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Churchill Falls referendum will take deal out of political arena, Wakeham says

Tony Wakeham reaffirmed his commitment to putting the Churchill Falls MOU to a referendum on Tuesday, shortly after learning he’d be moving into a new role in government as Newfoundland and Labrador’s next premier.

“We will develop Churchill Falls. We will develop Gull Island. We will electrify Labrador. We will develop our resources, with our workers, for the benefits of our communities,” Wakeham said in his victory speech Tuesday night in his home district.

Wakeham has long called for independent review of memorandum of understanding signed between Quebec and the previous Liberal government, which could bring more than $200 billion to Newfoundland and Labrador over its lifetime.

Wakeham, and a cast of outside critics, believe the province can get a better deal.

Liberal Leader John Hogan had asked voters for their trust in the fact that the deal is as good as it gets for both sides, and that he would be the best leader to see a deal through by April.

But speaking with CBC News after his win on Wednesday, Wakeham said he needs to know whether or not residents support it as he moves forward.

“I want to take this out of the political arena and put it back into the hands of experts to take a look at.… What I know, they will know,” he said.

“I’m going to make sure we get it right. And once we get that final negotiation done, however long it takes, then yes, we will bring it to the people of Newfoundland and Labrador to have its say. But I will not be rushed.”

Newfoundland and Labrador Hydro CEO Jennifer Williams congratulated Wakeham in a statement on Wednesday, saying she looked forward to working with him.

“Hydro’s focus and obligation is to serve the best interests of the province. I look forward to connecting with premier-designate Wakeham in the days ahead to discuss how the Crown electricity assets are integral to and contribute to the vision and plans for the province’s future,” Williams wrote.

The Liberal government had hoped a deal from the MOU could be agreed upon by April 2026. (CBC)

Quebec Premier Francois Legault also congratulated Wakeham, while showing support for the deal, insisting it was beneficial to both provinces.

In a statement, Hydro-Québec said significant progress has been made on a mutually beneficial deal.

Referendum creates risk, political scientist says

But as Legault enters what could be his final year in office ahead of an election scheduled for Oct. 5, 2026 in Quebec, a Newfoundland political scientist says he’s left to question if a referendum or potential delays could impact Wakeham’s ability to see a deal made.

Kelly Blidook, an associate professor of political science at Memorial University, says a referendum could add further stress to a tight deadline for a deal between Newfoundland and Labrador and Quebec to be completed. (Katie Breen/CBC)

“Taking it to a referendum, I think, would be that biggest risk. And that’s entirely up to him,” Kelly Blidook, an associate professor of political science at Memorial University, told CBC News on Wednesday.

“The caution here would be that you actually do risk a worse outcome. But I think for a voter, it doesn’t sound like that. I think for a voter it sounds like ‘Well, we’ve already got an agreement and he’s going to make it better.’ I don’t know if people realize he could also make it worse, so that’s the risk here.”

Blidook said he believes an independent analysis always makes sense, but Newfoundland and Labrador could be on the clock.

Quebec’s government could change, he said, and that means negotiations or the overall stance on the MOU could change with it.

“It’s hard to see how they’ll have enough time to do what they need to do and still work with, probably, the best dance partner,” Blidook said.

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