NLIS 3
June 6, 2001
(Executive Council)

Premiers Grimes and Landry meeting in Quebec City

Premiers Grimes and Landry had a positive meeting yesterday in Quebec City and discussed several issues of mutual interest and benefit to both provinces. Central to these discussions was the proposed Lower Churchill hydro project. The scaled down project, a 2000 MW generating plant at Gull Island with new transmission in Labrador, would cost an estimated $4 billion to develop. 

Premier Grimes is very encouraged by Premier Landry's enthusiasm for development of Gull Island and by the increased attention on North American energy trade in general. "There have been some significant developments in the North American energy industry over recent months with the increased attention on meeting US energy requirements, the establishment of the trilateral North American Energy Working Group, the release of the US energy policy report and the appointment of the federal Committee of Ministers on Energy. Newfoundland and Labrador and all the provinces are assessing the implications of these developments. 

"This summer officials from Newfoundland and Labrador will be undertaking a comprehensive review of these ongoing developments and their implications for our energy resource development, in particular our clean hydro electric resource. We will be assessing our options for the development and as part of this process we will be meeting with our federal colleagues to determine the federal policy and response on these issues. We anticipate that our review will take several months." Premiers Grimes and Landry agreed to re-assess the situation in the fall. 

The premiers also discussed a number of other areas of mutual interest and bilateral cooperation. They recognized significant opportunities for cooperation on innovative programming in the area of social policy, with particular reference to early childhood development. The premiers directed officials to work together to ensure a full and beneficial exchange.

In addition, Premier Grimes raised a number of Labrador/Qu�bec issues of importance to the province. Both transportation and tourism issues, particularly as they relate to the completion of the Trans Labrador Highway and upgrading of Route 389, were discussed. Premiers agreed that officials from both jurisdictions would follow-up on the matters raised.

Media contact: Carl Cooper, Office of the Premier, (709) 729-3960.

2001 06 06                                                       2:05 p.m.