NLIS 5
June 29, 2005
(Executive Council)
(Finance)
Atlantic Accord
legislation given royal assent;
$2.6 billion to start flowing to Newfoundland and Labrador
Today marks the end of one journey and the start of another as
Newfoundland and Labrador begins on the path to self-reliance says
Premier Danny Williams. Today, Bill C-43 has received royal assent,
officially passing the federal budget into law and enabling the province
to receive the $2 billion up-front Atlantic Accord payment. With
interest this will mean at least $2.6 billion flowing to Newfoundland
and Labrador.
�This is indeed a momentous and proud day for Newfoundland and
Labrador,� said Premier Williams. �It was in June 2004 that I received a
commitment from Prime Minister Paul Martin that our province would be
the principal beneficiary of our offshore resources and now, just more
than one year later, we are seeing the fruition of that commitment. It
has been a long road, however, our government was determined to achieve
a more equitable and fair revenue sharing arrangement, and with the
support of all Newfoundlanders and Labradorians, we were successful. The
Atlantic Accord not only has financial benefits for our province, but
there is also a renewed sense of pride and self-confidence among
Newfoundlanders and Labradorians, and real hope for a brighter more
prosperous future.�
Loyola Sullivan, Minister of Finance and President of Treasury Board,
also expressed his satisfaction at finally seeing Bill C-43 pass into
official law. �We have worked tirelessly on the Atlantic Accord and on
becoming principal beneficiaries for over a year now, and to know the
province will now receive the money is extremely rewarding,� said the
minister. �There are still financial challenges ahead, including a large
provincial deficit, but this up-front payment gives us another important
means to help diversify the economy and get our province on sound fiscal
footing.�
A new arrangement on the sharing of offshore resources was reached
between the provincial and federal governments on January of this year,
after months of intense discussions. After receiving third reading in
the House of Commons on June 16, Bill C-43 was passed by the Senate on
June 28 and received royal assent, the last step in making a bill into
law, today. The bill had to become law in order for the federal
Department of Finance to transfer the up-front Atlantic Accord payment
to the Government of Newfoundland and Labrador.
The provincial government expects the money to be transferred in the
coming days. Premier Williams said that options are still being reviewed
about how to best allocate the money. �This money is an up-front payment
to cover the next eight years, and we have an obligation to ensure that
all possible options are explored and that this money is utilized for
the maximum benefit of Newfoundlanders and Labradorians. We are
consulting with experts from the financial field and once decisions are
made we will publicly explain how this money will be invested so that
many generations of Newfoundlanders and Labradorians benefit,� he said.
�We recognize that this money will enable our province to establish a
stronger financial footing, however, we must also balance our important
social responsibilities.�
Media contact:
Elizabeth Matthews, Office of the Premier, (709) 729-3960, 690-5550,
elizabethmatthews@gov.nl.ca
Diane Keough, Communications, Finance, (709) 729-6830 or (709) 685-4401
2005 06 29
4:45 p.m.
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