iPolitics By Roger Bill. Published on Dec 23, 2020 9:26am Muskrat Falls hydroelectric project (Photo: Nalcor Energy)
Last Thursday, as bills for the Muskrat Falls behind-schedule and over-budget hydroelectric project were finally coming due, Prime Minister Justin Trudeau announced that the Federal government was deferring $844 million in payments from Newfoundland and Labrador. It was welcome news for Newfoundland and Labrador Premier Andrew Furey who faced the daunting task of borrowing money in bond markets where the province was unable to raise funds as recently as last March. In an interview with the business news publication allNewfoundlandLabrador Premier Furey said, “This is a giant anchor around our collective souls.”
Ottawa offers temporary debt relief for N.L. s troubled Muskrat Falls project
by The Canadian Press
Last Updated Dec 17, 2020 at 10:14 am EDT
ST. JOHN’S, N.L. Ottawa is providing temporary debt relief to Newfoundland and Labrador for its Muskrat Falls loan payments.
Prime Minister Justin Trudeau made the announcement today in a video call with Newfoundland and Labrador Premier Andrew Furey and federal Natural Resources Minister Seamus O’Regan.
Furey says the debt relief saves Newfoundland and Labrador from having to come up with $844 million in payments, most due this month.
The premier said the province would have had to borrow the money to cover the payments and added to the province’s staggering debt.
PM Trudeau Announces Federal Support for Muskrat Falls Project – Dec. 17, 2020
In a virtual event, Prime Minister Justin Trudeau announces measures aimed at supporting the financially troubled Lower Churchill/Muskrat Falls hydroelectric project in Labrador. The federal government will waive certain loan repayments and will appoint Serge Dupont to provide federal oversight of the financial restructuring of the project. Joining the prime minister for the announcement are Newfoundland and Labrador Premier Andrew Furey and federal ministers Dominic LeBlanc (intergovernmental affairs) and Seamus O’Regan (natural resources).
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Ottawa defers $844M in Muskrat Falls payments, almost all due by end of year
The federal government again said it will take measures to make Newfoundland and Labrador s Muskrat Falls hydroelectric project financially stable, including waiving $844 million in payments due from Crown corporation Nalcor Energy. But there are few details on how the project will affect the province s ratepayers.
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ST. JOHN S, N.L. Ottawa is giving Newfoundland and Labrador temporary relief from debt and financing payments for the troubled Muskrat Falls hydroelectric project and appointing a top bureaucrat to oversee the project s financial restructuring. Prime Minister Justin Trudeau said Thursday by video conference his government will defer payments owed by Nalcor Energy, a province-owned corporation, as part of the federal government s loan guarantee agreement for the project. Newfoundland and Labrador Premier Andrew Furey said Trudeau s decision will ease pressure on his province s finances. This means the province doesn t have to borrow $844 million in payments, almost all of which would have been required this month and added to our debt, Furey said during the call with the prime minister.