NLIS 4
April 1, 2003
(Works, Services and Transportation
)
 


The following statement was issued today by Jim Walsh, Minister of Works, Services and Transportation. It was also read in the House of Assembly:

I would like to inform honourable colleagues of actions this government intends to take regarding the privatization of Port Harmon.

Today the Government of Newfoundland and Labrador will file an application for judicial review with the Federal Court of Canada Trial Division on the decision of the Honourable David Collenette, Minister responsible for Transport Canada, to divest the Stephenville port to a private interest.

The province is basing its application on its belief that Transport Canada failed to adhere to the National Marine Policy of Canada, the Treasury Board Policy on the Disposal of Surplus Real Property, and the Canadian Environmental Assessment Act. The application is also based on the belief the Transport Minister did not appreciate the corporate distinction between the Stephenville Port Authority and the Port Harmon Authority Ltd. The province is also claiming the Transport Minister failed to observe a principle of procedural fairness toward the province in his decision to transfer the Stephenville port to Port Harmon Authority Ltd.

According to the National Marine Policy, regional and local ports owned by Transport Canada must first be offered to other federal departments and then to the province. Only if the province is not interested in acquiring the facilities may Transport Canada then seek an expression of interest from local stakeholders.

Similarly, pursuant to the federal Treasury Board Policy, federal real property that is being offered for sale must first be offered simultaneously to federal departments, Crown corporations, provincial governments and municipal governments.

This government was never given the opportunity by Transport Canada to negotiate the specific divestiture of Port Harmon. At no point in time did this government advise Transport Canada it had no interest in the divestiture of this port. In fact, the province repeatedly advised Transport Canada of its interest in Port Harmon and asked to be apprised of any developments with respect to the transfer of the port. Transport Canada ignored these requests.

Furthermore, the Transport Minister, as the responsible authority under Canadian Environmental Assessment Act, failed to ensure completion of the required environmental assessment before the transfer of the Stephenville port.

The province believes there is an overriding public interest at stake in the transfer of public port facilities, such as the Stephenville port. We are, therefore, requesting the federal court quash the decision of the Transport Minister to divest the Stephenville port to the Port Harmon Authority.

2003 04 01                                        1:50 p.m.


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