Energy and Industry
The NEW EI (employment insurance) for our Future
The NEW EI (employment insurance) for our Future
If there was any way to ensure future employment opportunity in Newfoundland and Labrador - energy - particularly hydropower - is it. Energy will even top cheap labour as companies look to build power hungry smelters and refineries. This is evidenced in many stories from around the world - Sue's Blog has posted many of them.
IOC - the Iron Ore Company of Canada is a living and breathing example of how energy is factored into future growth and stability. While the company was looking for extraordinary prices - for extraordinary reasons - the basic premise was the same as it is for all industry. IOC is looking for a renewal of a power deal as part of their commitment to invest a half a billion dollars in Labrador - and we presumably will want to secure their existence for another 30-50 years in Lab West.
When it comes to heavy industrial development 4 factors play a role - the existence of raw materials such as minerals (Labrador is full of them) - labour (skilled and preferably cheap) - and energy (hydropower preferred) and location (ability to reach large market places).
Newfoundland and Labrador has the raw resources - has the hydropower - exceptional skilled labour - and great geographic location. Our labour costs are competitive when all other factors are considered. Labrador should be the buzz of the industrial planet - yet while Quebec - BC - Iceland - Africa - and Asia are talking up and attracting industry - Labrador and Newfoundland is looking at downsizing the population.
The reason is clear - the message is wrong - Newfoundland and Labrador should be talking the talk and walking the walk on hydropower. In the same manner Danny wants industry to come to Newfoundland and Labrador regarding oil and gas and fibre optic potentials yet he does not see the same potential from the best resource we have - hydropower.
It is time the Province delivered the following information to the people:
1. An economic review which compares the benefits of exporting power versus industrial use of the power in Labrador.
2. A list of industrial giants which have been approached on future use of power in Labrador - including the terms they were looking for to establish industry here.
3. The expected industrial growth in Newfoundland and Labrador for the next 25-50 years - what industries and what energy supply.
4. If there is projected growth in the industrial sector and anticipated increase in population and small to medium size business - what will power this domestic usage.
5. An independent review of preferred energy options for industry and business - what do they want to establish here.
6. The cost of producing hydropower from the Lower Churchill over a 50 year period. Then similar projections on the cost of running gas or oil-fired equivalents.
7. Industries perceived energy preferences as they relate to price volatility, reliability, and emissions.
8. Future benefits from operating green renewable hydropower versus non renewable thermal generation - with regard to emissions credits for both the jurisdiction and industry.
9. Jobs created and maintained by export of power versus domestic use.
10. Information collected on energy usage to attract industry gathered during the Premier's visits to places like Iceland.
After we have reviewed this information - we will be ready to prepare and deliver an energy plan which will provide the vision for Newfoundland and Labrador - in the same way Quebec and Hydro Quebec (which the Premier praises) - for the next 50 years and a couple of generations. Then we are ready for development. Then we can send the appropriate message to industry. The way we are behaving over the Lower Churchill development is no different than the ignorance and capitulation we demonstrated on the Upper Churchill.
The difference today - is that there will be so much discussion and debate on the issue - that the Premier that screws this one up - will not be able to hide behind excuses such as - we did not predict the price of oil was going to go up so much and Quebec forced our hand. No this Premier will have to live with knowingly contracting the biggest giveaway in our history. We had better hope that he even gives a damn about that potential embarrassment.
IOC - the Iron Ore Company of Canada is a living and breathing example of how energy is factored into future growth and stability. While the company was looking for extraordinary prices - for extraordinary reasons - the basic premise was the same as it is for all industry. IOC is looking for a renewal of a power deal as part of their commitment to invest a half a billion dollars in Labrador - and we presumably will want to secure their existence for another 30-50 years in Lab West.
When it comes to heavy industrial development 4 factors play a role - the existence of raw materials such as minerals (Labrador is full of them) - labour (skilled and preferably cheap) - and energy (hydropower preferred) and location (ability to reach large market places).
Newfoundland and Labrador has the raw resources - has the hydropower - exceptional skilled labour - and great geographic location. Our labour costs are competitive when all other factors are considered. Labrador should be the buzz of the industrial planet - yet while Quebec - BC - Iceland - Africa - and Asia are talking up and attracting industry - Labrador and Newfoundland is looking at downsizing the population.
The reason is clear - the message is wrong - Newfoundland and Labrador should be talking the talk and walking the walk on hydropower. In the same manner Danny wants industry to come to Newfoundland and Labrador regarding oil and gas and fibre optic potentials yet he does not see the same potential from the best resource we have - hydropower.
It is time the Province delivered the following information to the people:
1. An economic review which compares the benefits of exporting power versus industrial use of the power in Labrador.
2. A list of industrial giants which have been approached on future use of power in Labrador - including the terms they were looking for to establish industry here.
3. The expected industrial growth in Newfoundland and Labrador for the next 25-50 years - what industries and what energy supply.
4. If there is projected growth in the industrial sector and anticipated increase in population and small to medium size business - what will power this domestic usage.
5. An independent review of preferred energy options for industry and business - what do they want to establish here.
6. The cost of producing hydropower from the Lower Churchill over a 50 year period. Then similar projections on the cost of running gas or oil-fired equivalents.
7. Industries perceived energy preferences as they relate to price volatility, reliability, and emissions.
8. Future benefits from operating green renewable hydropower versus non renewable thermal generation - with regard to emissions credits for both the jurisdiction and industry.
9. Jobs created and maintained by export of power versus domestic use.
10. Information collected on energy usage to attract industry gathered during the Premier's visits to places like Iceland.
After we have reviewed this information - we will be ready to prepare and deliver an energy plan which will provide the vision for Newfoundland and Labrador - in the same way Quebec and Hydro Quebec (which the Premier praises) - for the next 50 years and a couple of generations. Then we are ready for development. Then we can send the appropriate message to industry. The way we are behaving over the Lower Churchill development is no different than the ignorance and capitulation we demonstrated on the Upper Churchill.
The difference today - is that there will be so much discussion and debate on the issue - that the Premier that screws this one up - will not be able to hide behind excuses such as - we did not predict the price of oil was going to go up so much and Quebec forced our hand. No this Premier will have to live with knowingly contracting the biggest giveaway in our history. We had better hope that he even gives a damn about that potential embarrassment.
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