and to the government's treasury.

Then she adds this thought:
We are continuing our efforts to establish a competitive and efficient offshore and onshore regulatory regime that encourages exploration and the timely development of discoveries, while also ensuring a fair return to the people of the province and industry...
The competitive regulatory regime for the offshore already exists and what needs to be adjusted is being adjusted - by the offshore regulatory board. Dunderdale's recent rejection of Hibernia South - based apparently on a series of flimsy excuses - hasn't done a thing to creative a competitive environment for the local offshore sector. Rather it just adds to a very difficult environment in which government demands remain incalculable.

The folly of that can be found in a number of documents, including - oddly enough - a paper written almost a decade ago by former Peckford advisor Cabot Martin. He noted at the time that the oil industry makes its capital decisions on the basis of long-term calculations measured in decades. How true.

Leaping ahead a few years, its easy to see that decisions to investigate Hebron and try to bring it onstream were taken almost a decade ago based in no small measure on the competitive offshore royalty regime the province had at the time. Likewise, the decision to shelve the project means that it will be a while before the proponents come back to the negotiating table.

By comparison, note that Newfoundland and Labrador has never accepted zero royalties, as the Americans did to jump-start exploration and development in the Gulf of Mexico. The local royalty regime also provides significantly better royalties to the provincial government than the American federal regime would provide if the recent Congressional decision is implemented.

There's been nothing done in the past three years to encourage exploration. To the contrary, exploration continues to putter along at an incredibly slow rate due in no small measure to the climate created by Hebron, Hibernia South and the foot-dragging on the gas royalty regime and the energy plan.

Any change in the current freeze offshore will depend on what sits in that energy plan. If it turns out to be a plan modelled on such paragons of sensible economic development as Algeria or Venezuela, we can expect the oil industry to invest its billions somewhere else. Danny Williams' prediction of a better tomorrow a decade from now will have to turn into a longer timescale.

With little or no action in the province's offshore, it seems words now have to serve as a poor substitute.

Our Place in Canada: More in than out

A recent study released by Statistics Canada shows that Newfoundland and Labrador generated $4,741 per capita in federal government revenues in Fiscal Year 2004 but received $9,356 per capita in federal transfers.

A widely-criticized series of articles by The Independent claimed that Newfoundland and Labrador contributed more to Canada than it received in return. It also claimed that a great deal of information wasn't available despite the fact that Statistics Canada generates both raw data and analyses of all aspects of economic activity in Canada, including federal-provincial transfers.

Among the provinces, Newfoundland and Labrador is the largest recipient of transfers to individuals on a per capita basis, at $3,468. The Government of Newfoundland and Labrador is the second largest per capita recipient of government transfers, at slightly more than $2,800.

18 February 2007

For the record: Danny Williams on ending parliamentary free speech

Let's change it. From my perspective, I think the legislature should have the exact same accountability [ i.e. being sued for defamation]. That's a democratic practice that goes way, way beyond me. But from my perspective, I'd be prepared to be held accountable...those laws get changed [sic]...or anybody else in the House has to be held accountable for what they say. I have no problem with that.
That's what Danny Williams told reporters on Tuesday in answer to a question about the right of members of the legislature to speak freely, immune from legal proceedings in a court. The words don't flow well simple because the Premier was speaking off the top of his head, but there's no mistaking what he meant: let's change the rules so legislators can be sued for anything they say, anywhere, anytime. A right that dates back to the 16th century needs to go, not just by the boards, but over them with a hip check.

NTV wins the brownie points this week for being the only media outlet to report the Premier's unquestionable - dare we say enthusiastic - support for ending the centuries-old right of free speech accorded to members of the legislature.

While comments made about four individuals, including your humble e-scribbler garnered considerable public and news media attention, the comments quoted above have far more ominous implications.

There'll be more to say about the idea of ending parliamentary free speech, but for now let's just let Danny Williams speak for himself.

17 February 2007

The legacy of Sir Sam

Canada has had its fair share of blow-hard and/or incompetent defence ministers.

The ones that do the most damage are the former military officers who never made it to the top while in uniform but manage to circumvent the eminent good judgment of the professional promotion system and get there through the political route.

Witness one Gordo, the current MND, but formerly a brigadier general who spent his career bouncing around inside a tank.

O'Connor seems determined to follow in the fine tradition of politicians who, as national defence minister, presume to know considerably more than they do.

Gordo, as many across the country have known for far too long, is trying to impose his vision for the Canadian Forces on a professional and highly-competent officer corps that knows their business far better than the retired zipperhead. His ideas do not stand up on their merit. Instead, O'Connor persists in advancing his ludicrous notions - like relocating JTF 2 to Trenton or creating whole new battalions of currently non-existent troops for deployment across Canada - merely because he is the political boss.

In the meantime, the far more competent Chief of Defence Staff, General Rick Hillier, faces the challenge of reconciling the demands of the men and women in the field doing the hard work of defending the country with a budget that cannot support them and Gordo's foolishness.

To give an indication of how obvious was the problem with Gordo, consider that Bond Papers pointed it out fully one year ago, shortly after the retired tank driver was appointed to the job at 101 Colonel By.

Also noted at the time was the misery being inflicted on the people of Goose Bay who have been taken in by O'Connor's promises of troops, troops and more troops. They have their hopes pinned on O'Connor's commitments.

If they are lucky, Gordo will be fired - the sooner the better - and the community can start finding a new direction for the town's major employer.

If they are unlucky, the current federal administration will leave the decidedly wrong man defence minister, waste millions of taxpayers dollars fulfilling Gordo's pledges and in the process hook the people of Goose Bay to a form of economic crack cocaine: political patronage and pork.

It will fall to a future administration, gifted with more reasonable leadership to cope with the results of the mistake inherent in putting retired military men or women in charge of national defence.

It's not like we haven't been down this road before, far, far, far too many times.

16 February 2007

The truth hurts, part deux

The Offal News take on Tom Rideout's concerns about supposed "irregularities" in the Humber Valley by-election.

To paraphrase Lono at Offal News, Rideout's irregularity seeems to be that his candidate - correction - the Premier's candidate lost.

Hey, Denis: The truth hurts.

The period of cuts to the Canadian Forces ushered in by Jean Chretien was a dark period for not just the men and women in uniform.

It was a dark period for the whole country.

Simple thing, there, Denis Coderre, is the truth hurts.

Suck it up.

Memo to Stephane: Punt this guy into the cheap seats. He embarrasses the country.

Either that or hire him some better advisors. I can make some suggestions.

You know how to reach me.

Put on a happy face

It's polling season.

There is disquiet in some elements of the electorate.

News media are fried at the threats of law suits over libel chill.

Government's response is to flood a Friday morning with every manner of happy-face news releases.

A dozen before noon.

Still nothing though on the attack on our pride from Wisconsin.

Remember the Alamo?

A tongue-in-cheek piece in the Badger Herald calls for the United States to liberate Canada as part of the war on terror.

But is it humour or is there a serious threat being made?
With support, our Canadian heartland brethren can break the shackles of liberalism for once and for all. This would be accomplished by providing significant financial, organizational, and material backing to strengthen the position of Canadian conservatives. When they have gained sufficient power and popular support, they should be impelled to secede from the liberal elite dominating the country from Montreal, Ottawa, Toronto and Vancouver.

Preferably, this would be the first step toward statehood, though an independent Alberta, Manitoba and Saskatchewan loyal to the United States would also be acceptable. If the Canadian government attempted to quash the push for independence, we would be forced to move American troops into Canada and dissolve their government to maintain law and order, incorporating Canada into the United States as a protectorate. In this event it would be best to grant Quebec autonomy, and allow it sovereignty over New Brunswick, Nova Scotia, Newfoundland and other useless parts of the former Canadian nation. While some may find the creation of a Vichy Quebec undesirable in contrast to total annexation, let us pose a simple question. Does the United States need millions of croissant-loving French and Newfies pouring over the border and taking jobs from hard-working Americans? We most certainly think not. [Emphasis added]
Newfies?

Useless?

Hmmm.

Anyone familiar with history knows the real story of the Alamo.

Ask any Mexican nationalist.

It looks like humour.

This guy Bill Rowe wrote a column a few weeks ago that sounds suspiciously like one component of this little plan: annex Newfoundland and Labrador to Quebec.

Perhaps he's a fifth columnist on this one.

The Telegram.

Badger Herald.

Both newspapers.

Coincidence?

Maybe there's something sinister behind the clown mask.

If nothing else there is an effort here to bring down not merely a single individual but an entire nation.

We await the Premier's next scrum.

Our pride is at stake.

Let's reform campaign finance laws too, Tom

Tom Rideout is the lead man for Danny Williams efforts to take the Humber Valley by any means necessary.

It's called desperation, but hey, if they have nothing better to do than try and overturn a vote by the electorate, that's their problem.

But when Tom Rideout starts talking about the by-election with tones like "we can now confirm..." he starts to sound a bit like the police inspector in Casablanca who declares "Gambling? At Rick's? I'm shocked!"

Rideout is intimately familiar with the province's election laws. It wouldn't be a surprise to find out that ballot boxes were moved about seniors homes in his own district.

But Rideout's efforts here seem aimed at the type of innuendo that often substitutes for the lack of evidence . By implication, Rideout is smearing the neutral elections officials who did nothing but follow the law and common practice in the way set down by the legislature.

Nothing new here. Public servants in the House of Assembly - all of them the same as elections officials - are used to being blamed for the failings of politicians.

It seems a common practice for this administration to take no responsibility even for things it does. In this case it seems that the loss of an election, despite the Premier's supreme efforts, must now be blamed on those who did nothing other than follows the rules, as established, that applied equally to all candidates and all parties.

In the meantime, Rideout seems unconcerned to reform election finance laws. There are plenty of issues there from out of province donations to soft money that need to be addressed too.

Unfortunately, those things - all of which would enhance accountability and fairness in the electoral process - wouldn't help in soothing the political frustration Danny Williams' is feeling right at the moment.

Heaven knows we can't have Danny frustrated.

Countries respond to Al Queda threats to US oil supplies

Al Queda issued a general threat Wednesday to American oil supplies, including possible attacls on Mexico, Canada and Venezuela.

Bond Papers discussed oil rig security in the province's offshore last November, based on a report in the Ottawa Citizen that the federal government had drafted legislation on the issue.

The federal government is taking the threat seriously, according to public security minister Stockwell Day. Alberta has increased security, while the Saskatchewan government appears confident in the security of its oil production.

Rutter wins $3.5 million Brazilian oil contract

St. John's manufacturing company Rutter Inc.(TSX: RUT) announced on Wednesday that its 74%-owned subsidiary Unicontrol International Ltda. (Unicontrol) has successfully
renewed its contract to provide support services to 32 Petrobras platforms operating in the Campos Basin, offshore Brazil.

15 February 2007

It's that time of the month

There are by-elections.

Corporate Research Associates must be in the field with their quarterly omnibus survey.

How do we know?

The number of government news releases about capital spending in rural areas shot up this week. Like Thursday where the first four releases are about rural infrastructure.