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Opposition Leader Roger Grimes says in light of the confusion that exists
over the secret deal government reached with Abitibi Consolidated in
December concerning the Stephenville mill, Minister Byrne should release the
agreement publicly. On Wednesday, Natural Resources Minister Ed Byrne said
in a Ministerial Statement that government agreed to a request from the
company to provide a contribution of $1 million for 60 days to offset power
rate increases. Minister Byrne also confirmed that Abitibi Consolidated told
him three months ago that they intended to close the mill in Stephenville
permanently unless government provided them with this $1 million in
short-term funding.
"Minister Byrne is giving two stories regarding this agreement," said Mr.
Grimes. "In Wednesday’s statement, he indicated that this money had already
been given to the company. However, he has since stated that this money will
only be given to the company if certain information is provided to
government and guarantees were given by Abitibi to keep the Stephenville
mill operational. To clarify the details of this agreement, I am calling on
Minister Byrne to release these documents to the public.
"During the last provincial election, this government said they had a
long-term solution for the Stephenville mill. With this secret agreement and
confirmation that government will not help the company secure a new wood
supply in the province, there certainly appears to be no plan in place to
help Stephenville. They have had 16 months to bring forth their plan, where
is this long-term solution?
"Unless government has been provided with guarantees in this agreement to
secure the long-term future of the Stephenville mill, I do not understand
why government would put forth this money. We need to see the details of
this secret deal now to ensure it is in the best interests of the people of
Stephenville, and indeed all Newfoundlanders and Labradorians."
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