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'Breaking of gridlock' between Quebec, N.L. is the envy of former premiers

ST. JOHN'S, N.L. — Former Newfoundland and Labrador premiers say a draft energy agreement signed Thursday with Quebec marks a historic break in a long-standing political standoff.
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Quebec Premier Francois Legault and Andrew Furey, premier of Newfoundland and Labrador, shake hands after signing a memorandum of understanding during an announcement in St.John's, Thursday, Dec. 12, 2024. Former Newfoundland and Labrador premiers say a draft agreement signed Thursday with Quebec marked significant headway in a long-standing political standoff they had tried and failed to make.THE CANADIAN PRESS/Paul Daly

ST. JOHN'S, N.L. — Former Newfoundland and Labrador premiers say a draft energy agreement signed Thursday with Quebec marks a historic break in a long-standing political standoff.

Brian Tobin, who was premier from 1996 to 2000, describes the sweeping new energy contract as a long-awaited "breaking of political gridlock" between Newfoundland and Labrador and Quebec.

Tobin says he has no doubt that ending the 1969 deal that gave Quebec nearly free electricity from Labrador was a top priority for every premier since Joey Smallwood, the man who signed the contract.

Roger Grimes ran the province between 2001 to 2003, and he says all of the province's premiers wished they had found a willing partner in Quebec to reshape the agreement.

Pointing to the province's unsuccessful attempts to challenge the deal in court, he says Quebec Premier François Legault had no obligation to throw out the contract but saw a good opportunity and showed political will.

The two provinces signed an agreement in principle Thursday under which Quebec will pay higher rates for power and partner with Newfoundland and Labrador on new hydroelectric projects in Labrador.

This report by The Canadian Press was first published Dec. 13, 2024.

Sarah Smellie, The Canadian Press