Premier Tim Houston unveils push for more natural resource development in Nova Scotia

Premier Tim Houston is turning his government's focus toward local natural resource development as fears grow about the possible impacts on provincial revenues from potential U.S. tariffs, slowing population growth and any changes in federal transfer payments.

That shifting focus could include re-examining long-standing bans in Nova Scotia, including on uranium mining, fracking for natural gas and the moratorium on oil and gas exploration on the lucrative fishing grounds of Georges Bank.

"[We] can't expect Nova Scotia to prosper when we ban industry after industry after industry," Houston told reporters during a news conference in Halifax on Wednesday.

"I will look at what can be done safely. That's the lens."

Houston's office called the news conference ostensibly to discuss potential new tariffs on Canadian exports to the United States. Instead, the premier spent the bulk of his time discussing a letter he provided members of his caucus during a meeting earlier in the day.

Premier outlines mandate plans for caucus members

The letter, which is attached at the bottom of this story, is described by his office as an outline of the Progressive Conservatives' mandate for their second term in office.

It discusses the challenges facing the province and the need to become more self-reliant by pursuing untapped opportunities that previous governments "lacked the courage to act" upon.

Houston writes that pursuing natural resource development can provide the province with more revenue to address the needs of the public and increase prosperity.

"We must take the 'no' out of Nova Scotia. Special interests have captured too many parts of our economy and have had an out-sized voice in policy creation. That must end. Outright bans of entire sectors are lazy public policy and we will reverse bans and focus on meaningful, mature discussion."

The former NDP government legislated a ban on uranium mining, although there has been a moratorium for even longer. The former Liberal government introduced legislation to ban fracking in 2014. The moratorium on petroleum development on Georges Bank, meanwhile, has been in place since the 1980s and has been renewed by successive governments ever since.

Feels like 'a bait and switch'

Last year, then-energy minister Tory Rushton said he wanted to bring permanent protection to the area.

Houston told reporters on Wednesday that a failure to pursue more natural resource development — something that did not factor into his party's platform during the recent provincial election — risks reducing government services or increasing taxes to account for revenue shortfalls from other areas, such as if U.S. tariffs become a reality or if federal transfer payments were to decline.

Transfer payments from Ottawa account for a third of Nova Scotia's revenue.

"That's the reality," said Houston.

"If you're looking at our aging population, the costs to deliver health care — look at the percentage that health care is of our provincial budget — we have to grow the revenues to provide the services."

NDP Leader Claudia Chender said she expected Houston to provide details about what's being worked on to help affected businesses if U.S. tariffs become a reality.

Instead, she said the premier provided a "concerning" policy outlook for the next four years based on nothing his party discussed during the last provincial election.

"Today feels like a bait and switch," she told reporters.

"I think Nova Scotians should get ready with what their thoughts are."

Opposition won't support any Georges Bank development

Chender said the Tories' economic development initiatives to date have had little success and questioned whether the premier has the social licence with the public to pursue some of the things he discussed Tuesday.

Interim Liberal Leader Derek Mombourquette said it seems like Houston is scrambling to deal with major financial headwinds after years of record surpluses that allowed him to outspend his budgets without having to make hard decisions about programs, services and resource development.

"Today you've seen the complete pivot of what this government is going to bring forward in this mandate," he told reporters.

Mombourquette said any consideration about reversing the Georges Bank moratorium would be reckless and his party would never support it, but he is open to examining other resource extraction if it's done in a safe way and includes community consultation and social licence.

Breaking down interprovincial trade barriers

Houston said legislative changes to existing bans could come as soon as next month's spring session of the legislature. He promised "lots of discussion" before any changes take place.

The premier said during a conference call on Wednesday with the other premiers and the prime minister he also advocated for the federal government to "immediately approve the Energy East pipeline," a project that would move oil from western provinces to eastern provinces where it would be processed. The project died in 2017 in the face of opposition.

He also pushed all provinces to look at their trade policies within Canada and remove barriers that slow or prevent the movement of goods and services from one province to another.

"For me personally, it's a no-brainer that we need to get rid of these trade barriers," said Houston.