Welcome aboard, Mr. Raleigh!

Serious Business: Newfoundland and Labrador Politics is a new political blog in the province.

Richard Raleigh - a pseudonym, shurely - claims a 20 year background in politics and promises "to deliver critical, hard-hitting analysis of today's serious issues that confront the province and the country as a whole."

Since Andy Wells got the first taste of Mr. Raleigh's sarcastic wit, we can only imagine what will come over the next few months.

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Breaking wind news

While natural resources minister Kathy Dunderdale was turning sod on a much-delayed wind power project in St. Lawrence, Ventus Energy Inc today announced the sale of that company to French-owned Suez for $124 million.

The St. Lawrence wind project has yet to be finished. Meanwhile, Ventus announced in May that it had signed a deal to export power to the United States from its operation in Prince Edward Island, via New Brunswick.

In January 2006, Ventus and the Labrador Metis Nation proposed what was touted as the largest wind energy project in Canada with a stated capacity of 1,000 megawatts available for either domestic use or export.

The Ventus proposal was reportedly entirely financed from private sources, while the St. Lawrence project will see Newfoundland and Labrador Hydro purchase power from the 27 megawatt NeWind operation, with no export potential.

Then natural resources minister Ed Byrne and his colleagues in cabinet pushed off consideration of the proposal claiming that they needed to complete the province's energy plan first. That was 18 months ago, and was a condition not applied to the St. Lawrence project for unknown reasons.

At the end of January 2006, Byrne said:

"Wind is becoming an emerging resource and our responsibility as a government is to ensure that this resource is developed in a way that maximizes benefits for the people of the province. We are not going to give away 1,000 megawatts of power until we understand what opportunities there are for this province."

Byrne went further in the House of Assembly, dismissing the obviously successful Ventus. What was obvious from Byrne's comments was that the provincial government had still not developed a taxation (royalty) regime for private sector wind companies. That is, two successive administrations - Grimes and Williams - had failed to figure out a taxation regime for export wind power despite having pursued wind power as a means of electricity generation since 2001.
No details of the power purchase agreement have been released, but the Town of St. Lawrence will only receive about $125,000 per year in taxes from the project under a special tax deal signed earlier this year. The tax payments don't begin until 2009, the anticipated year of first power generation. in the meantime, NeWind will pay the town $45, 000 in the first year and $55,000 in the second year of a two year agreement largely to support municipal recreation infrastructure.

Hydro stated the project will replace 165,000 barrels of crude currently used by the Holyrood generating plant. Estimating cost of the oil at US$50 per barrel, that would mean electricity costing approximately $8.25 million per year.

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"Williams: My background is...job creation and negotiation."

From CBC television in September 2003, Danny Williams setting out his program if elected:

David Cochrane: "What are the top two policy priorities of you and your team if you form government?

Danny Williams: "I'd have to say jobs and economic development, the economy generally would be the top two...

When asked how he'd do it, Williams said: "My background is growing businesses, economic development, job creation and negotiation. The strength I think I bring to the table will be creating jobs and growing the economy. That's what I've done in the private sector."

Watch it again, likely for the first time since it was aired.

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Summer of Love: Of cliches and rip-offs

Things you can expect to see or hear in Summer of Love.

Phrases:

• "Quite frankly"

• "[Insert name of organization here] receives government funding"
  

• "Lower Churchill"

• "Energy Plan"

• "Big Oil"

• "Energy Powerhouse"

• "Equity"

• "Accountability"

• "Transparency"

• "Danny Williams team"
  

Advertising:

• Grip 'n' grins galore

• A Tory television spot that looks suspiciously like this one.

• Not much of the Love Shack, left, but plenty of the mobile Love Shack marketing gimmick.
  

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Summer of Love Day 30: Carrying on business

Flanked by two Progressive Conservative candidates in Bay Roberts, Premier Danny Williams told reporters on Wednesday that what government has been doing over the past couple of weeks is just government "carrying on business."

The optics were pretty clear about what really happened.

The local Tories were in Bay Roberts for what was described as a caucus meeting, that is a meeting of elected members of the House of Assembly. But, it was really a meeting of Progressive Conservative candidates in the undeclared election campaign. Normally, unelected people, like Tory-come-lately Steve Kent, don't get to sit in a meeting of elected members of the legislature from a particular political party.

It was also fairly clear the Tories were having an election meeting since the Premier arrived in his most obvious visual campaign symbol: the Winnebago, or as it some wags have started to call it in this, the Summer of Love, the mobile Love Shack.

So what has been going on over the past few weeks? Let's look at the numbers of news releases issued by the provincial government for 2004 to 2007. For our purposes, we'll exclude offshore board routine announcements and environmental bulletins since these are routine, statutory announcements. What's left is revealing.

Total News Releases, July, By Year

2004: 93
2005: 91
2006: 76
2007: 98 (to 25 July)

The drop in 2006 can be attributed to disruption caused by the House of Assembly spending scandal which broke in late June.

Media advisories/Notices of ministers attending local festivals. July, By Year

2004: 13/1
2005: 16/0
2006: 28/0
2007: 28/5 (to 25 July)

Money announcements, July, By Year

2004: 37
2005: 22
2006: 10
2007: 37 (to 25 July)

The year of the first Williams budget, money flowed or appeared to flow. The disastrous January 5 announcement of wage freezes affected public opinion and government responded with a series of positive announcements to blunt the fall in popular support. The drop in the polls continued up to October when the Premier's war against Ottawa contributed to a dramatic upturn in voter support.

Note, however, that cash announcement in the 25 days of July 2007 already done are already at the same level of 2004 and they are double those of 2005 and almost quadruple those of 2006.

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SOL Day 29: The Zombies - "Who's your Daddy?"

Tom Rideout may be tripping out, not knowing what day it is but Danny Williams' mobile campaign platform rolled into Bay Roberts today to dispense some direct lovin' on the people of Conception Bay North.

Flanked by two blank-looking Tory candidates - they being unelected at this point - Williams told reporters that having ministers and members of the Tory caucus handing out cheques was just part of the business of government.

Business of government.

Accompanied by two unelected candidates in the election campaign that hasn't been called yet, but everyone knows is under way because Danny arrived in the Winnebago.

Riiiight.

Maybe it's time to unveil the Tories campaign theme song. From the original Summer of Love, 1967, it's the Zombies with their hit "Time of the Season".



Somehow it seems to sum up the entire business.

Now all we have to do is put the appropriate name on Danny's rolling campaign palace, which, incidentally is heading to Twillingate for the annual Fish, Fun and Folk festival.

Yes.

Danny Williams is the Premier, and the announcement came from the government news service but bet your bottom dollar Williams will be travelling in the Winnebago festooned with PC party logos.

You see, it is just the Summer of Love gettin' into full heat!

Who's your Daddy, indeed?

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Struggling to find the next Barney moment

Did this guy ever make hay over Scott Reid's beer and popcorn gaffe?

Could be.

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Hibernia to pay more

From the Wednesday Telegram, a report by Moira Baird on the Hibernia project.

Among the highlights:

- Provincial royalties will go to the 30% level sometime in 2009 or 2010 as the project pays off its development costs and the existing provincial royalty regime shifts accordingly.

- The federal government shares have netted a total of $678 million in the past decade. Dividends in 2006 were $174 million compared to $230 million the previous year. Dividends are expected to decline again in 2007.

- CHHC expects Hibernia Management and Development Corporation to submit another development application for Hibernia South in 2008.

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Andy Wells' Homer Simpson moment

St. John's mayor Andy Wells thinks that David Suzuki is a junk scientist.

At a regular city council meeting on Monday, Wells launched into once of his trademark tirades on the subject of pesticides.

Wells said anti-pesticide groups are fear-mongering, and that his own research shows that pesticides are safe and necessary to produce food. [Emphasis added]

Wells should read literature distributed by his own city to householders the day after his tirade. Turns out Wells had a vintage Homer moment.

What is so harmful about pesticides?

The runoff from pesticides can pollute water supplies, and can be lethal to aquatic species that inhabit these water supplies. Pesticides can also have an effect on human health. [Emphasis added] For a number of years the City of St. John's has not used cosmetic pesticides on public lands, and has encouraged staff to ensure pests are handled in a non-chemical manner. Only the province has the authority to ban or regulate the use of pesticides. The City recommends if residents must use chemical pesticides, that they use them in a way that is both safe and efficient.

D'oh!

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SOL Day 28: An orgy of summer lovin'

Cabinet ministers trolling through districts listening to the concerns of locals, with the local Tory candidate in tow, smiling and nodding wisely.

Then, some Pitcher Plant calls a VOCM talk show to report that, for example, Percy Barrett the Liberal incumbent couldn't get roads paved in the district. But transportation minister John Hickey visited, not with his deputy minister or roads director, but the Calvin Peach, the local PC candidate and things are lookin' good for that few feet of pavement.

This election summer in Newfoundland and Labrador, love is measured in cash and kilometres of black-top. The incumbent party is lovin' everyone and anything and they'll be expecting the voters to come across in the fall.

All politics is local and in Newfoundland and Labrador over the past decade, local politics has turned back the clock to the 1920s. The ghost of Sir Richard must be lovingly thumbing his pit prop account receipt book.

All politicians agree that elections are fueled by public cash. The opposition Liberals bitch that the government has an "unfair advantage" by being able to hand out public funds. The incumbent Tories - the party elected to bring a change - defend the announcements because, among other things, what they are doing is no worse than what the Grits used to do when they were in power.

On Day 28 of the Summer of Love, there was love and announcements of love to come, most of which involved the minister of transportation and works:

1. New money for agriculture, to be announced at Roaches Line, without a awareness apparently of any political irony in the location.

2. Yet more new money for a Calgary-based company that makes software for car dealerships.

3. 40 large will be headed to the local film producers to help with their marketing. The announcement comes complete with the standard grip-and-grin suitable for the website or the local papers.

4. A progress report on $58K worth of a consultant's study into the feasibility of establishing a dairy industry in central Labrador, announced not by the agriculture minister but by the local member of the legislature.

5. Another progress report on $50 million plus to be spent building two ferries.

6. Tenders awarded for construction of a new health care centre and refurbishment of a seniors home in Grand Bank, worth almost $9.0 million. Included in the announcement is not the chief executive of the health authority but the chair of the hitherto invisible board of trustees.

7. From Day 27, a reminder from Hickey of how much has been spent across the province on road paving.

8. on Day 28, the busy Hickey pledged to hold Gord O'Connor's "feet to the fire" on Gordo's promise for federal pork for Hickey's district.

9. Even backbenchers can get into the act of dispensing public pork. Two cheques for $12,000 from Exploits Tory member of the House Clayton Forsey presented to the Bishop's Falls recreation committee, and dutifully reported by the Advertiser in mid July, complete with grip 'n' grin.

Sports programs switch into high gear as town prepares for central
games

By DAVID NEWELL

In spite of difficulties with federal funding, Bishop's Falls will be a hot bed of sports again this summer.

Exploits MHA Clayton Forsey presented the town's recreation committee chair Nancy Stewart with two cheques this past weekend, which will help the community host the Central Summer Games Aug. 13-15.

Stewart said the games are a wonderful opportunity for the town to showcase its facilities, spirit of community and ability to work together, as well, put forward a healthy lifestyle.

"I think it encourages and promotes exercise and recreation within the community for the children, so that is all very positive," she said.

The games will involve teams from Springdale, Grand Falls-Windsor, Botwood and Bishop's Falls. Stewart said she expects at least 200 participants in her town for the three-day event.

She said the games are not only fun for the athletes, but it will bring the people of Bishop's Falls together as well.

"It is a way of bringing everybody out together," Stewart said. "I am hoping to recruit a number of volunteers. We want to do a really good job with this so the more people who come out and help the better job we can do."

Stewart admitted it is a challenging task to host the games. Athletes involved in the sports of volleyball, basketball, soccer, softball and ball hockey will take part in the games.

Not all of the action will take part on the courts and playing fields, however. The organizers have decided to arrange several social events around the games, including a dance, to help the athletes make lasting friendships.

SUMMER SPORTS PROGRAMS

In anticipation of the games, the summer sports programs in Bishop's Falls are now in full swing after some disruption due to the lack of federal government student job funding.

"We didn't received any federal funding this year," she said. "In previous years we had (up to) five positions. That is all bad enough, but imagine hosting the Central Summer Games this year and being faced with a shortage of five staff. We needed everyone we could have gotten."

She said the lack of student jobs, combined with an unfortunate printing error on the literature promoting the summer program made start-up this year very confusing.

"Posters for the summer program went out wrong," Stewart said. "They said we were offering tennis, which we are not, but it also left out the fact that we are having a volleyball program."

The sports offered by the town this season are volleyball, basketball, softball and soccer. There are currently 80 young people enrolled in the summer programs, but the recreation committee is encouraging more to join and take part in their own summer games.

The addition of soccer to the list of sports is very encouraging for the recreation committee. The town has teamed up with the Exploits Soccer Association, which is looking to expand outside the confines of Grand Falls-Windsor in an attempt to involve more young athletes in that sport.

"We have Exploits Soccer Association coming to Bishop's Falls two afternoons a week to coach the children aged ten and up," Stewart said. "People really like the idea of that. To have qualified coaching is wonderful."

Another sport being played in Bishop's Falls this summer has received huge interest from youth, but it is not a part of the town's program.

The Bishop's Falls Ball Hockey League is a pilot project and has been organized by residents Rob Canning and Mike Thomas. This league is operating at capacity and is a resounding success.

Numbers for the Bishop's Falls programs are down slightly from last year, which is something Stewart said they hope to change in the future.

"I think the lower numbers are caused by the fact that we started so late getting the programs off the ground," she said.

Stewart was thrilled to accept cheques totaling $12,000 from the provincial government this past weekend.

The first amount of $10,000 was the amount usually provided to the host community of the summer games. Another cheque in the amount of $2,000 was an additional amount secured by Forsey to assist in hiring students for the summer programs.

The MHA said the town was in dire straits when it came to the loss of student funding this summer.

"They said that without the funding from Service Canada they would not be able to proceed with the summer recreation program," he said. "The $2,000 over and above is to help them with the shortfall. It is good news, for sure."

Eleven students are now working for the Bishop's Falls for the summer. Seven are with the recreation programs and are being funded by the provincial government. Four employees at Fallsview Municipal Park are being paid solely by the town.

Picture: Bishop's Falls Recreation Committee chair Nancy Stewart accepted two cheques from Exploits MHA Clayton Forsey this past weekend. The funds totaling $12,000 will assist with the town's hosting of the Central Summer Games Aug. 13-15.

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So much for due process

For those who don't know, Alex Marland is a former communications director with the Williams administration.

He is now a professor in the political science department at Memorial University.

If vocm.com is quoting him correctly, Professor Marland has a curious idea about one of the basic principles of our legal system, namely the presumption of innocence.

vocm.com attributes the following comments to the former Williams administration communications director:

However, MUN Political Science professor Dr. Alex Marland says the Liberal Party has to make some tough decisions, as to whether or not to ask Andersen to leave the party. Marland says the party can expel Andersen on the basis that they are not sure what the outcome will be, and no one is presuming guilt, but to simply clear the air. Marland says while the public may demand Andersen's resignation, the House of Assembly will probably make no decisions on the matter.

As a matter of fact, Wally Andersen has been charged. As a matter of fact, Andersen has yet to make a first appearance in court, let alone address the allegations against him.

As a matter of fact based on those comments, Dr. Marland has already convicted him.

If there is a presumption of innocence - a very different phrase than "presuming guilt", as any communications professional would know - then there is no need for the Liberal Party or the House of Assembly to take any action.

There is no air to be cleared.

There is no reason to expel Andersen "on the basis that they are not sure what the outcome will be."

So why did Professor Marland suggest otherwise?

There is, however, good reason for the chair of the political science department or the Dean of Arts to take notice of Professor Marland's questionable comments.

If Professor Marland didn't make those comments, then vocm.com needs to issue a correction.

Either way, someone has some explaining to do.

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Environmental sensitivity

St. John's mayor Andy Wells, discussing a proposed pesticide ban by the city of St. John's:

"The worst thing ever done to the poor people in the world was to ban DDT," Wells said.

Consider that.

Then check the links on the CBC news story.

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Anderson charged

[Correction: Anderson was charged with one count each of fraud, uttering forged document and breach of trust]

Outgoing member of the House of Assembly Wally Anderson (Lib - Torngat Mountains) is facing one count of fraud, one count of uttering a forged document and one count of breach of trust by a public official.

The charges arise out of a police investigation resulting from information provided last year by Auditor General John Noseworthy.

Two reports thus far:

The Telegram.

CBC News. CBC reports that Anderson is represented by St. John's lawyer Bernard Coffey. Coffey was appointed last week as co-counsel to the Cameron inquiry into breast cancer screening at Eastern Health.

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The Confederation referendum and humour

Every now and again you hear someone repeating the line that in 1948, Newfoundland (the "and Labrador" part came later) should have regained independence and only after that looked at the possibility of Confederation.

There were even a bunch of people who tried to stop Confederation through legal manoeuvres.

It's not a new argument, by any means.

In fact, it was such a common argument at the time that The Confederate even took to lampooning it in an editorial cartoon.

Nothing quite hurts in politics like having a joke made at your expense or having your position lampooned.

Just ask Tom Rideout.

Anyway, as a summer treat, here's a vintage cartoon panel from the 1948 referenda on the future of Newfoundland (and Labrador).

It plays on the idea that the real proponents of the independence first argument were Water Street merchants and their associates who had dominated politics in the country. Oddly enough this was the same crowd who surrendered independence in the country by nothing more than a resolution of the legislature in February 1934.

There are proponents of the same anti-Confederate agenda around these days.

Wonder who they might be fronting for?

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Coming Soon: The Greatest Movie Ever!

He's not Spider Pig.

He's Harry Trotter!

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ALCOA bid off; Rio may pocket US$30 billion in asset sell-off

BHP has reportedly backed away from purchasing ALCOA. Share prices are down for the American aluminum company.

Meanwhile, Rio Tinto's plan to sell off non-core assets in ALCAN could bring the company US$30 billion according to The Australian. Analysis by Goldman Sachs JBWere said Rio could divest of the company's uranium, coal and other assets and focus on iron ore, copper and aluminum all of which are in high demand in the growing Chinese and Indian economies.

GSJBW said the potential sale of Rio's uranium, thermal coal, industrial minerals, gold and diamonds divisions and non-strategic assets in iron ore, copper and aluminum could net $US30 billion ($A34.15 billion).

The brokerage estimates Rio Tinto could receive $US8 billion ($A9.11 billion) for Pacific Coal, $US4 billion ($A4.55 billion) for Coal & Allied and $US5 billion ($A5.69 billion) for its uranium division, which includes its majority stake in Energy Resources of Australia Ltd.

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Summer fiction

On the day after the last instalment in one of the most popular works of fiction in written times, comes this endorsement of one of the great works of local fiction: the rigged Confederation referendum.

Yep.

It had to be rigged.

After all, Newfoundlanders and Labradorians could never decide the fate of their country on their own. After all, as some of the townies told Lord Amulree, the ordinary Newfoundlander just wasn't fit for democracy.

In his own way, former CBC producer Bob Wakeham turned Telegram columnist repeats the townie nationalist fairy tale that is, after all, the only salve they can apply to their wounds from a half century and more ago.

There's no way they lost the referendum fight because they were politically inept, disorganized and that their fellow countrymen and women had brains enough to think for themselves - no matter how they voted.

Good heavens no.

Democracy? They weren't fit for it.

Why is it that it is only the local nationalists who tell Newfoundlanders how stunned they are? Sure they accuse everyone else of doing it but who was the last person who told you that Newfoundlanders always sign bad deals?

Anyway, here's Wakeham's version of conspiracy:

There’s no doubt that the Brits and the Canucks decided, without consulting the people who just happened to live here, that, by nook or by crook, the "Newfoundland problem," as described by officials in both countries, would be resolved by having Newfoundland become part of Canada; that Confederation was added to the ballot of the first referendum at the insistence of Britain (after all, how could the conspiracy to unite Newfoundland and Canada run its course if Confederation wasn’t a voting option?); and that Canada heavily funded the pro-Confederate, Smallwood side, making the process improper and decidedly unfair.

Confederation was added to the ballot after a popular outpouring of support, not by some underhanded practice. Apparently having choice is a bad thing, if one takes the logical conclusion of Wakeham's comment.

The Confederates raised money on the mainland from many sources, including ex-pats. (Confederation didn't produce outmigration) The Confederates raised cash at home as well

The anti-Confederates had plenty of potential sources of cash on the mainland and elsewhere as well. They just didn't tap into them. They were disorganized, not just badly organized.

And in the end, after all the propaganda and all the argumentation across the country for two years, Newfoundlanders and Labradorians voted.

They voted.

They chose.

They exercised their fundamental democratic right.

In the case of Labradorians, for the first time ever in a Newfoundland vote.

And for some reason, Wakeham and a handful of others others just can't get over it.

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Brian Tobin on youtube

War stories from the Tobinator:

The state department spokesperson during that incident was Mike McCurry, who later served as Bill Clinton's press secretary.

There was an awesome video of Mike breaking into laughter as he tried to explain to the state department press corps how some mollusks are not sedentary. Mike included hand gestures. That's when it got truly silly and the normally staid and professional McCurry cracked.

Sadly, that clip hasn't made it to youtube, yet.

But... there is a transcript, which includes just a hint of the hilarity at Foggy Bottom that day:

MR. McCURRY: Back here?

Q. Yes.

MR. McCURRY: Over the weekend, I believe. Anybody know differently on that? I think that's right.

Q. Can you bring us up to date on the situation involving the two U.S. fishing vessels off of Newfoundland and their seizure by the Canadian Government?

MR. McCURRY: In Canada -- the fishing vessels. There were two vessels fishing for Icelandic scallops in international waters. The United States Government does not accept the Canadian contention that the Law of the Sea Treaty gives Canada the right to exercise management outside of the exclusive economic zone -- the EEZ -- established under the Law of the Sea Treaty for this species of mollusk.

The issue arises, is this a sedentary species or a mobile species? Our view is that this scallop -- first of all, we call this a "fishing vessel." But as you certainly know, these are mollusks that we are --

Q. Have they individual names? (Laughter) Sam and Bill--

MR. McCURRY: Being that these are mollusks, we sort of believe that -- as you probably know, mollusks can swim. They swim by rapidly clapping their fluted bi-valve shells together as they propel themselves through the water. For that reason, they are not, in our view, sedentary.

Q. Have you gone on the record on any of this? Is this a serious concern?

MR. McCURRY: It's a very serious issue. Under Secretary Tim Wirth took the occasion of a visit here to the Department by a Canadian diplomat yesterday to express some very strong concerns we had about it -- what is a serious issue of the seizing of two mollusk vessels -- mollusk fishing vessels.

Q. (Inaudible)

MR. McCURRY: We could. We would be happy to arrange -- in any event, our hope is that the protest -- we had raised the issue and had been in dialogue with the Government of Canada about this prior to this incident, and we're hoping that we would find a way that we could resolve the issue diplomatically before Canada would resort to this type of action which, of course, we consider unwarranted. We do demand that they release both the vessels and the fishermen without any fine or penalty.

Q. The Canadian Embassy said today that the Ambassador is willing to drop everything and come over here at a moment's notice to discuss this if he's invited. Is he going to be invited?

MR. McCURRY: I do know that we will want to work very quickly with the Government of Canada to resolve this issue. We believe it can be resolved through dialogue and not through provocative action by one side or the other.

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De Trenton a Bagotville?

During the last federal election future defence minister Gordo promised battalions for everyone.

In Bagotville Quebec on Friday, he delivered a new air force wing. Not exactly a rapid reaction army battalion, as originally promised but something new.

The official National Defence news release makes it sound like a bit of an odd creature comprising air force personnel that would deploy in a humanitarian crisis. Even the defence minister's speaking notes are vague on the nature of the new organization, which he termed an air expeditionary wing. It will apparently consist of aircraft of an unspecified type along with army personnel, mostly medical and logistics from the sound of it. O'Connor said that Canada's allies are creating this type of organization.

Well, sort of, Gordo.

The American air force uses air expeditionary wings but primarily as collections of air force squadrons to support joint military operations. They aren't self-contained entities with attached soldiers and sailors. They also aren't necessarily permanent organizations. They are pulled together for the mission.

What this Canadian air wing sounds like is a headquarters apparatus that will have aircraft attached to it for mission purposes, while the aircraft will be located somewhere else. The Canadian Forces have been down that road before.

But what about the "battalion" promised to Trenton? Check this story from the Belleville Intelligencer, dated in late June:

"We're trying to acquire land at this moment," he said. "We have to wait and see whether we're successful in acquiring the land.

"I want to resolve the land issue first. If and when we acquire that land, then we can announce what we're proposing to do."

One rumour circulating locally reports the government may move the airborne project to CFB Bagotville, Que., should the Trenton deal fail. When asked for comment on the rumour, O'Connor expressed confidence in the land talks.

Did the Trenton land deal fail that quickly?

Meanwhile, the people in Goose Bay are wondering when Gordo will be heading to their town to deliver on his election pork promises.

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Scotia confirms predicted economic slowdown

Scotia Economics' latest forecast for Newfoundland and Labrador confirms the predictions thus far that the province's economy will drop to the bottom of the pile for growth in 2008, after leading the country in 2007.

Here's the section, for the record:

Newfoundland & Labrador will lead the Atlantic provinces in overall growth this year with a 4.8% advance before dropping to 1.2% in 2008. The province will benefit from mining and oil & gas extraction this year, given the resolution of earlier labour and production issues. An expansion at the White Rose oil field late last year is providing an additional output boost. Oil and gas production is expected to level off in 2008, as production peaks at the Hibernia and Terra Nova fields. Following labour issues last year and given strong pricing, nickel production should increase this year. Production started up at the Duck Pond mine earlier this year, providing a boost in output for copper and nickel. Exploration activity for uranium, iron ore and oil and gas remains vibrant.

Newfoundland & Labrador’s seafood processing industry is finding it difficult to replace older workers, given relatively low wages and competition amongst Atlantic Canada’s fisheries for the small pool of available workers. Shrimp and crab production are expected to remain the same as last year, although a modest increase in the E.U.’s import tonnage cap for cooked and peeled cold-water shrimp should be of some benefit. Newsprint mills continue to push through cost-cutting initiatives, although further shutdowns could be required.

Private investment should decline this year and next as no major projects are on the horizon. Potential projects, including the Lower Churchill dam, a second refinery at Placentia Bay and development of the Hebron and Hibernia South oil fields remain on hold. The services sector could see stronger tourism activity this year due to an increase in convention and cruise bookings, although Canadian dollar strength continues to pose a threat. Household incomes and retail sales will get a boost from tax cuts passed in the last provincial budget, although a diminishing population and net westward outflow of workers could limit the impact.

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