01 March 2011

Labrador Metis to seek injunction blocking Muskrat project

The NunatuKavut Metis Nation will be seeking an injunction to halt environmental assessment hearings on the Muskrat Falls project, according to CBC News.

Chris Montague of the NunatuKavut Metis Nation said the group is meeting with a lawyer Tuesday morning.

He said the Metis group expects to file an injunction against Nalcor, the provincial environmental department, and the Canadian Environmental Assessment Agency, as soon as Tuesday or Wednesday.

UPDATE:  The Metis filed an injunction on Tuesday morning in the Supreme Court of Newfoundland and Labrador, according to the Telegram.

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Are city councillors paid enough?

Debbie Hanlon doesn’t think so.

Residents of the city took pains to explain otherwise in the comments section of Monday’s Telegram story. Their comments make this story well worth reading.

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February Traffic Patterns

  1. Humber West post mortem
  2. From 61% to 44% since August:  NTV poll shows Tory support slides further
  3. Connies torquing Bev Oda
  4. Cheryl Gallant sinks
  5. Layton will cave
  6. Kremlinology 32:  the St. Valentine’s Day Massacre
  7. Signs of the Granterdannerung
  8. Tweet of the week (early edition)
  9. Dunderdale admin awards lucrative legal work without tender and Never heard that before and Think federal equity stake (three way tie)
  10. Quebec interested in lunatic megaproject

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28 February 2011

Noble gets deep water license in Gulf of Mexico

The United States Bureau of Ocean Energy Management Regulation and Enforcement has issued a license to Noble Energy to continue work on a well located 115 kilometres southeast of Venice, Louisiana, according to the Globe and Mail and other media outlets.

The company started drilling the exploratory well just before last year’s catastrophe.

The Wall Street Journal reports the well is in 6,500 feet of water.

There are six other permits for deep water drilling currently awaiting approval, according to the New York Times.

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CB city council by-election down to five

cornerbrooker.com has a great little piece on the west coast city’s municipal by-election.

This leaves five candidates competing for one City Council seat: June Alteen, Gary Kelly, Trent Quinton, Tarragh Shanahan, and Alton Whelan.

Aside from some lawn signs, most candidates have been fairly quiet so far, however I think that Gary Kelly is at least proving that he’s visible and willing to work for the position. You may have seen him marching up and down O’Connell Drive in all sorts of nasty weather, or standing outside hockey games at the Pepsi Centre with his bright yellow campaign sign, waving as the cars head down the hill.

They mention that Gary also has a website and is using Twitter and Facebook.  That’s not surprising for a guy who was an early adopter to blogging  and who ran one of the best little gems of a blog in the process. A lot of politicians in the province could learn a lot of lessons from Gary.

For what it’s worth, Gary has the Bond Papers endorsement. Corner Brook readers of these e-scribblers would be well served if they voted for Gary in the by-election.

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Provgov pollster seeds ground for bad news

Provincial government pollster Don Mills is in the Telegram on Monday getting people ready for yet a further decline in polling numbers for the province’s ruling Conservatives.

“[Premier Kathy Dunderdale’s popularity is] not going to be 75 per cent, I wouldn’t think,” he said. “To some extent, it will have nothing to do with Kathy Dunderdale at all. I think it’s just going to be people realizing that (Williams) was a pretty extraordinary personality that commanded support across party lines.”

As you can see, Mills wasn’t just contented to hint that the numbers would be down;  he also felt obliged to offer his opinion on the implications.  The basis for his opinion won’t ever be found in any of his polling numbers.  They are – like his seat projections in 2007 – based on something else.

Mills is talking about personality popularity – or even name recognition – but neither of those are directly connected to ballot results.  Danny Williams personal popularity soared after 2005 but in the 2007 general election, the Conservatives garnered the same share of eligible vote they had in 2003. 

A recent poll by NTV/Telelink puts the Conservatives under Kathy Dunderdale as the choice of  44% of eligible vote.  That continues a steady decline registered by Corporate Research over the third and fourth quarters of 2010.  If the implication of Mills’ comments are borne out, CRA’s poll that is just clueing up should confirm the NTV/Telelink numbers.

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MOU PIFO

A classic Telegram editorial, your humble e-scribbler once wrote, consists of a summary of an issue concluding with a blinding insight into the completely frigging obvious.

Such is the Saturday Telegram offering, this time on the latest fisheries report unveiled and summarily rejected on Friday by fisheries minister Clyde Jackman:

Something has to be done. It may end up being a half-measure, or even less.  But the sheer size of the problem is now abundantly clear.  And for the industry, it has to be terrifying.

Four phrases.

Four penetrating insights into what is obvious to even the most casual observer of the fishery over the past 30 years.

That closing paragraph is right up there with Clyde Jackman’s claim on Friday that the MOU process was not a waste as everyone now had a detailed description of how bad things are.

Who didn’t know that already?

Well, besides Clyde Jackman, evidently

To be fair to both Jackman and the Telegram editorialist, though, they really are just a reflection of the fundamental problem that has plagued the fishery in this province since 1949.  People know what needs to be done to turn the fishery into an industry that is sustainable and relatively prosperous.  People in the current cabinet know.  People in past cabinets have known. Those who know and who are willing to do it are hampered by those who know nothing and others who vigorously oppose any changes at all. 

In the meantime, the only people suffering are the people in the industry.  Eventually time will take care of them.  Clyde Jackman kept mentioning that last Friday.  He really didn’t need to.

Everyone knows it.

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27 February 2011

Irresponsibility of power: Dunderdale flip flops on Muskrat electricity rates

My, oh my what a little public angst over electricity bills will do for a government’s talking points.

The public angst has turned up in Labrador where a who mess of people are concerned they won’t get any of the benefits of the power and yet will wind up paying for it instead.

Premier Kathy Dunderdale zoomed into Happy Valley-Goose Bay late last week to reassure the unhappy valleyians on a few things.

Among the things she talked about was electricity pricing.   According to the Labradorian, Dunderdale said that Labradorians would not see rate increases once Muskrat is on line.

Fair enough.  They will still be getting powered by diesel along the coast since it is apparently too expensive to sling off lines to the coastal communities from the giant lines that will run right along the coast to get the power to Newfoundland.

“The responsibility of power will be charged to the people who use that power,” she said.

Garbled sentence to one side, that “responsibility of power” would not fall to Nova Scotians.  They’ll pay whatever Emera wants to charge them and Emera is getting its power from Muskrat for free if the final deal turns out to be the same as the one Danny Williams inked in order to catch his plane to retirement.

That “responsibility of power” would definitely be the people on the eastern end of Newfoundland. They are getting the power and will have to bear the full load of the cost and potentially more more besides even though they really don’t need it. 

And how much will they be responsible for?

That’s where Dunderdale went wobbly.

Last fall, natural resources minister Kathy Dunderdale, later morphed to be premier, was absolutely adamant that the Danny Williams Legacy Dam project was absolutely wonderful.  It was splendiferously necessary, sayeth Dunderdale, because by 2017, electricity prices in the provinces were going to skyrocket thanks to the price of oil. 

She even had a number she swore by:  120 American bucks a barrel, sustained, by 2017 and as much a 200 bucks a barrel within the next decade. And with crude running at those sorts of prices, it would be damn expensive to generate electricity at Holyrood. Enter Danny Williams Legacy Dam to save the day.

Some of you may recall her interview last November with CBC radio’s West Coast Morning Show.  Your humble e-scribbler even wrote about it for those who don’t normally tune in to the show:

Dunderdale claimed that electricity prices would increase an average of five percent each year from now until 2017. That’s the year Nalcor would supposedly bring Muskrat Falls on line. So electricity prices would be about 35% higher than they are now, according to Dunderdale.

And then on top of that you’d have to whack on the cost of Muskrat Falls power which Dunderdale estimated to be between 14.3 and 16.5 cents per kilowatt hour.

But with all the public concern over rate increases, Dunderdale is now not so sure about her projections.  As the Labradorian reported:

“The project is not advanced enough at this point to determine with that degree of accuracy what you are going to pay per kilowatt hour in 2017.”

She said at the average rate of increase of 5 percent per year, Newfoundlanders could expect to get about the same bill on current power in 2017 as they would under the Muskrat Falls hydropower with similar rates of increase.

Not advanced enough to determine with that degree of accuracy.

Riiiight.

And yet last fall, Kathy had great confidence that the prices would be exactly as she described.  After all it was the absolutely concrete, cast-in-stone, sure-as-Danny-made-little-green-apples certainty of the energy price forecasts that justified upping the gross public debt by about 50% of its current level.

And now Dunderdale can’t be sure what domestic electricity prices will be when the dam is finished in 2017.

That’s a gigantic change in just a few short weeks.

Expect more changes if the public starts paying more attention to what Danny Williams Legacy Dam will cost them.

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25 February 2011

Offshore regulator opens environmental assessment on Old Harry drilling proposal

Edited version of the Canada-Newfoundland and Labrador Offshore Board news release:

The public is invited to comment on the draft scoping document for the Environmental Assessment of an exploration well being proposed by Corridor Resources within Exploration License 1105 (the Old Harry Prospect) located in the Gulf of St. Lawrence, offshore Newfoundland and Labrador.

The proposed activity includes drilling one exploration well within EL 1105 using a mobile offshore drilling unit (MODU), that is,  semi-submersible drilling rig or drill ship, supply vessels, and offshore helicopters. Vertical seismic profiling (VSP) activities may also be conducted in conjunction with the drilling activities. Corridor Resources proposes to drill one exploration well between 2012 and 2014.

Before any petroleum-related activity can be undertaken in the Newfoundland and Labrador Offshore Area, a detailed and location-specific Environmental Assessment (EA) must be submitted to the Canada-Newfoundland and Labrador Offshore Petroleum Board (C-NLOPB). In addition, this project is subject to the federal environmental assessment process pursuant to the Canadian Environmental Assessment Act (CEA Act).

Pursuant to paragraph 18(3) of the CEA Act, the C-NLOPB as the responsible authority for the federal environmental assessment of the project is inviting the public to comment on the proposed draft scoping document prepared by the C-NLOPB.

Comments must be received by the C-NLOPB no later than Monday, March 28, 2011. Interested persons may submit their comments in the official language of their choice to information@cnlopb.nl.ca or to the following address:

Public Comments – Old Harry Project

Canada-Newfoundland and Labrador Offshore Petroleum Board

5th Floor, TD Place

140 Water St., St. John’s, NL A1C 6H6

(709) 778-1400

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Jackman runs from fisheries restructure report

Fisheries minister Clyde Jackman is running as fast as he can from a fisheries restructuring report that recommends restructuring the fishery.

This is not a surprise for a minister who appeared clueless on the issues in his own portfolio when he admitted first receiving the report.

This is not a surprise given that the current administration like pretty well all its predecessors of  either blue or red persuasion have run from meaningful fisheries reform as fast as their little legs could carry them.

The only change in the past year seems to be that the industry has gone from midway up sh**t creek to being pretty close to the headwaters.

Bottom line:  we are still in an election year with a Tory leadership out there waiting to get settled afterward.  No politician of any political stripe is going to advocate what needs to happen (the report would be a good starting point) under either of those circumstances. And for the Tories in power, they have a double reason to stay as short-sighted as they can.

Anyone still wonder why Danny left in such a gigantic hurry?

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The Four Horsemen and government finances

Don’t be surprised if the provincial government issues a statement in the near future trumpeting an accrual surplus of several hundred millions.

Sure Tom Marshall isn’t ready to acknowledge what is going on, but it’s pretty hard to avoid making tons of money when those pre-Danny Williams oil royalty regimes meet Brent crude prices that are soaring to more than US$105 million based on Muammar Khaddafi’s willingness to slaughter thousands of Libyans in order to stay in power.

Oil prices and production levels are actually at the level where the Conservatives in Newfoundland and Labrador might produce a cash account surplus as well for the first time in a couple of years. That’s a good thing if only because it means the public debt won’t increase to record levels as it has under the Conservatives since 2003.

The question one must ask as we get closer to a provincial budget for the new fiscal year is how much longer the provincial Conservatives will continue to base public spending on windfalls due to war, famine, pestilence and death?

The Conservative banshees will likely start their usual screeching in the comments section at this point but the facts are plain in anyone’s face.  The Conservatives’ financial “miracle” has resulted not one teensy bit from anything they have done.  The enormous cash flow over the past five years resulted to one extent or another from political instability, economic crisis and all manner of calamities around the globe that drove oil prices to unprecedented heights.  Run those oil prices through the royalty regimes delivered before the Conservatives took power in 2003 and you have more money than the spendthrift Conservatives could actually spend.

Since 2003, the provincial Conservatives, led by first Danny Williams and now Kathy Dunderdale, have deliberately avoided sound fiscal policies.  Finance minister Tom Marshall and his colleagues have refused to create a sovereign wealth fund or to restrain public spending.  They have, in fact, willingly boosted spending to levels even they’ve acknowledged are unsustainable. 

Gross public debt remains at historic levels and, if Marshall is to be believed, there is little willingness around the cabinet table to take the sort of measures any prudent government would be doing in the face of dwindling oil production.  In other words, there’ll be no investment fund of the type found in other, responsibly run places, at least, not until Tom takes a hike to enjoy his fat pension on a Bermuda beach somewhere.

Now none of this actually comes as a surprise to the Conservatives.  Premier Kathy Dunderdale is aware enough of declining oil production – and hence revenue – but that seems to be only when she is faced with a reporter’s question about spending public on something  - like municipal bus services – that she obviously isn’t keen on.

But on things she wants, like Muskrat Falls, there is evidently no limit to Dunderdale’s willingness to spend other people’s money by increasing public debt and doubling electricity rates in the province.

In a few weeks’ time, Newfoundlanders and Labradorians will find out what Kathy Dunderdale and her colleagues plan to do with public money for the foreseeable future. Let’s see if Kathy Dunderdale defines her premiership by changing the pattern of financial imprudence she and her colleagues have maintained until now.

Odds are against any change to fiscal responsibility by the provincial government.  For starters we are in a pre-election period. And when that is done, we will still have the unresolved Conservative leadership.  No one will be willing to take any steps to turn off the money spigots when votes are at stake.

Just think of political expediency in a patronage-riddled political culture as the fifth horseman.

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24 February 2011

Whiff and poof #nlpoli #cdnpoli

Labrador member of parliament Todd Russell is not popular among Conservatives in the province. The reason has more to do with Russell’s unwillingness to kiss the Old Man’s derriere since 2003 more so than the fact Russell is a Liberal.

Russell made the news in Newfoundland and Labrador on Thursday as a result a virtual town hall he held.  Basically it was an opportunity for Russell’s constituents to discuss the proposed Muskrat Falls project using a giant conference call.  This was a big call, according to Russell’s office, with dozens of people who got a chance to speak, dozens left on the line when time ran out and a couple or so thousand people participating overall.

Here’s how Russell summarised the views he’s been hearing to a reporter at the Telegram:
“They have expressed their opinions around environmental issues, about economic issues, social issues and cultural issues. The overriding concern that’s come to light is that no thought has been given to meet the needs and aspirations of the people who own this resource, the people of Labrador,” he said.
Not surprisingly, one-time Conservative party executive director Mark Whiffen took some time on Thursday to explain to CBC’s Peter Cowan what he thought of Russell and Russell’s concern to ensure the people of Labrador benefit from the project:
“if Todd Russell doesn't see the overall benefit then he isn't a good MP.” and “there will be long-term benefits to Labrador. They all may not be direct, but they'll be there.” and “also, Lab is benefiting from offshore oil - not off Lab's coast, but no one cares. It's 1 province. Shame an MP can't see that.”
Yadda, yadda, yadda.

It is so easy to spew out a bunch of talking points and Whiffen’s tweets are a fine example of the enthusiastic but decidedly insubstantial nature of the partisan talking point.   Someone else joined in the exchange at one point but the general thrust didn’t change much.

But just notice that not just accepting those benefits, especially the indirect and undefined ones, makes one a bad member of parliament.  Asking for more, presumably,  would be naughty.

Naughty, naughty, Todd.

Makes you wonder what a Conservative might say.  Well, a Conservative other than Whiffen who is not, quite evidently, either from Labrador or very familiar with the issues as seen from the perspective of someone who lives in the Big Land.

Why what about someone like John Hickey, currently drawing a cabinet minister’s pay and rumoured to be organizing a run for the federal Conservatives in the next federal election?

Back in 2002, Hickey took part in a massive anti-Lower Churchill rally organized by the guy who would one day deliver the starting bits for the Muskrat Falls project.

Here’s how the Telegram (December 4, 2002) reported Hickey’s comments at the rally:
He said they want to see a development fund set up for Labrador and a plan for long-term sustainable development attached to the project that will bring new industries to the region.
Hickey was even more forthright in his insistence – back then, of course – that not one megawatt of power should leave Labrador until local were met.  As the Globe reported 9 December 10, 2002:
Mr. Hickey said the community of Happy Valley-Goose Bay can only acquire 55 megawatts from Churchill Falls and has been stymied in its attempts to bring in industries such as an aluminum smelter because of uncertainty about the electrical supply. 
Mr. Hickey was one of several Labrador business and political leaders who met with Mr. Grimes two weeks ago and demanded that any Lower Churchill agreement contain a clause that would allow Labrador communities to obtain 500 megawatts of power for future industrial development.  
"I've got a message for Mr. Landry: 'you aren't going to get a megawatt of power out of Labrador until our needs are looked after,' " Mr. Hickey said.
That was then, of course.  Hickey’s been notoriously silent on the project and whether or not the existing proposal meets the standards Hickey set back in 2002.  (Hint:  it doesn’t). But if you look at Hickey’s view you can see it is pretty much along the same lines that Todd Russell is talking about today. There’s none of the vagueness of Whiffen’s comments.

So is the former Conservative party executive director going to be supporting John Hickey in the next federal election or is John already branded as a naughty boy in Conservative circles for expecting more for Labradorians than the island Conservatives are willing to cough up?

Hard to say at this point but this little exchange does go to show the problems that come when you only know the TPs and not the wider context. 

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Dippers fear Byrning In St. John’s East #cdnpoli #nlpoli

Your humble e-scribbler made a comment on Thursday in response to another comment by Conservative strategist Tim Powers about the potential Jerry Byrne had to give incumbent New Democrat Jack Harris a tough run:

W/ feud over, trad vote patterns spell tough fight for Harris if not defeat.

That garnered a pretty quick and pretty sharp retort from Sally Housser, the NDP press secretary that the comment was “categorically ridiculous.”  She followed up with a recitation of the vote percentage’s from the last federal election.

That would be wonderful if it actually mattered.

The vote results in the 2008 were an anomaly, a one-off.  That’s because Danny Williams and some of his fellow provincial Conservatives waged an effective campaign to suppress the Conservative vote or to drive it to Liberal or New Democratic party candidates.

In St. John’s South-Mount Pearl, the Connies actually defied Williams and voted New Democrat.  Now that might seem strange to some people but you have to appreciate the extent to which local Conservatives in St. John’s are basically Tory by anti-Confederate or anti-Smallwood heritage.  If they don’t vote Tory, they will vote New Democrat before they will vote rouge.

Meanwhile in St. John’s East, the New Democrats profited by running Danny Williams old law partner and they got a double-whammy bonus from the Liberal candidate whose campaign imploded based on his own baggage. It’s not surprising, therefore that Harris swept the seat with a gigantic percentage of the votes cast.

But what are the usual voting patterns in St,. John’s East, the ones more likely to come back now that the feud is over and all is well in the Conservative corner? Take a look at this chart from an earlier post on the 2008 election results.

sje[4]

Basically you can lop off about 15,000 votes from Jack’s vote for starters.  That reflects the people who voted Connie before but who switched in 2008 based on the conditions at the time.

Suddenly the race looks a wee bit different.

And Jack Harris’ personal support?

It might count for something but people who think that even half of that 31,000  went Dipper because people love Jack might want to give their heads a good shake. 

In other words, in that straight match-up Jack Harris would basically have a tight race and conceivably could lose. He’s going to face a very aggressive Conservative candidate in Jerry Byrne.  Byrne’s a successful local businessman with a reputation for being hyper- energetic.  He’s got deep roots in the provincial Conservative party.  He’ll have a strong locally-based machine that will ensure Conservative voters get to the polls. Add to that the likelihood that Byrne would be a natural cabinet selection in a future Conservative administration and you can see a tough fight shaping up in the East.

Now the one wild card here is the Liberal.  Just like Jack can’t count on local Conservative support next time, Jack Harris also can’t count on a Liberal candidate with a penchant for self-immolation.  There’s no Liberal candidate even rumoured at this point although Ignatieff major domo Paul Antle would have to cough up a candidate or run himself.  Antle did very well when he ran before and that too might pose a bit of a problem if he can bleed off any of the support from one side or the other.

As it stands right now, Jack Harris will have a fight to win re-election in the next federal election.  This is not to say Harris is already dead; it’s just to say that he will have to wage a hard fight to win.

The Dippers know that, by the way.  You can tell they know by just exactly how quickly their press secretary jumped on the suggestion Jack would have to campaign. The New Democrats are obviously afraid of getting Byrned in St. John’s East.

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Quebec interested in lunatic megaproject

Around these parts it’s known as the Stunnel.

As in Stunned Tunnel.

It makes absolutely no economic sense but people like to talk about it.

And now, as CBC is reporting, the Government of Quebec is interested in the idea, but apparently at the behest of the Conservatives ruling Newfoundland and Labrador.

Talk about a place sorely lacking in new ideas.

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Super-duper Mega UpdateThe Northern Pen two days ago -

The Pen can reveal Quebec’s minister for transport Norman MacMillan wrote to provincial counterpart Tom Hedderson on December 1 agreeing, in principle, to undergo a joint study into not only the 15km tunnel, but the completion of Route 138 on the Quebec side.

The letter proposes “conducting a large-scale socio-economic study to investigate the current status and the potential evolution of economic activity and demographics within the entire territory in question, and whether the existing transport infrastructure is adequate.”

There’s a Radio Canada report as well.

Just wondering about implications

Since safety is current the responsibility of the offshore regulatory board and since that came from both the 1985 Atlantic Accord (not to be confused with the one time transfer of federal cash in 2005) will the federal and provincial government’s have to amend the original agreement in order to create a separate offshore safety board?

And if they do that, will one of the parties want to change around some other details of the deal as well?

After all, cracking open the original deal is a bit like opening Pandora’s box.  You never know what would hop out.

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23 February 2011

Connies drop

So much for all those polls showing the Conservatives were on fire.

Ekos’ most recent poll puts the Connies at 32% with the Liberals at 27%. The pollsters at Ekos put it down to the usual pattern of Canadians getting queasy about the idea of a majority Conservative government.

 

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Noseworthiness, redux

Sometimes you do have to wonder if anybody – let alone Auditor General John Noseworthy himself - actually reads what his office spits out.

Take, for example, the most recent report on operations in government departments.  Page after page of the report contain sentences containing random spacing that one piece of software or another has added to text as someone cut and pasted it back and forth.

Your humble e-scribbler knows the problem all too well. There’s a huge difference, though,  between someone writing in his spare time and the province’s official accounting watchdog.

But perhaps the worst part of Noseworthy’s report is the shameless massaging of numbers to make his office look way more effective than it actually is.

No, we are not talking about a problem identified in previous reports: the AG actually made up recommendations he never originally made and then claimed departments had complied with the fake ones.

This is a case of basic math problems.

Previous reports contained a total of 193 recommendations according to Noseworthy’s most recent report.  In following up on them, he reported that 89.1% “had been acted upon”.

Nearly 90%?

Wow.

That’s amazing.

Until you look at the detail.

Departments and agencies only fully accepted  79 of the 193 recommendations.

That’s 41%.

Departments only partially implemented another 79.

And they didn’t implement another 21 at all.

The remainder are less than partially implemented, whatever that means.

But think about it:  Noseworthy’s success rate is not 90% as his statement implies;  it’s really only 41%. 

Government departments either gave up implementing 60% of his recommendations fully or simply refused to implement them altogether.

So if the guy massages the numbers about his own office in order to make things look better than they actually are, what might he be doing with the other numbers?

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Related: 

22 February 2011

Atlantic energy co-operation: where Lower is higher

Natural resources minister Shawn Skinner is in Halifax talking energy co-operation with his counterparts in the Maritime provinces.

Odd that the provincial government didn’t play it up more than issuing a few lines in a media advisory on Monday, the day the meetings started.

After all, New Brunswick energy minister Craig Leonard is interested in some of Skinner’s Lower Churchill electricity.  As Leonard told the Telegraph Journal:

"There will be a considerable amount of energy that's moving through the province," Leonard says.

"That's an opportunity for us. That's clean, renewable power that will be moving through our transmission system, whether it's en route to New England or we could utilize it ourselves."

Now as regular readers of these scribbles know, the Muskrat Falls proposal is a hugely expensive proposition that Premier Kathy Dunderdale and her Conservatives expect Newfoundland and Labrador residents to pay for. The cost to produce the power, according to Dunderdale back before Christmas will be at least 14.3 cents per kilowatt hour.

Now that is interesting given that the old NB Power deal with Hydro-Quebec was supposed to lower electricity rates in the near term. When the New Brunswick government unveiled the deal, consumer electricity rates were around 11 cents per kilowatt hour.  Hydro-Quebec had oodles of electricity, some of it from very low-cost operations and could have made a tidy sum off New Brunswick customers even at reduced current rates.

Leonard and his colleagues campaigned against the deal and if they now buy Muskrat Falls power, they’d be doing exactly the opposite from what the Shawn Graham deal would have delivered.

Maybe the crowd in Fredericton will just settle for making some cash off the power that Nalcor will wheel through to the United States.

Oh.

That’s right.

There’s a power glut south of the border.

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21 February 2011

Layton will cave

Just a gut feeling.

Jack Layton will not trigger an election this spring.

Forget the tough talk.

Heard it before.

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