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Andrew Furey hits the road as sales work on Churchill Falls deal begins

Newfoundland and Labrador Premier Andrew Furey is hitting the road to sell the new Churchill Falls agreement, which he says is worth $200 billion over the next five decades. Meanwhile, opposition politicians are mulling over the agreement's details.

Opposition leaders want to ensure the deal is good for N.L.

Furey promises thousands of new jobs, no power rate increases for Labrador in Churchill Falls deal

9 days ago
Duration 1:40
Premier Andrew Furey made his way to Labrador, less than 24 hours after ripping up a copy of the notorious 1969 Churchill Falls agreement with Quebec. He called the Big Land the “heart and soul” of the proposed new deal and outlined what’s to come. The CBC’s Regan Burden was there.

A beaming Premier Andrew Furey is coming off a political high and turning his attention to selling Newfoundland and Labrador's new draft deal for Churchill Falls to a public that has been scarred by costly megaprojects of the past. 

On Thursday, Furey and Quebec Premier François Legault signed a memorandum of understanding to replace a lopsided  65-year-old contract attached to the Churchill Falls hydroelectric project. Hydro-Québec's latest figures show that it sells power for 51 times what it pays for power from the central Labrador plant. 

Thursday's agreement, will greatly expand hydro production in Labrador, and is expected to yield at least $200 billion for N.L. over the next five decades.

"The sky is the limit with this power," Furey told CBC Thursday. 

Furey took to the skies Friday to move the Churchill Falls strategy from announcement to public persuasion. Furey flew straight to the heart of Labrador to meet with people — including Indigenous groups — in Happy Valley-Goose Bay, and then to the power-generating town of Churchill Falls. 

"We'll use this money," he told reporters Friday in Happy Valley-Goose Bay. "This money will allow us to help reshape and help support the people of Labrador in a big way."

The government has also started advertising the deal, with a polished campaign that clearly has been in development for some time. A website — ourchapter.ca — went live after the announcement, as the government boasted of the benefits and posted the MOU itself for download. 

Social media and online ads, featuring Furey's own voice, were available Thursday evening. 

Man in suit sitting in front of N.L. flags holding two pieces of ripped paper.
Premier Andrew Furey on Thursday ripped a copy of the 1969 Churchill Falls contract to illustrate a metaphor. He announced a new 50-year deal with Quebec Premier François Legault. (Mark Quinn/CBC)

Furey has also been fitting in media interviews to explain details of the MOU. Apart from a splashy news conference at The Rooms cultural complex, Furey did four one-on-one interviews on Thursday, and had an additional four booked for Friday, his office said. 

Furey headed to Labrador — where residents have long complained that their natural resources have been exploited for the gain of others — armed with a deal he says will right historic wrongs. He said the deal, if sanctioned, will mean thousands of construction jobs, sustained and significantly higher revenue, and more energy for Labrador itself. 

"It's important to be here in Labrador as it is the heart, the soul of this deal, the heart and soul to the future of Newfoundland and Labrador," he said.

WATCH | Terry Roberts outlines the main points of a sweeping MOU announced in St. John's Thursday

Breaking down the details — and risks, rewards — of a new Churchill Falls agreement

10 days ago
Duration 3:10
There was applause, hugs and almost too many politicians to count in St. John’s Thursday, when the premiers of Quebec and Newfoundland and Labrador announced a memorandum of understanding to end the notorious Churchill Falls agreement 17 years early. A new deal, if sanctioned, scores of billions of dollars flow in N.L. coffers for decades to come. The CBC’s Terry Roberts explains.

For Furey, signing an MOU with Quebec represents the start of a new chapter for Newfoundland and Labrador.

"This changes everything. It changes everything for all those who stood where we now stand," he said.

Opposition: Show us the details

The tentative agreement took almost four years to negotiate. With Quebec's need for more electricity and long-term contracts, Furey maintained that Labrador's neighbouring province must be ready to pay if it wants more power from N.L.

In September 2023, Furey told reporters in Quebec City to "show us the money."

To the tune of $200 billion, Furey joked that Quebec has clearly shown N.L. the money.

Now, Newfoundland and Labrador's opposition leaders want Furey to show them the details.

WATCH | Tony Wakeham and Jim Dinn want to see what's inside the new tentative agreement: 
Quebec and Newfoundland and Labrador have struck a new hydro energy deal. It replaces the previous pact that saw power leave the Churchill Falls hydroelectric plant in Labrador at a very low price. The tentative renegotiation will see Quebec pay 30 times the previous price. Premier Andrew Furey and the CBC’s David Cochrane share why the old agreement bred resentment within N.L. for more than 60 years, and how this step forward could change their province forever.

PC Leader Tony Wakeham and NDP Leader Jim Dinn told CBC they were annoyed that a technical briefing for them was scheduled for 5 p.m. NT Thursday, well after the news conference. 

"I've essentially heard what the premier had to say today. Certainly, a lot of money is being talked about," Wakeham said before the briefing. 

Man in navy suit
PC Leader Tony Wakeham said the provincial Liberals refused to give opposition leaders a technical briefing before Thursday's announcement. (Mark Quinn/CBC)

Said Dinn: "We've heard all the rhetoric, the hyperbole there today, and there is a real sense of hope that this is going to be what it is. However, we didn't get the technical briefing."

Wakeham wants to ensure the province makes the correct decision if it proceeds with the MOU.

"We're about to enter into another 50-year agreement with the province of Quebec. So it's very, very important for us to get this right," Wakeham said. 

LISTEN | Premier Andrew Furey shares why the old agreement bred resentment within N.L. for more than 60 years: 

Opposition parties accuse Furey of playing politics, after they were shut out of Churchill Falls briefing

9 days ago
Duration 1:09
PC Leader Tony Wakeham and NDP Leader Jim Dinn say a new tentative deal with Quebec over Churchill Falls should be about the people and the province — not politics. They say Premier Andrew Furey could have proved that by letting them see the details early, like journalists.

Dinn said he is going to review the details to ensure the new agreement is better and protects Newfoundland and Labrador's interests. 

"Before I join in the celebration," he said, "I would like to have the opportunity to sit with my colleague, talk to our researchers, talk to people who are knowledgeable in this field and find out what exactly this means. Is it as good as it seems?"

Man in grey suit
NDP leader Jim Dinn said he wants to review the details of the agreement with his colleague, Labrador West MHA Jordan Brown, before celebrating anything. (Mark Quinn/CBC)

Both Wakeham and Dinn said they will have more to say on the deal in the coming days.

The details of the MOU will be debated in the House of Assembly during a special sitting in early January. This will determine whether the province will proceed.

In the meantime, Wakeham is questioning whether Furey will use the announcement as an election ploy before the scheduled fixed-date vote on Oct. 14, 2025. 

"Trying to force a deal and getting it done so we can go to the polls, that's the wrong approach," Wakeham said.

"It can't be about the next election. It has to be about the next generation." 

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ABOUT THE AUTHOR

Jenna Head

Journalist

Jenna Head is a journalist working with the CBC bureau in St. John's. She can be reached by email at Jenna.Head@cbc.ca.

With files from Mark Quinn, On The Go and Regan Burden

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