Churchill Falls deal is 'full steam ahead' says N.L. Hydro as Michael Sabia departs Hydro-Quebec
Hydro-Quebec CEO has been named next clerk of the Privy Council
With the head of Hydro-Quebec leaving to become the next head of Canada's public service, his counterpart in Newfoundland and Labrador says she isn't worried about the future of the Churchill Falls deal they hammered out together.
On Wednesday, Prime Minister Mark Carney named Hydro-Quebec CEO Michael Sabia — a former deputy finance minister and businessman — as the next clerk of the Privy Council.
Newfoundland and Labrador Hydro CEO Jennifer Williams said his departure won't affect plans to develop more hydroelectric capacity on the Churchill River — including the Gull Island project, which was first announced in December.
"With respect to our collective work and continued progress on the MOU, I want to assure Newfoundlanders and Labradorians that it is business as usual," Williams said in a statement.
The new Churchill Falls agreement is expected to be finalized by 2026.
Williams said teams have been working on the definitive agreements since December.
"We are planning engineering and geotechnical studies this summer to inform work starting next year. This is not the time to pause. We've given more than our fair share for 50 years," she said.
"Since Day 1, I've said that this deal makes sense from one utility to another, and our teams continue full steam ahead."
Williams says she worked closely with Sabia on the Churchill Falls negotiations over the last two years, and while there were tense moments, she says Sabia understood the issues with the 1969 contract — which has long prompted resentment in N.L. — and that a new agreement had to be different.
Sabia was in St. John's last week with Williams to attend the annual Energy N.L. conference, where he spoke of the importance of a fair deal between Newfoundland and Labrador and Quebec, and the project's increased importance given rising political tensions with the United States.
"I thank him for his commitment and dedication, for being open-minded to a new working relationship between our utilities and provinces, and to keeping our focus on what really mattered — the benefits to us both by working together," said Williams.
She also says he is well suited to his new role as clerk of the Privy Council and secretary to the cabinet.
Sabia will officially take over as clerk on July 7, a PMO statement said.
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