2023-09-24 08:01:04
The Prime Minister of Quebec, François Legault, maintains that an agreement with Newfoundland and Labrador is possible regarding the Churchill Falls contract. He argues that he is “not arrogant but confident,” he told the Behind the scenes of power.
While in New York last week to participate in the Climate Ambition Summit and to promote Quebec’s green energy, Mr. Legault discussed this important energy dispute with journalist Daniel Thibeault.
Hydro-Québec buys almost all of the production from the Churchill Falls power station at a price of 0.2 cents per kilowatt hour. It then sells its surplus for around 8 cents per kilowatt hour. This fuels a deep feeling of anger and injustice among Newfoundlanders, who feel cheated because of the billions of dollars raked in by the Quebec state corporation.
I am optimistic that we will find a compromise where Newfoundland comes to save face a little with perhaps an adjustment in prices now.
Mr. Legault would like Quebec to still have access to the energy produced by the Newfoundland power plant once the contract expires in 2041. The subject was discussed last February during an interview with his provincial counterpart, Andrew Furey, in Saint John.
The Prime Minister also wants to work with Mr. Furey to increase the capacity of Churchill Falls and to launch the Gull Island project in Labrador, the completion of which would produce 2,250 megawatts.
The battery industry
François Legault has great ambitions for the economic development of Quebec. In his eyes, the province is the battery of the northeast of North America, which he highlighted in New York to his many interlocutors.
For the moment, Hydro-Québec has enough surplus to meet needs, according to the Prime Minister. On the other hand, we have several dozen investments, whether in batteries, in green aluminum, in electric buses, in green steel, where we do not have enough electricity, adds -he.
The state-owned company will therefore have to find new sources of supply to meet demand and achieve carbon neutrality by 2050. The state-owned company’s 2022-2026 strategic plan predicts that an additional 100 terawatt-hours will be needed. to meet the needs of the future, or half of what it currently generates. The new president and CEO of Hydro-Québec, Michael Sabia, could revise these figures upwards. His report is expected in the coming weeks.
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François Legault granted an interview to Daniel Thibeault, host of “Behind the scenes of power”, during a visit to New York.
Photo : Radio-Canada / Jonathan Dupaul
Even if he says he is ready to consider wind and solar energy projects, in particular, to make up for the shortfall, François Legault is still considering the construction of dams if this proves necessary.
Quebecers will have to ask themselves the question: “Will, in order to offer jobs paying our young people, I am ready to build a new dam or increase the volume of existing dams?”
In the Prime Minister’s mind, these major projects could be completed in less than 15 years.
To achieve this and to respond to the labor shortage currently prevailing, François Legault has entrusted his Minister of Labor, Jean Boulet, with the mandate to carry out a reform of the construction industry which would lead to a decompartmentalization of professions.
This will require negotiations with unions. We think we could make an efficiency gain of around 10%, indicated the CAQ leader. So, that indirectly means 10% more workers.
Premier Legault also expects that the Minister of Finance, Eric Girard, will unveil in his fall economic statement financial incentives that will encourage a greater number of Quebecers to complete a training program during the winter to work on construction sites next summer.
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