MR. SPEAKER:
The hon. the Leader of the
Opposition.
MS JONES:
Thank you, Mr. Speaker.
I certainly wish him well because
I tend to do that every day, Mr. Speaker. It is not an
easy job I say to my friend in the gallery.
Mr. Speaker, yesterday the Premier
confirmed the taxpayers would be on the hook for the
environmental cleanup cost of Abitibi’s former sites in
the Province - and we know that could be hundreds of
millions of dollars. He also stated that he knew very
early on in the process that this would be the case.
However, on April 27 the Minister of Natural Resources
stated, and I quote, "Mr. Speaker, the polluter pays and
under no circumstance will we be responsible for
remediation that Abitibi is responsible for. That is the
bottom line."
I ask the Minister of Natural
Resources today: Were you out
of the loop, or were you providing inaccurate
information to the public of this Province?
MR. SPEAKER:
The hon. the Minister of Natural
Resources and Deputy Premier.
SOME HON. MEMBERS:
Hear, hear!
MS DUNDERDALE:
Thank you, Mr. Speaker.
Mr. Speaker, in this House there
is only one group out of the loop, and –
SOME HON. MEMBERS:
Hear, hear!
MS DUNDERDALE:
I will not point to them but they are
on the other side, Mr. Speaker.
Mr. Speaker, our provincial
legislation states quite clearly, Mr. Speaker, that the
polluter pays. That is the law in Newfoundland and
Labrador. What we have facing us now, Mr. Speaker, is
the courts in Quebec saying that the laws of
Newfoundland and Labrador do not apply what is more
important is the financial restructuring of
AbitibiBowater rather than the environmental laws of the
provinces of this country. That is disgusting, Mr.
Speaker.
SOME HON. MEMBERS:
Hear, hear!
MR. SPEAKER:
The hon. the Leader of the
Opposition.
MS JONES:
Thank you, Mr. Speaker.
I will say to the minister, she
may think we are out of the loop but we certainly knew a
lot more about what was happening with this issue than
she knew, or certainly alluded to in this House.
I ask the minister again, Mr.
Speaker, I ask her why the
Premier would state yesterday that he knew that this was
the case for some time, yet she would stand in this
House on numerous occasions and say that the polluter
pays and that it would not be the Province that was on
the hook.
I ask the minister:
Why are you being less than
truthful with your comments in this House of Assembly?
SOME HON. MEMBERS:
Oh, oh!
MR. SPEAKER:
Order, please!
The hon. the Deputy Premier.
SOME HON. MEMBERS:
Hear, hear!
MS DUNDERDALE:
Mr. Speaker, the assertation that has
been made by the Opposition time after time in this
House, in this session, has been that because we
expropriated the mill in Grand Falls-Windsor that that
action put us on the hook for remediation. That is not
the case, Mr. Speaker. Our legislation says that
polluter pays. Because of the CCAA process, the courts
in Quebec have now said, your legislation does not
matter, it is not going to be applied because the
financial viability of this company is the most
important thing to us, Mr. Speaker.
Mr. Speaker, AbitibiBowater just
went before the courts in that same process and asked
that Botwood and Stephenville, two parts of their
company that we did not expropriate, be put into a shell
company, which they are going to collapse and we now
become responsible for those two areas of remediation,
Mr. Speaker. We did not expropriate either one of those,
and had the mill still been with us, they would have
been in the shell company as well.
SOME HON. MEMBERS:
Hear, hear!
MR. SPEAKER:
Order, please!
The hon. the Leader of the
Opposition.
MS JONES:
Thank you, Mr. Speaker.
It is obvious the Minister of
Natural Resources got the same briefing book that the
Minister of Environment has, because, Mr. Speaker, under
questioning in the House of Assembly the Minister of
Environment accused us of not understanding the
principle of polluter pays. It is obvious again today,
Mr. Speaker, that the person with the lack of
understanding was the minister herself. She stated
continuously that she could not provide any remediation
plan or costing of these environmental liabilities until
Abitibi submitted their plans.
Mr. Speaker, I ask the minister
today: Is she still going to
wait for Abitibi, a near bankrupt company, to submit a
remediation plan or is she going to do her job and get
this process started?
MR. SPEAKER:
The hon. the Minister of Environment
and Conservation.
SOME HON. MEMBERS:
Hear, hear!
MS JOHNSON:
Thank you, Mr. Speaker.
Mr. Speaker, I had the opportunity
this morning to hear the Leader of the Opposition on CBC
and she said at that time that what we did was very
deceptive. Mr. Speaker, there is no deception here. We
have a former Attorney General of the House, opposite of
us, who is a former Minister of Justice, who full well
knows how, or should know –
SOME HON. MEMBERS:
Oh, oh!
MR. SPEAKER:
Order, please!
MS JOHNSON:
- how to interpret the Environmental
Protection Act.
Under the Environmental Protection
Act it is very clear that the person who releases the
substance into the environment should be the person to
clean that up. That is the basic premise that we went
forward with, Mr. Speaker. However, this ended up in
CCAA court, Mr. Speaker, and we would never have thought
that two Quebec judges would have total disregard for
the provincial law that we have here, Mr. Speaker. Now
we see very clearly why they did, because they have to
protect the interests of thousands of Quebec workers.
That is very clear to us now. We never did suspect that.
That is exactly…
MR. SPEAKER:
Order, please!
SOME HON. MEMBERS:
Hear, hear!
MR. SPEAKER:
The hon. the Leader of the
Opposition.
MS JONES:
Mr. Speaker, it is unfortunate that
the minister does not have the notes that the Premier
has because he obviously understands what is happening
here and realizes that this Province is on the hook for
liability. Why the minister continues to say the
polluter pays when she knows in her own legislation it
states that the owner pays, Mr. Speaker, and under Bill
75 you are now the owner.
Mr. Speaker, I ask the minister:
When are you going to complete
the next phase of environmental assessments to determine
the scope of work required to clean up those sites in
the Province?
MR. SPEAKER:
The hon. the Minister of Environment
and Conservation.
SOME HON. MEMBERS:
Hear, hear!
MS JOHNSON:
Mr. Speaker, as I said, there is a
former Attorney General, a former Minister of Justice,
take out the Environmental Protection Act and have a
look. Mr. Speaker, the basic premise of that is the
person who releases the substance is the person who has
to pay. That is the whole premise that we issued those
orders under section 99 of the act.
SOME HON. MEMBERS:
Oh, oh!
MR. SPEAKER:
Order, please!
MS JOHNSON:
Mr. Speaker, we had no control over
what happened in Quebec, but as the Premier clearly,
eloquently stated yesterday, we have to fight back, Mr.
Speaker, and one of those things is considering going to
the Supreme Court of Canada. This decision has very
serious implications for every single province of this
country, Mr. Speaker, and I will be speaking to all of
the Ministers of Environment. Should we proceed with
that, I certainly suggest that the Opposition should be
backing us on this because it has serious implications
for our provincial laws.
SOME HON. MEMBERS:
Hear, hear!
MR. SPEAKER:
The hon. the Leader of the
Opposition.
MS JONES:
Thank you, Mr. Speaker.
If we could ever get to the facts
of this and ever to the bottom of it and ever get a full
understanding of the information, we might be able to
make a decision, minister, on if we could back you or
not. Mr. Speaker, the minister also knows that the
polluter pays is a different concept under
expropriation.
Mr. Speaker, I ask the minister:
What cost estimates do you have for this clean up within
your department and will you share that with the people
of the Province?
MR. SPEAKER:
The hon. the Minister of Environment
and Conservation.
SOME HON. MEMBERS:
Hear, hear!
MS JOHNSON:
Mr. Speaker, we have been following
through a process throughout this. We have gone through
the court under two occasions. We have seen what has
happened there. We have seen the bias that is in those
courts, Mr. Speaker, and we cannot stop there. We are
reviewing all of the opportunities that are before us at
this point. One of the things we are considering is
going to the Supreme Court of Canada.
As I said, Mr. Speaker, in the
first look at this decision, this is very precedent
setting for all the provinces across Canada. It is
something that we all should be concerned about in this
House and throughout Canada, Mr. Speaker. So until we
have reviewed our options and exhausted every
opportunity before us, Mr. Speaker, we are not giving up
on this.
SOME HON. MEMBERS:
Hear, hear!
MR. SPEAKER:
The hon. the Leader of the
Opposition.
MS JONES:
Thank you, Mr. Speaker.
The minister talks about doing
something about it. She does not know the scope of the
work out there that needs to be done, she has not done
all of the assessments, she cannot give us a cost
estimate on environmental liabilities. So, minister, I
suggest you start doing your work at home.
Mr. Speaker, the Minister of
Natural Resources also stated on April 22 that Fortis
and Enel, the third party companies also impacted by
government’s expropriation of the Abitibi assets, will
be kept whole as a result of this action. She stated
that several options were being negotiated with the
companies.
I ask the minister today:
What exactly was confiscated from
these companies that will require compensation from the
Province?
MR. SPEAKER:
The hon. the Deputy Premier and
Minister of Natural Resources.
SOME HON. MEMBERS:
Hear, hear!
MS DUNDERDALE:
Thank you, Mr. Speaker.
Mr. Speaker, these companies,
Fortis and Enel, had arrangements with AbitibiBowater
with regard to power generation on the Exploits. Fortis
was a partner in one of their generating assets and Enel
was their partner in another.
Mr. Speaker, we made a commitment
to both of those companies that regardless of what
happened with Abitibi, at the end of this process we
would ensure that they were kept whole, that they were
properly compensated for fair market value for the
assets, and the PPAs that they have with Abitibi would
also be honoured, Mr. Speaker.
SOME HON. MEMBERS:
Hear, hear!
MR. SPEAKER:
The hon. the Leader of the
Opposition.
MS JONES:
I ask the minister:
What the compensation will
include? Will these particular companies become partners
with Nalcor in this power project, or will it be a lump
sum cash payment, or will they continue to receive
royalties from the people of the Province?
MR. SPEAKER:
The hon. the Deputy Premier.
SOME HON. MEMBERS:
Hear, hear!
MS DUNDERDALE:
Thank you, Mr. Speaker.
Mr. Speaker, these are
negotiations that are ongoing with Nalcor and with these
two companies. At the end of this process, we will have
a good understanding of what the value of that asset is,
what amount of compensation is required to keep the
companies whole, Mr. Speaker, and we will live up to our
obligations.
SOME HON. MEMBERS:
Hear, hear!
MR. SPEAKER:
The hon. the Leader of the
Opposition.
MS JONES:
Mr. Speaker, what we do know is that
there is a bill associated with the expropriation of
monies that will have to be paid out to Fortis and to
Enel. Mr. Speaker, whether that is royalties, whether it
is shareholder status with Nalcor or whether it is cash,
we are not able to determine according to the minister.
Mr. Speaker, what we do know is
that the government, through Nalcor, is currently
providing or making the payments on a $59 million loan
for Fortis, monies that were involved with the Exploits
River project.
I ask the minister today:
How much are those payments?
MR. SPEAKER:
The hon. the Deputy Premier.
SOME HON. MEMBERS:
Hear, hear!
MS DUNDERDALE:
Thank you, Mr. Speaker.
Mr. Speaker, I will have to get
that exact information and provide it to the Leader of
the Opposition if I am free to do that.
Mr. Speaker, these are liabilities
that these companies had in association with the
operation of their businesses on these projects. As part
of our obligation of keeping that company whole, Mr.
Speaker, we took on those financial liabilities
associated with the operation of those projects until we
come to the end of the negotiation process.
SOME HON. MEMBERS:
Hear, hear!
MR. SPEAKER:
The hon. the Leader of the
Opposition.
MS JONES:
Thank you, Mr. Speaker.
It is obvious that government has
no handle on the financial cost of this to the people of
the Province. We are finding out again today more money
is being paid out - the minister cannot stand in this
House and even give us the figures. I can only say I
hope the minister will be more forthcoming with the
breakdown as she was with the $8 million breakdown that
I have asked for, because we do not have that yet
either.
We know the Province will not be a
secured creditor in this process, but there is an option
for being listed as an unsecured creditor.
I ask the Premier today:
Is this an option that you will
pursue, and if you do that, will this open us up to a
court challenge in the Quebec courts, a countersuit in
the Quebec courts regarding Abitibi’s assets?
MR. SPEAKER:
The hon. the Premier.
SOME HON. MEMBERS:
Hear, hear!
PREMIER WILLIAMS:
Mr. Speaker, we are keeping all our
legal options open. As you know right now, we are
seriously considering an appeal, leave to appeal to the
Supreme Court to deal with the adverse Quebec rulings.
What is happening here is the
Leader of the Opposition is painting a picture that is
completely contrary - I do not want to use words like
misleading because I am not allowed to use that. I do
not want to say that she is lying because I am not
allowed to use that, but in some manners, there are
facts being presented by her in a manner that are not
actually correct. When we talk about the environmental
liabilities - because what she is trying to do is stack
everything up to figures that have been $500 million,
$750 million, $1 billion, completely and totally
erroneous. She was on the radio this morning and she was
asked by the moderator: Are we not in a net better
position with the assets? Do you not agree? Well, I am
not saying that we might not be. All I can say is it is
a good thing we have some assets.
MR. SPEAKER:
Order, please!
I ask the hon. Premier not to go
reading from documents or newspaper items or other
comments that were made, but just paraphrase and refer
to the documents.
The hon. the Premier.
PREMIER WILLIAMS:
First of all, it is a good thing that
we have some assets. So she has acknowledged that.
Secondly, when we start talking about the environmental
liabilities, ballpark, 75 per cent to 80 per cent of
those liabilities are in connection with Buchans, they
are in connection with Stephenville and they are in
connection with Botwood. None of those were expropriated
assets. None of those had anything to do with the mill.
Those are liabilities that would have been there anyway.
One final example, Mr. Speaker,
when they were in government, the Hope Brook Gold Mine,
there is a press release that was out in 2002 whereby
your Minister of Mines and Energy acknowledged that they
were paying $10 million for environmental cleanup. That
happens. Government end up with the liabilities when the
polluters go bankrupt or they go into receivership. That
is the way it is. The difference is we are protected
because we all have the assets (inaudible) –
SOME HON. MEMBERS:
Hear, hear!
MR. SPEAKER:
Order, please!
The hon. the Leader of the
Opposition.
MS JONES:
Mr. Speaker, the difference here is
that in 2008 the Premier stated that the expropriation
action would not cost the taxpayers of this Province.
Yet, Mr. Speaker, this is what we know so far, that we
will have to pay for the brick and mortar assets of
Abitibi. We know that we have to pay out millions of
dollars in legal fees for lost challenges in the courts.
We know that we are paying millions of dollars for
maintenance and security. We are paying millions in
compensation as far as we know at this stage, probably
even for Fortis and Enel. On top of that, we have a $500
million NAFTA challenge, and we could be on the hook for
hundreds of millions of dollars in cleanup costs.
I ask the Premier today:
Why not come clean with the people
of this Province and tell them the amount of money that
we are on the hook for as a result of this
expropriation?
SOME HON. MEMBERS:
Oh, oh!
MR. SPEAKER:
Order, please!
The hon. the Premier.
SOME HON. MEMBERS:
Hear, hear!
PREMIER WILLIAMS:
Mr. Speaker, and I ask the Leader of
the Opposition: Whose side are you on? Are you on the
side of the people of Newfoundland and Labrador, or are
you trying to build the case for Abitibi so that they
can go to NAFTA and say the Leader of the Opposition
said this is worth $500 million or $600 million or $700
million? That is what you are saying; that is what you
are doing.
What we do have is we have the
power projects, and we have millions of hectares of
land, and we have our forest back, we have our timber
rights back, and we have the mill. Now that may have
been an error, but it is a good thing, because the
situation in Stephenville - what is going to happen in
Stephenville is that we are going to end up with the
mill anyway. We are going to have the environmental
liability, because at the end of it, the Government of
Newfoundland and Labrador and the people of Newfoundland
and Labrador, if the person who is responsible for the
pollution is not able to pay, we will have to pay.
The difference in this situation
is that we have the assets, and you, yourself,
acknowledge that is a good thing – and I agree with you
on that.
SOME HON. MEMBERS:
Hear, hear!
MR. SPEAKER:
The hon. the Leader of the
Opposition.
MS JONES:
Thank you, Mr. Speaker.
The government knows that this
deal that they have bungled so badly on Abitibi makes
the Sprung Greenhouse look like a success story, Mr.
Speaker. That is the reality of what we are dealing with
here. It has taken us weeks in this House of Assembly to
finally get the government to admit that they made a
mistake and they blundered. It has taken us weeks to get
them to admit that there is going to be liabilities on
behalf of the people of the Province.
So I ask the
government today, Mr. Speaker, continue with the
disclosure and tell the hard-working people of this
Province how much money that they are on the hook for as
a result of this blunder by your government.
MR. SPEAKER:
Order, please!
The hon. the Premier.
SOME HON. MEMBERS:
Hear, hear!
PREMIER WILLIAMS:
Mr. Speaker, I will tell the
hard-working people of Grand Falls-Windsor that we paid
$40 million in severance pay, an unprecedented act that
has not happened anywhere else in the country.
SOME HON. MEMBERS:
Hear, hear!
PREMIER WILLIAMS:
I will tell the hard-working people
of this Province that national unions have written me
personally, have written the ministers personally, and
written the government, and said how proud they are of
the action that we have done here in Newfoundland and
Labrador.
SOME HON. MEMBERS:
Hear, hear!
PREMIER WILLIAMS:
I will tell the people of this
Province that I have letters from community leaders –
AN HON. MEMBER:
(Inaudible).
MR. SPEAKER:
Order, please!
PREMIER WILLIAMS:
- in communities where Abitibi
operates their businesses, and those communities have
written and said how proud they are of the Government of
Newfoundland and Labrador for doing what it is doing.
SOME HON. MEMBERS:
Hear, hear!
PREMIER WILLIAMS:
That is what I will tell the people
of this Province!
MR. SPEAKER:
The hon. the Member for the District
of The Straits & White Bay North.
MR. DEAN:
Mr. Speaker, the decision by this
government to remove the air ambulance medevac service
from St. Anthony continues to be unacceptable to the
people of the region, and indeed by the Province, simply
because it is a wrong decision on so many levels. For
some time, and as late as today, the Mayor of St.
Anthony has been asking for a meeting with the Premier
to have the people’s voices heard before the service is
moved at the end of the month.
I ask the Premier today a very
simple question: Will you show
some compassion here and at least meet with the mayor
and his delegation so they can express their views
before the air ambulance assets are taken from them?
MR. SPEAKER:
The hon. the Premier.
SOME HON. MEMBERS:
Hear, hear!
PREMIER WILLIAMS:
Mr. Speaker, this matter has been
dealt with. It has been dealt with by the minister. The
minister has met with the officials from the Town of St.
Anthony. He has met with the group that came in, the
protest group that came in. This matter has been dealt
with time and time again. We have indicated, in all
fairness to the people of St. Anthony, that this matter
is final. This decision has been made. This has been
done.
The reason it has been done is
because the hon. the Leader of the Opposition presented
a petition and asked that this service be moved to
Labrador. If that had not happened this matter would
never have been studied, it would not have been
questioned, it would not have arisen. I said before when
I got on my feet, I was not even aware that it made more
sense to put this, actually, in Happy Valley-Goose Bay.
I was not aware that if we even put another air
ambulance in the air -
SOME HON. MEMBERS:
Oh, oh!
MR. SPEAKER:
Order, please!
If interruptions continue, the
Chair will have no other choice but identify the people
who are causing disorder.
I ask the hon. the Premier to
complete his answer.
SOME HON. MEMBERS:
Hear, hear!
PREMIER WILLIAMS:
I was not aware, Mr. Speaker, that if
we put a third new air ambulance in place that it would
actually end up in Deer Lake. That would be the next
choice. So, as a result of her actions and as a result
of this study, St. Anthony has fallen far down the list.
Just a word of advice to the
people of St. Anthony, it is unfortunate - the mayor is
trying to do a very good job and the people are trying
to do a good job, but there is a lot of nastiness coming
out of St. Anthony from various groups. I would just ask
the member to convey my concerns to the people of St.
Anthony; things that have appeared on Web sites, things
that have been said publicly. So it would be better if
they tone down their rhetoric and cease that kind of
action because that does not help anything.
SOME HON. MEMBERS:
Hear, hear!
MR. SPEAKER:
The hon. the Member for the District
of The Straits & White Bay North.
MR. DEAN:
Mr. Speaker, the frustration is
because the people have worked hard and they are
prepared to come and sit with the Premier of this
Province and discuss the issue with him and he has
refused to do so. So, that is where the frustration is
coming from, Mr. Speaker.
To suggest that this would never
have been an issue, then I would suggest he might want
to read the letter from the former member, the minister
of his Cabinet, who suggested that he had worked hard
and tirelessly within Cabinet to keep the air ambulance
there for the number of years that he was there.
SOME HON. MEMBERS:
Oh, oh!
MR. SPEAKER:
Order, please!
MR. DEAN:
Again, I just ask the Premier:
Why in this case will he not meet
with those people to hear their concerns?
SOME HON. MEMBERS:
Oh, oh!
MR. SPEAKER:
Order, please!
The hon. the Premier.
SOME HON. MEMBERS:
Hear, hear!
PREMIER WILLIAMS:
The matter is done, Mr. Speaker, the
matter is final. Cabinet has made a decision. We have
made a collective decision and that decision will not be
reviewed.
SOME HON. MEMBERS:
Hear, hear!
MR. SPEAKER:
The hon. the Member for the District
of The Straits & White Bay North.
MR. DEAN:
Mr. Speaker, DFO cuts to the shrimp
quota in Area 6 continue to obviously be a great concern
to the people of our Province, particularly the
Northeast region which has been hardest hit by this
slashing. The fishery minister’s response, as he
mentioned yesterday, was to write a letter to the
federal Minister of Fisheries. This is simply not an
acceptable representation of our concerns, given the
devastating impact, not just on this region but to the
Province overall, and the gravity for fishers and
communities.
I ask the minister:
What is he prepared to do on
behalf of the people of the Province to effectively push
this issue with the federal government and help get this
industry through this very challenging time?
MR. SPEAKER:
The hon. the Minister of Fisheries
and Aquaculture.
SOME HON. MEMBERS:
Hear, hear!
MR. JACKMAN:
Thank you, Mr. Speaker.
We are willing to do whatever it
takes to make sure that the federal government
understands. As a matter of fact, Mr. Speaker, I have
directed staff to write a follow-up letter to Minister
Shea. Immediately upon hearing that this was a
possibility, a letter was directed to Minister Shea. We
have a follow-up letter and, Mr. Speaker, the other
thing that I am doing at this particular point is having
staff do an assessment of where the plants are and what
impact this will have on operation.
Equally, Mr. Speaker, I have had
representation from the Member for St. Barbe who
informed me that he has been contacted by some
individuals. So we will do some follow-up work with the
plants and the processors up there to see what impact
this is having and see what we need to do from there.
SOME HON. MEMBERS:
Hear, hear!
MR. SPEAKER:
The hon. the Member for the District
of The Straits & White Bay North.
MR. DEAN:
Mr. Speaker, yesterday we also heard
the news of fishers and community people reacting to
this cut and they are discouraged about the future,
obviously, in the Province. Many are talking about
packing up and leaving. These people need our help.
I ask the minister again:
What is this government prepared
to put into place to help compensate these fishers for
the loss, especially given the fact that the EI system
is just inadequate to them?
MR. SPEAKER:
The hon. the Minister of Fisheries
and Aquaculture.
SOME HON. MEMBERS:
Hear, hear!
MR. JACKMAN:
Mr. Speaker, I heard an interview
from a Mr. Dwight Spence, who I think is a very
recognized individual in the shrimp industry on the
Northern Peninsula. There is no one disputing the
difficulty that this presents. This cut impacts some 350
harvesters, right in the member’s district and along the
Northern Peninsula, and it impacts the Northeast Coast
in general, Mr. Speaker.
As I have indicated, we are doing
an assessment of the situation. We will follow it up
with the federal minister and see what we can do to
ensure that they relent on this decision or that in
future, that this not be the policy that they abide by,
Mr. Speaker.
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.
Mr. Speaker, on December 16, 2008,
when we all passed Bill 75, the Abitibi expropriation
bill, we had to trust the Premier and his legal minds
who drafted it. He asked us to trust him.
Mr. Speaker, in Question Period
that day I asked: Who would be responsible for
environmental liability with this new piece of
legislation? The Premier explained at the time that the
expropriation legislation would supersede federal
bankruptcy law and that Abitibi would be liable.
Mr. Speaker, that is what the
Premier said in this House and I was therefore able to
say yes to the legislation that was provided to us on
extremely short notice.
SOME HON. MEMBERS:
Oh, oh!
MR. SPEAKER:
Order, please!
MS MICHAEL:
Mr. Speaker, now that the Province
has lost every court case trying to prove that what the
Premier said on December 16, 2008 was correct, I am
asking the Premier: Where does he stand now with regard
to this piece of legislation?
SOME HON. MEMBERS:
Oh, oh!
MR. SPEAKER:
Order, please!
The hon. the Premier.
SOME HON. MEMBERS:
Hear, hear!
PREMIER WILLIAMS:
First of all, Mr. Speaker, to the
Member for Signal Hill-Quidi Vidi, you can still trust
this Premier, in case she is implying otherwise.
Secondly, at the time that we
expropriated, and she certainly can remember this, there
was no bankruptcy at the time. This company was still
solvent. We had the foresight and we took the initiative
at that particular point in time to get out ahead of it
because we saw and we anticipated the fact that this
company could possibly go bankrupt.
The reason that we actually
expropriated, as I have said time and time again in this
Legislature, was to get control of the assets so that we
did not end up in a situation where somewhere down the
road, if the company actually went bankrupt and if there
was nothing in the bankruptcy and if there were no
assets - because that company’s stock at that particular
point in time was plummeting. We were watching it daily,
so we knew exactly what was going on. If it got in a
situation where it went into bankruptcy - even if we had
priority in a bankruptcy and the legislation provided
for the environmental liability - if there is no money
there and the secured creditors happen to rank ahead of
us, then we had nothing left, but if we went in and if
we actually seized the assets, then we were in the
driver’s seat, and that is exactly where we are today.
SOME HON. MEMBERS:
Hear, hear!
MR. SPEAKER:
The hon. the Leader of the New
Democratic Party.
MS MICHAEL:
Mr. Speaker, based on the Premier’s
answer and based on my memory of what we discussed here
in this House –
SOME HON. MEMBERS:
Oh, oh!
MR. SPEAKER:
Order, please!
MS MICHAEL:
- on December 16, 2008, I ask the
Premier: When his legal people were putting this
legislation together, did they look at the implications
of the CCAA and that ruling that would come into place
when bankruptcy happened? Did he think about that? Did
his legal minds think about that? If they did, why were
they not ready for what happened in the courts in Quebec
this past week?
SOME HON. MEMBERS:
Oh, oh!
MR. SPEAKER:
Order, please!
The hon. the Premier.
SOME HON. MEMBERS:
Hear, hear!
PREMIER WILLIAMS:
Thank you, Mr. Speaker.
Absolutely, Mr. Speaker, we had
opinions from the best people we could find in this
particular field. They advised us on exactly what the
consequences were of various options, whether it was a
CCAA proceeding, whether there was a bankruptcy
proceeding, whether there was no bankruptcy, whether
assets were sold. We looked at every possible avenue,
and we were provided with all those alternatives.
What we probably could have
predicted but we would have thought hopefully would not
have happened, is that Quebec and the Quebec judges and
the Quebec courts would have shafted us once again, and
that is exactly what has happened in every single
decision that we have had out of that Province in the
last month. That Régie decision, as I said in the House,
was absolutely shameful.
AN HON. MEMBER:
(Inaudible).
PREMIER WILLIAMS:
Quebec lovers –
MR. SPEAKER:
Order, please!
PREMIER WILLIAMS:
If we could only keep the Quebec
lovers quiet, Mr. Speaker, it would be nice.
MR. SPEAKER:
Order, please!
PREMIER WILLIAMS:
Excusez- moi, I am going to go back
there.
SOME HON. MEMBERS:
Hear, hear!
MR. SPEAKER:
Order, please!
I ask the hon. Premier to conclude
his answer.
PREMIER WILLIAMS:
So we had a terrible decision from
the Régie which ignored all the rules - all the rules -
and then we had a judge who single-mindedly wanted to
make sure that Abitibi was restructured, even if that
was at Newfoundland and Labrador’s expense. You cannot
predict that; there is there nothing you can do about
biased judges.
MR. SPEAKER:
Order, please!
The hon. the Member for the
District of Signal Hill-Quidi Vidi.
MS MICHAEL:
Thank you very much, Mr. Speaker.
Mr. Speaker, yesterday the Premier
finally admitted publicly that the Province - that we -
are on the hook for the cleanup of the AbitibiBowater
sites, no matter what happens in court; we know we are
going to have to pay.
Mr. Speaker, will the Premier take
immediate action to figure out how much it is going to
cost, so taxpayers will know how much this is costing
them?
Thank you very much.
MR. SPEAKER:
The hon. the Premier.
SOME HON. MEMBERS:
Hear, hear!
PREMIER WILLIAMS:
Mr. Speaker, we are in the process,
and we are in the process, of course, of estimating
exactly what those liabilities are. As I indicated in a
previous question from Mademoiselle, the Leader of the
Opposition, 75 per cent to 80 per cent of this cost will
actually be related to non-expropriated assets. Those
assets would actually be Buchans - which is the lion’s
share of all environmental liabilities – Botwood, and
also the Stephenville mill, which is long past but, of
course, obviously which we are going to end up with at
the end of the day because they have moved those assets
over to a shell company in order to avoid liability.
The difference is, and I keep
repeating this, that we are in the driver’s seat. We
have control of these assets. They are not in the hands
of a receiver; they are not in the hands of a trustee in
bankruptcy; they are in the hands of the people of
Newfoundland and Labrador.
SOME HON. MEMBERS:
Hear, hear!
MR. SPEAKER:
Order, please!
The time allotted for questions
and answers has expired.