Minister Noel stands by characterization of Opposition Leader�s business

"In an NTV interview last night Opposition Leader Danny Williams suggested I am wrong in calling his business a monopoly," says Mines and Energy Minister Walter Noel. "If that is not the case I would like him to identify what cable television competition he has in St. John�s.

"I have been a long time critic of the cost of cable television service. I have intervened to prevent increases a number of times. I believe such businesses have become so valuable because people are being charged too much for cable service.

"Mr. Williams says he competes with satellite companies, and other people are free to enter the cable business. But that is only in recent years. His business was built primarily when it was a strict monopoly.

"When I opposed cable rate increases his company always argued the increases were small and necessary to remain viable. But the fact is that cable operations have been so profitable because they have been able to charge people too much for the service provided.

"Mr. Williams and his party haven�t hesitated to criticize electricity price increases, but they apparently find the excessive prices people pay for cable services acceptable. They are certainly not objective on these issues.

"Similar conflicts are evident when it comes to reforming automobile insurance. When I was fighting for change as Minister of Government Services and Lands, his law firm was one of the leading opponents of change. Mr. Williams himself avoided discussing this important issue for several years until he was forced to do so recently because it has become an election issue. After being studied for years, he is now suggesting further study before any action is taken. If he were to lead the next government I�m sure no meaningful action would be taken."

Media contact: Darrell Mercer, Communications, (709) 729-5777.

2003 09 17                                          3:15 p.m.