House of Assembly
Newfoundland and Labrador

Oral Questions
May 28, 2008

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MS JONES: Thank you, Mr. Speaker.

Mr. Speaker, an Assistant Deputy Minister of Health testified yesterday at the Cameron inquiry that briefing notes she had prepared were changed by others within the department without her notification.

I ask the Premier today: Is it an accepted practice within your government that officials are permitted to change briefing notes without advising or checking the accuracy of those changes with the original author within those departments?

MR. SPEAKER: The hon. the Minister of Health and Community Services.

SOME HON. MEMBERS: Hear, hear!

MR. WISEMAN: Mr. Speaker, the person the member opposite is referring to is an assistant deputy minister in my department, responsible for board services, and she is testifying before the Cameron inquiry. I think this is her second, if not third, day that she is appearing before the inquiry, and over the course of that period of testimony she is providing her knowledge and insights in terms of the knowledge she had around the issues surrounding the ER-PR testing, the involvement she had on behalf of the department, any functions she may have carried out, whether it is the creation of briefing notes, providing advice to the minister or providing advice to others, and the interaction she may have had with the health authority.

I say, Mr. Speaker, she is on the stand as we speak, and I think she is due to be there again this afternoon, I believe, Mr. Speaker. I think it is important, while she is giving her testimony, it is important to allow her that process, to provide a full picture, a full picture –

MR. SPEAKER: Order, please!

I ask the hon. minister to conclude his answer.

MR. WISEMAN: Thank you, Mr. Speaker.

- and, in the spirit of the member’s request from last week, allow the inquiry to unfold. When her testimony is completed, then we will have an opportunity to chat with her and others about the information that they did have.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MS JONES: Thank you, Mr. Speaker.

The minister might note that my questions have nothing to do with the individual in question but have to do with a practice that is ongoing within government departments. Mr. Speaker, there were changes that were provided, that had inaccurate information. That information was given to the minister and, in its essence, provided in the House of Assembly.

I ask the Premier today: What actions are being taken within your government to correct this problematic process and to ensure that inaccurate information is not fed to the House of Assembly on other occasions by your ministers?

MR. SPEAKER: The hon. the Minister of Health and Community Services.

SOME HON. MEMBERS: Hear, hear!

MR. WISEMAN: Thank you, Mr. Speaker.

I said a moment ago, Mr. Speaker, it is inappropriate for me or anyone else in this House to comment on testimony that is being made as we speak, but I can comment on testimony that I gave, personally, when I was there.

I had indicated very clearly to the commissioner a process that has changed, that changed since last year, I say, Mr. Speaker, the manner in which we sign off on briefing notes. Historically, briefing notes were prepared by officials in the department and they may or may not ever come across a minister’s desk.

We have a mechanism now in place, Mr. Speaker, where briefing notes are prepared, they are signed off by - and they may be prepared by anyone in a particular department. They are signed off by a senior official, and they make their way through to the minister’s office, and the minister, in fact, now signs off on briefing notes and dates them.

So that is a change we have made as a result of insights we gained last year as we discussed this total issue.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MS JONES: Thank you, Mr. Speaker.

We know the notes are prepared, we know they are often changed without authorization, and we also know that oftentimes they are not read – but, Mr. Speaker, legislation introduced by government to remove accountability and oversight provisions of the Energy Corporation, including the Access to Information Act, the Auditor General’s Act, the Citizens’ Representative Act, and the Public Tender Act, is very significant and unprecedented.

I ask the Premier: Did the government consult with the Auditor General for his input before this legislation was drafted?

MR. SPEAKER: The hon. the Premier.

SOME HON. MEMBERS: Hear, hear!

PREMIER WILLIAMS: Mr. Speaker, what the government has done on this is basically hired the best experts they can, involved the best expertise, looked at jurisdictions throughout Canada, looked at jurisdictions throughout the world, and have developed the best model for the people of Newfoundland and Labrador.

The intent here is to have this Energy Corporation maximize its return, maximize its profits, maximize its dividends, become a very, very profitable asset, owned by the people of Newfoundland and Labrador. That is our sole goal.

The restrictions which the hon. Leader of the Opposition refers to are very, very narrow restrictions, and that is to ensure that this company can be successful, that it can operate in a competitive environment, that it allows itself to enter into partnerships with major corporations around the world who would not enter into these partnerships if not for these provisions.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MS JONES: Thank you, Mr. Speaker.

The legislation does override important acts within the House that offer for transparency and accountability.

I ask the Premier if there was consultation with the Auditor General before drafting this legislation. I also ask if there was any consultation taken with the Citizens’ Representative as well.

MR. SPEAKER: The hon. the Premier.

SOME HON. MEMBERS: Hear, hear!

PREMIER WILLIAMS: Mr. Speaker, the Transparency and Accountability Act, in fact, applies to this corporation. The Access to Information applies to this corporation. The Auditor General Act applies to this corporation. It cannot only be audited by the Auditor General; it will be audited privately. There will actually be an annual meeting every year. There will be disclosure to the shareholders at the annual meeting. It will operate no different than any other public company on the stock exchange.

That is all consistent with the way corporations operate, and that is all intended to make sure that it is an open and accountable and transparent corporation, but at the same time it has to have a chance. It has to have a chance to survive, it has to have an opportunity to succeed, and I can tell you quite clearly that if these provisions are not there then the Hebron deal would go down, because the equity provision that is in the Hebron deal would not take place if corporations like ExxonMobil and Chevron and Petro Canada and Norsk Hydro had to open their guts to the world.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MS JONES: Thank you, Mr. Speaker.

I ask again, because the legislation overrides other acts of the House of Assembly that governs things like the Auditor General, the Privacy Commissioner, and the Public Tender Act, I ask again: Did government consult with the Auditor General, with the Privacy Commissioner, Mr. Speaker, with the Chief Purchasing Agent who oversees these acts of legislation within the Province?

MR. SPEAKER: Order please!

The hon. the Minister of Natural Resources.

SOME HON. MEMBERS: Hear, hear!

MS DUNDERDALE: Mr. Speaker, this act does not override the Transparency and Accountability Act. It does not override the Auditor General. It does not override our ATIPPA legislation. What it does is constrain how commercially sensitive information gets reported.

We are responsible for transparency and accountability to the people of this Province. It is in that matter that we undertook the research that we needed to do to ensure that this company had what it needed to succeed in the marketplace, but at the same time that we were accountable to the House of Assembly and to the people of Newfoundland and Labrador, and here is where we are going to have the consultation and the debate, Mr. Speaker.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MS JONES: Mr. Speaker, there was no consultation with any of these individuals.

Let me ask the Premier this question, because under the new legislation the Auditor General’s responsibilities will be stifled and he will not be permitted to publicly report certain information related to the energy corporation.

I ask the Premier: Why is it important to stifle the Auditor General and hide information inside of this corporation that should be exposed to the public?

SOME HON. MEMBERS: Oh, oh!

MR. SPEAKER: Order please!

I ask members for their co-operation.

The hon. the Premier

SOME HON. MEMBERS: Hear, hear!

PREMIER WILLIAMS: Mr. Speaker, there is no attempt here whatsoever to stifle the Auditor General. In fact, what is happening here is the Auditor General can perform the duties that he or she performs under the act under normal circumstances. A complete audit can actually take place.

The only thing, the only narrow issue on which the Auditor General is restricted is on the release of commercially sensitive information. For example, if ExxonMobil have some new technology that allows them to drill 300 miles below the ocean that is proprietary and no other company has it, if that was disclosed in a partnership with us and the Auditor General is aware of it, he is not allowed to disclose that type of information. These are commercially, competitive proprietary pieces of technology that are not allowed to be disclosed. There is an example of the type of situation, what it does not have.

If the Auditor General though, finds that there is a problem and he has concern during his audit, then what he can do is he can disclose to the public that he has a concern, he can make that report to the House of Assembly and then he can go to Cabinet with the specific problem and it can be dealt with at the Cabinet level. So the safeguards are actually in place.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MS JONES: Mr. Speaker, I guess it needs to be defined, the commercially sensitive aspects of this, but the reporting mechanism that is available to the Auditor General under this legislation is not consistent with the authority to report on every other government department and agency, or Crown agency. Instead, Mr. Speaker, as the Premier said, the information has to go to the Cabinet. There is no saying the Cabinet can bury this information for up to twenty years if they want to or so choose.

So I ask you, Premier: Is this an acceptable accountability regime under which this energy corporation should operate?

MR. SPEAKER: The hon. the Premier.

SOME HON. MEMBERS: Hear, hear!

PREMIER WILLIAMS: First of all, this is not a Liberal Cabinet, this is a Conservative Cabinet. So -

SOME HON. MEMBERS: Hear, hear!

PREMIER WILLIAMS: The second distinction that is important here is that this government is about no more giveaways, it is about increasing the value of Newfoundland and Labrador’s natural resources. It is making sure that we get the best possible return from those resources and as a result, we have taken it on the chin over the last few years in attempting to get extra royalties and attempting to get equity and a fairer shake from the oil companies. We have fought it head on and we won. This is now -

AN HON. MEMBER: (Inaudible).

PREMIER WILLIAMS: Yes, sure. We signed a deal a few years ago or perhaps we could have signed the Lower Churchill deal that the crowd opposite wanted to sign, the big Grimes giveaway. They were all party to that and they were all party to Cabinet. So, what we are trying to do is enhance the value of the people’s assets in this Province so that the people can get a better return, and this is how we are going to do it.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MS JONES: Thank you, Mr. Speaker.

I want to remind the Premier that laws that are set in this House of Assembly do not only apply to your government but also to successive governments.

Mr. Speaker, the energy corporation and its subsidiaries will also be exempt from the Securities Act. The Securities Act governs private companies, as the Premier will know, and certainly the companies that are involved in negotiations that they deal with.

So I ask, Mr. Speaker, why is it that the energy corporation and its subsidiaries will be exempt from the Securities Act while other private corporations have to comply?

MR. SPEAKER: The hon. the Premier.

SOME HON. MEMBERS: Hear, hear!

PREMIER WILLIAMS: Mr. Speaker, the precedents that we are using here - we have gone all around the world and we have looked at success stories, and we just have to go a little bit west and we go to Quebec and we see the success of Quebec Hydro. Now, you know, part of their success has been done on our backs and, hopefully, over time we will be able to correct that and remedy that and straighten it out.

We have also gone to - looked at Manitoba Hydro. We have gone to Denmark, we have gone to Norway. We are even looking at corporations like Petrobras and Statoil, of course, in Norway. So what we have done is, we have looked at all of these regimes and we want to make sure that we put the best regime in place here that safeguards the interests of the people of Newfoundland and Labrador but allows us to build one of the best corporations in the world. That is really what our goal is here, to make sure that the new energy company, which has yet to have a new name or a new brand, is the very best that it can be so that it brings the very best possible returns to the people of Newfoundland and Labrador and becomes an asset and becomes a corporation that we can be truly -

MR. SPEAKER: Order, please!

I ask the hon. the Premier to conclude his answer.

PREMIER WILLIAMS: Thank you, Mr. Speaker.

It becomes an asset that we, as people of Newfoundland and Labrador, can be truly proud of.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MS JONES: Thank you, Mr. Speaker.

Mr. Speaker, the new energy corporation and its subsidiary companies will also be exempt from the Public Tender Act.

I want to ask the Premier today, if he can tell me what is in the Public Tender Act that actually prevents the energy corporation from carrying out its goals of contracting for services and developments in this Province?

MR. SPEAKER: The hon. the Minister of Natural Resources.

SOME HON. MEMBERS: Hear, hear!

MS DUNDERDALE: Thank you, Mr. Speaker.

Mr. Speaker, this government is very supportive of the Public Tender Act. In fact, until we came to power, Mr. Speaker, Newfoundland and Labrador Hydro did not have to - we brought the Public Tender Act to Newfoundland and Labrador Hydro. In terms of the nature of the work that the energy corporation will be undertaking, they will all be very large projects. We are talking about oil and gas developments. We are talking about the Lower Churchill. We are talking about big wind development. In these cases, Mr. Speaker, the Public Tender Act does not give us what we need in overall value of the project, ensuring that we have the overall value and the best interest of the development project taken care of. We need to do that.

MR. SPEAKER: Order, please!

I ask the hon. minister to conclude her answer.

MS DUNDERDALE: Thank you, Mr. Speaker.

There are also principles of adjacency that we need to apply, that we will not be able to apply using the Public Tender Act.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MS JONES: Thank you, Mr. Speaker.

It is so funny because I would say to the members opposite, they like to support the Public Tender Act when it suits their need because they certainly did not use it when they did the fibre optic deal as well.

Mr. Speaker, the Public Tender Act has several clauses that allows for exemption under certain circumstances.

SOME HON. MEMBERS: Oh, oh!

MR. SPEAKER: Order, please!

MS JONES: I ask the Premier today: Where do you feel that the Public Tender Act is deficient in terms of not being able to meet the business needs of this new energy corporation?

MR. SPEAKER: Order, please!

The hon. the Minister of Natural Resources.

SOME HON. MEMBERS: Hear, hear!

MS DUNDERDALE: Thank you, Mr. Speaker.

When we are planning to develop a project, the one thing that we have to be absolutely sure of, before we let a contract, is that we have overall value, that the expertise is there, that all of the benchmarks that we require are going to be set and be able to be met by the people who are doing the work. All of that work has to be done beforehand, before we let a contract; not developed after the fact, because that is when we lose control.

In terms of the Public Tender Act, yes, we could apply for exemptions but they are time-consuming. Project after project that we are considering within this Energy Corporation are very large contracts, and if we have to take time to work through exemptions we will cause delays. Delays will cost us millions and millions, if not billions of dollars.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MS JONES: Mr. Speaker, the legislation not only applies to the Energy Corp when it comes to the tendering act, but all of the subsidiary companies will also be exempt. These are companies that have not yet been set up and, Minister, you are asking us to give them carte blanche the opportunity to go out and purchase whatever services and contracts they want without going to public tender.

I ask the Premier: Do you feel it is acceptable that we would give this authority to subsidiary companies that do not even exist at this stage in the Province?

MR. SPEAKER: The hon. the Minister of Natural Resources.

SOME HON. MEMBERS: Hear, hear!

MS DUNDERDALE: Thank you, Mr. Speaker.

We understand the scope of work that is going to be undertaken by the subsidiary. In terms of Newfoundland and Labrador Hydro, we are more than happy for the Public Tender Act to apply. It makes sense in terms of the regular work, the regulated work of that utility, that the Public Tender Act apply.

In terms of what we are doing in our subsidiaries, Mr. Speaker, they are all very large projects. As I said, it is going to be oil and gas development. It is going to be wind development. It is going to be the Lower Churchill development. These are projects costing in the hundreds of millions of dollars, if not billions of dollars, where timelines are extremely important.

We need the overall value, so we need to know who is going to do the work, we have to be assured that they are going to be able to deliver, and all of this has to be done in a timely manner.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MS JONES: I say they should all be accountable to the public, too, Minister.

Any subsidiary companies of this Energy Corporation that may be created will not be set up as Crown agents is what I understand, and therefore will be subject to the guidelines that govern private corporations.

I ask the Premier: If these corporations are supposed to exist to benefit the people of the Province, where is the public control on behalf of the people?

MR. SPEAKER: The hon. the Premier.

SOME HON. MEMBERS: Hear, hear!

PREMIER WILLIAMS: Mr. Speaker, as I said, the controls are in place. You have to remember that these are all subsidiary companies that will have some overlap on the board of directors. There will be some different control aboard the board of directors from the energy company, the parent company, down to the subsidiary companies. So, the controls are in place to make sure that at the end of the day the top of this pyramid is Ener Co. It is a new corporation, and it has oversight of all those assets, so hopefully there will be a very profitable wind corporation, there will be a very, very profitable Lower Churchill Development Corporation, there will be A, B, C, D and E very profitable oil corporations, there may be E, F, G, H, I, J gas corporations, and then there will be Newfoundland and Labrador Hydro which is already a very successful corporation.

So, it is intended to sort of spread our subsidiary corporations, to spread out the risk as well, but to make sure that there is general oversight in Ener Co., and the shareholder of Ener Co., the Energy Corporation, are the people of Newfoundland and Labrador.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MS JONES: Mr. Speaker, we know that government appoints the board of directors for the Energy Corporation. Maybe the Premier can tell me who will appoint the board of directors for each of the subsidiary companies.

MR. SPEAKER: The hon. the Premier.

SOME HON. MEMBERS: Hear, hear!

PREMIER WILLIAMS: Mr. Speaker, that will be done in conjunction with the advice of Cabinet, and as well in discussions with the CEO of the Energy Corporation, because in these corporations we want to make sure that we can get the best possible people in the world, if possible.

Now, surely we would certainly like to have them 100 per cent Newfoundlanders and Labradorians, and if that is the case, and they happen to be the experts in those areas, it will be 100 per cent Newfoundlanders and Labradorians.

We are able to draw on expertise, though, from people who are international experts in their field, and they may be sprinkled on these boards to give us the kind of expertise and the kind of knowledge that we need to do the best possible job and get the best possible return at the end of the day.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MS JONES: Thank you, Mr. Speaker.

Back in the early 1990s - and everyone in this Province will remember this - the former Administration considered the idea of privatizing Newfoundland and Labrador Hydro but significant public debate, as you will know, stopped that particular idea.

I ask the Premier today: With the secrecy and lack of accountability that will surround the new Energy Corporation, what protection is there that information will be made to the public should a future government decide to sell off or privatize sections of that corporation, such as one of the subsidiaries or shares that subsidiary might hold?

MR. SPEAKER: The hon. the Premier.

SOME HON. MEMBERS: Hear, hear!

PREMIER WILLIAMS: I cannot predict what could happen if John Efford was the subsequent Leader of the Liberal Party and eventually took over a government after he ousted the Leader of the Opposition, and I cannot predict what might happen if he appoints Danny Dumaresque as Chair of Hydro at the end of the day. I cannot predict any of that; but, having said that, I can assure the Leader of the Opposition that these corporations are in good hands. This is being done in a proper manner. It is being done to the best of our ability. The safeguards are in place to make sure that the public interest is protected; but, as well, we also have to balance that with the fact that these corporations have to be very, very competitive and have to be in a position whereby they can maximize their returns to the people of Newfoundland and Labrador, and that is what we are doing.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MS JONES: Thank you, Mr. Speaker.

Our concern is that there is public investment dollars within the new energy corporation and we know that some of that money is going to be used to purchase shares in the Hebron deal, if that is a successful negotiation.

Mr. Speaker, we want to ensure that there are accountability measures if some aspect of shares in that subsidiary is being sold off and done so without full public disclosure, and I ask: What provisions are provided for in the legislation to ensure that that does not happen without full public disclosure?

MR. SPEAKER: The hon. the Minister of Natural Resources.

SOME HON. MEMBERS: Hear, hear!

MS DUNDERDALE: Thank you, Mr. Speaker.

There is one shareholder to this company, and it is the people of Newfoundland and Labrador. This company is answerable to the people of Newfoundland and Labrador.

SOME HON. MEMBERS: Hear, hear!

MS DUNDERDALE: In terms of transparency and accountability, the Auditor General is in there. We will have consolidated annual reports. We will have consolidated annual, audited statements. We will have a public annual general meeting.

Mr. Speaker, in terms of our consideration, given what the Premier just said, we are building in every safeguard we can, just in going to the ends of our imagination and even considering the fact that John Efford could be Premier and Danny Dumaresque could be CEO, we are making sure that this company is in good shape and (inaudible).

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: Order, please!

The hon. the Leader of the Opposition.

MS JONES: Thank you, Mr. Speaker.

My next question is for the Minister of Natural Resources as well, and it is on the insurance of water rights on the Lower Churchill River being transferred to the Energy Corporation. I guess my question is that bill extinguishes the rights of individuals or groups on the Lower Churchill River and its tributaries from any compensation or recourse within the courts, is what I understand.

I ask the minister today: How does that impact on those who have traditional rights and historic rights and attachment in and around that river and the tributaries that lead into it?

MR. SPEAKER: The hon. the Minister of Natural Resources.

SOME HON. MEMBERS: Hear, hear!

MS DUNDERDALE: Thank you, Mr. Speaker.

Mr. Speaker, I can only assume that the Leader of the Opposition is referring to Aboriginal rights, and there is no legislation that we have, that we can pass in this House, that extinguishes Aboriginal rights. The only way that Aboriginal rights can be extinguished is by voluntary surrender or by an amendment to the Constitution of Canada. This legislation does not impact at all anyone who has Aboriginal rights with regard to the Churchill River.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MS JONES: Thank you, Mr. Speaker.

My question was not just restricted to Aboriginal groups but to other traditional users or people that would occupy and use that particular river.

I guess my next question to the minister would be: Has there been any consultation with Aboriginal groups or other groups within the Labrador region that would have been traditional users or continued users of those rivers?

MR. SPEAKER: The hon. the Minister of Natural Resources.

SOME HON. MEMBERS: Hear, hear!

MS DUNDERDALE: Mr. Speaker, this legislation provides us with a tool, a mechanism to award water rights. That is all it does.

Right now, in terms of all other rivers in this Province, they are governed under the Water Resources Act through the Department of Environment. There is only one exception to that, and that is the Churchill River. The Lower Churchill Development Act gives us the mechanism to award those rights to LCDC, the Lower Churchill Development Corporation Limited, but that is all we can do. We are restricted in that piece.

We have decided that our Energy Corp. is going to provide the lead on the development of the Lower Churchill, therefore we need a mechanism to award them the water rights. All this legislation does is give us the mechanism, the tool to do that.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Member for the District of Signal Hill-Quidi Vidi.

MS MICHAEL: Thank you very much, Mr. Speaker.

I actually have a question that will follow up directly to the answer that the minister just gave. I recognize that rights cannot be taken away, especially Aboriginal and Treaty rights because they are affirmed in section 35 of the Constitution Act, 1982. However, I think any piece of legislation we have should be very clear about that recognition.

So I ask the minister: Would she be open to making amendments to this act, making it clear that that section is honoured by this piece of legislation?

MR. SPEAKER: The hon. the Minister of Natural Resources.

SOME HON. MEMBERS: Hear, hear!

MS DUNDERDALE: Mr. Speaker, we have had this discussion. It is not necessary to amend this legislation for protection of Aboriginal rights. The only way that Aboriginal rights can be extinguished is by voluntary surrender or by a change to the federal Constitution. That is the only way, Mr. Speaker. Amendments are not required.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Member for the District of Signal Hill-Quidi Vidi.

MS MICHAEL: Thank you, Mr. Speaker.


I think I differ with the minister but I am going to wait until the bills come to the floor and we have full discussion. I think there are questions to be asked and I think that the Aboriginal peoples are asking those questions as well.

I would like to come back then to another issue that the minister has already given some answers to, and it has to do with the Public Tender Act. The minister has confirmed what we were told this morning by people from her department and by Newfoundland and Labrador Hydro about the act not being flexible enough to deal with mega-projects, and I understand that.

I ask the minister: Was any thought given to mending the Public Tender Act, so that our Public Tender Act could deal with large projects and give the flexibility so that we do not have, even if exemptions have to happen, that we don’t have to have costly delays - could amendments be made to the act itself?

MR. SPEAKER: The hon. the Minister of Natural Resources.

SOME HON. MEMBERS: Hear, hear!

MS DUNDERDALE: Thank you, Mr. Speaker.

Yes, Mr. Speaker, we considered that. We looked very closely at the Public Tender Act. Our government has as its hallmark, openness and accountability and transparency.

The Public Tender Act means something to this government, and so we look for ways to apply it. There are even some pieces of the Public Tender Act now that allow for exemptions. We have looked to see if they would apply, if they could facilitate the kind of work that the Energy Corp. is going to be undertaking, and it cannot, Mr. Speaker.

So we need to have this exemption for this company to function properly and do the work on behalf of Newfoundlanders and Labradorians, and ensure that it is done using best possible practices which get the best return for the people of the Province.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Member for the District of Signal Hill-Quidi Vidi.

MS MICHAEL: Thank you, Mr. Speaker.

In the briefing that we were given this morning, we had quite a bit of discussion about the Public Tender Act. The officials there did point out to us that our act is in conflict with some other important things, like our energy plan, like the Atlantic Accord, and things such as adjacency, local benefits, full and fair opportunity, and first consideration for employment and business do not get covered under the Public Tender Act.

So I ask the minister: Isn’t it time to bring the Public Tender Act into line with the goals of government for developing our economy according to these principles?

MR. SPEAKER: The hon. the Minister of Natural Resources.

SOME HON. MEMBERS: Hear, hear!

MS DUNDERDALE: Thank you, Mr. Speaker.

I am happy to report that a review of the Public Tender Act has already taken place, by my colleague in the Department of Government Services.

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