If you have not read Part 1 please read it HERE first in order to fully understand the context of Part 2.
Now that we have determined the year to year return, on a go-forward basis, the value of this 8.5 per cent Hibernia ownership to the feds - we must look at who is willing to give us what we have asked for. Simply a transfer of ownership of the 8 1/2 % to Newfoundland and Labrador.
On the basis of other entities the CDIC has managed and then sold on behalf of the feds, the government of Canada has certainly achieved a similar value from Hibernia to date, especially considering the investment required.
Williams asked for the transfer during the last federal election. See Letter here.
The responses were as follows:
Conservative: Harper said "Presently, this is not an endeavour that a Conservative government would support, but we would be willing to discuss this in the future."
New Democrats: Layton said "Our party continues to support the view that the people of Newfoundland and Labrador should have an ownership stake in offshore oil and gas as an equity partner and believe that the Government of Canada, as an equity partner in the Hibernia project, has more than recouped its investment and should work towards transferring its 8.5% equity share in Hibernia to the Province."
Liberal: Martin said "The sale of the Hibernia shares is not a priority for our government at this time.
I'm not quite sure why the Williams government has not moved forward on this priority - or if they have why they are not commenting on it.
At current polling I believe we have another great opportunity for a minority. Normally I would prefer a majority with a robust Opposition however in Canada, minorities are the only hope for a 7 seat province (Newfoundland and Labrador) to get anything.
My only concern here is that Harper will continue to perform poorly on policy issues and media communications. They dressed him up for the last election - but his American first agenda is not winning kudos in most of the country. Specific issues like equalization (including the removal of non-renewable resources), fiscal imbalance, healthcare, child care, foreign affairs, accountability, and muzzling cabinet and MP's - among others - could produce a small majority for the Liberals.
Newfoundland and Labrador should hope that the NDP will continue to perform on the social issues and city agenda - bringing in some crucial seats in big cities with it's sprinkling of representation in certain rural areas, including our own I hope, might block a Liberal majority. The public should not reward the Liberals just yet with another majority. First we need to see where a new leader is going to go and second they still need a kick in the arse for the sponsorship folly.
Even if the PM gets another extreme makeover and pulls off a minority - we still have the ability to make some demands.
Let's prepare for these circumstances should any of them come to pass - because even if the Liberals or Conservatives get a small majority they will not be comfortable enough not to make some decent commitments. (in writing please)
This time it is essential to get the transfer of the Hibernia ownership of 8 1/2% to the province. These hundreds of millions of dollars every year could bring us the future we deserve and that Canada owes us.
Oh yes, owes us - for its mismanagement of the fishery, the lack of support on a power corridor through Quebec, for its ridiculous equalization equation that seen Newfoundland and Labrador for years get dinged with the majority of water rentals from the Upper Churchill, even though the real revenues were flowing through Quebec, its lack of federal presence and the constant downsizing of federal offices in Newfoundland and Labrador...and on it goes.
Part 3 will deal with the purpose and use of these revenues to maximize our resources and economic potential for the next 25 years.
Return to Part 3
sue kelland dyer
No comments:
Post a Comment