BRIAN PECKFORD’S WAKE-UP CALL

It was a
somewhat older, less feisty, more comfortably confident Brian Peckford who
ascended the stage as guest speaker at the closing of NOIA’S 40
thconference. But time had not altered his powers of communication or any of his
enormous capacity to be singular with his audience, to entertain them and,
concomitantly, to leave them feeling slightly less comfortable than when they
first sat down.

As an ‘old’
staffer of Premier Peckford, in the 1970s and 80s (full disclosure), I had
watched the performance many times, often jealously
the rapport quickly
established, the bond of trust unmistakable, all given an articulation that
found clarity only because it was as physical and emotional as it was verbal. Like
him or hate him
many did both, and some at the same time he was a master
storyteller.

Peckford
never ever talked about silly stuff. He was always a man on a mission. He loved
the cut and thrust of politics, found assurance in his ability to read a public through
the medium of what he described as his “bellybutton”, and revelled when he
bettered the opposition Liberals, or got his message to the media an hour or
two before the Feds
even if, most of the time, they held all the cards.


Only the
unread regarded his political machinations as gamesmanship. The more astute
would see them as levers, the mechanisms of shrewdness, the game
not the
plan.
  Underneath all the theatre there was
policy.

At its
essence, politics without purpose is only about winning and losing. Real
politics exposes and circumscribes amateurs and wannabes. Ring-fenced by
values and goals, it truly is the art of the possible.

As Peckford
started in, I wondered how he would contain himself in the face of all the bad
politics, much of it from his own Party
from Danny Williams to Paul Davis. Policy has become submerged to politics, losing its public purpose in the
bargain… It has become something personal
what is still not clear, but certainly
something more self-serving.

The
Liberals under Dwight Ball, assessed in a Peckfordian context, must seem to
him a bunch having stumbled in from another planet. They possess no ability to
turn forward a dial that ought not to have been reversed. The Tories had
engaged in mind-numbing recklessness, certainly deception
possibly chicanery
precipitating Ball’s ascension to the 8
th Floor in the first place.

After all,
who was Ball but an interloper, bereft of either passion or policy
a rogue
element, cold and indifferent, an awkward man trying to graft himself onto a warmer,
and fearful
if far too needy body politic.

Ball vs.
Peckford. There is no need for metaphor for what is obvious.

Peckford’s speech
began about his roots in St. John’s, of all places. Who would ever have taken
him, of all people, for a Townie? Of course, his father was a social worker
whose career was spent in many places in the province, allowing Brian to claim
no fixed address.

No one ever
questioned his heritage or that, in every bone and sinew of his being, he was a
Newfoundlander. No one questioned him, that is, except one former Premier who
was quick to denigrate him and his public expression of concern over the Muskrat
Falls project
it, ostensibly, having held less value because he no longer
lives here.

It must have
galled him that, only one day after his NOIA speech, Nalcor announced overruns of
another billion dollars, raising project costs to $12.7 billion.
 

Little
wonder that he noted that “the Government predicts it will receive
$902,765,000 million in offshore oil royalties… and that the [amount] totals… more
than all Federal Government cash transfers to the Province”
this year and
likely for a very long time.

He was
pilloried for Sprung
and deserved the criticism, however well-intentioned
the project. But, if objectivity were allowed, unlike Muskrat, it was not
covered up or lied about, it didn’t imperil the whole economy, and transparency
was reported daily on the evening news. If only Muskrat had received the same
attention!
  

At NOIA,
Peckford avoided discussion of Muskrat.
   

For him, more utility could be found in reminding those with poor memories and the
two succeeding generations
(all taking the Atlantic Accord for granted) that
it was an achievement hard won, that it ought to be celebrated, and that its
continued existence would require the diligence of the current and future
governments.

No one and
I mean no one
understands better than Peckford the avarice of the centralizers
in Ottawa and their desire to reassert a vision of Canada that he and Mulroney
eschewed, one that did not favour the sparse and politically powerless
periphery.

The
justification for shared jurisdiction over NL’s offshore resources was explained
a thousand times in the 80s and 90s; the moment at the St. John’s Convention
Centre seemed a tear in the fabric of time. Strangely, the relevance of that
earlier fight had not diminished one little bit.

A mixed brew
that combined the grab for the fast buck, political partisanship, insecurity,
and Newfoundlanders’ inexperience with advancing their interests in the stillnew confederal arrangement, all conspired to create a culture of deference to
an Ottawa-centric federal
  government. NL had made a terrible mistake agreeing to Terms of Union that failed to recognize that most of NL’s huge maritime area, though
having vastly enlarged Canada’s landmass and sovereignty, also held most of our
resources. Pecky”, as Frank Moores called him, was having none of that.

The story of
the retrieval of those rights
if only in part recorded a leviathan struggle
that exposed the worst aspects of power politics, inter-province rivalry and
self-interest, just as it illuminated the power of strong political leadership
to keep a small society, barely capable of differentiating larger issues
from petty partisan politics, from losing the historic opportunity afforded by
giant offshore oil discoveries.

Some say
that finding real leadership in politics is serendipitous. The history of
Newfoundland and Labrador seems to affirm such a thesis. Well, serendipity had
come home for a visit. And he carried a blunt message.

Put simply,
the message was that we need to vigorously defend and preserve the Atlantic
Accord, or risk seeing its erosion.

It is one
thing for a weak Ball government to make a bad White Rose Extension deal even
worse for political expediency. But imagine that the province had no mechanism
to manage its stillfledging industry, to keep some local benefits here, or that
approval of new field development was at the mercy, via Ottawa, of every
interest group in the country
from the Greens in British Columbia to big
business in Quebec, or to the petty particle strainers in Nova Scotia.

Peckford
warns that a federal panel’s proposal to give the feds a mechanism to review
large projects under a new environment assessment process could result in the
fraying of the role of the CNLOP-B and, ultimately, the Atlantic Accord.

What he
didn’t say
and didn’t need to is that we have to watch out for weak
governments, like the current Ball administration, whose slavish deference to
partisanship
and to small federal hand-outs will hasten the loss of what
was won in 1985.

The public should
take note that is easier to hold onto what was won than to rely on
serendipity again.

Peckford’s
brief appearance was a tonic for a province starved of serious debate. It was a
kick in the pants for a society far too complacent about its very survival.

We need
serendipity to return a lot more often.

Des Sullivan
Des Sullivan
St. John's, Newfoundland and Labrador, Canada Uncle Gnarley is hosted by Des Sullivan, of St. John's. He is a businessman engaged over three decades in real estate management and development companies and in retail. He is currently a Director of Dorset Investments Limited and Donovan Holdings Limited. During his early career he served as Executive Assistant to Premier's Frank D. Moores (1975-1979) and Brian Peckford (1979-1985). He also served as a Part-Time Board Member on the Canada-Newfoundland Labrador Offshore Petroleum Board (C-NLOPB). Uncle Gnarley appears on the masthead representing serious and unambiguous positions on NL politics and public policy. Uncle Gnarley is a fiscal conservative possessing distinctly liberal values and a non-partisan persusasion. Those values and opinions underlie this writer's views on NL's politics, economy and society. Uncle Gnarley publishes Monday mornings and more often when events warrant.

REMEMBERING BILL MARSHALL

Bill left public life shortly after the signing of the Atlantic Accord and became a member of the Court of Appeal until his retirement in 2003. During his time on the court he was involved in a number of successful appeals which overturned wrongful convictions, for which he was recognized by Innocence Canada. Bill had a special place in his heart for the underdog.

Churchill Falls Explainer (Coles Notes version)

If CFLCo is required to maximize its profit, then CFLCo should sell its electricity to the highest bidder(s) on the most advantageous terms available.

END OF THE UPPER CHURCHILL POWER CONTRACT: IMPROVING OUR BARGAINING POWER

This is the most important set of negotiations we have engaged in since the Atlantic Accord and Hibernia. Despite being a small jurisdiction we proved to be smart and nimble enough to negotiate good deals on both. They have stood the test of time and have resulted in billions of dollars in royalties and created an industry which represents over a quarter of our economy. Will we prove to be smart and nimble enough to do the same with the Upper Churchill?

17 COMMENTS

  1. Benefits of the Atlantic Accord have largely been squandered by the 7 Premier's from 2003-current by putting the one time oil revenue into the general coffers and starting a legacy/vanity project in Boondoggle Falls. O&M of MF was understated by $75M or 1% of the Province's entire budget – the gift that keeps on giving.

    DG2 MF total cost https://www.mun.ca/harriscentre/policy/memorialpresents/2012a/lower_chuchill_jan_2012.pdf p19 $6.65B(8% discounted)Isolated $8.8B MF was allegedly the LCO by $2.2B during this time. 0% discount MF $4.8B Isolated $8.9B making MF the LCO by $4.1B.
    However using the updated $12.7B MF cost it turns out to be the MCPO (Most Cost Possible Option) by $4 BILLION DOLLARS.

    12,000 GWH of overstated HRT generation between 2013-2037 or ELEVEN years of extra fuel usage based on our current 1100 GWH from HRT. 11 years X 3M bbls of oil X current price of oil (43$)= $1420M Nalcor inflated the fuel costs at HRT.
    Nalcor had oil pegged at $145 bbl by 2025, NL weathermen are more accurate..

  2. Boats coming in here with no Canadian officers or no succession plan… in direct violation of the Atlantic accord!Foerign bottoms such as taklife 5 which was at Hebron over two years with no Canadian officers!Bunch of specialized vessels like subsea 7 and the big seismic vessel bet there are no rank officers.BTW I have reported this to CNLOPB but no action!Also reported to MP ,PF Collins have a lucrative buisness getting exemption for ships and crews to the detriment of nl seafarers

  3. Did Peckford miss the important reality that the present federal government intends to crucify the NL and Alberta/Saskatchewan economy using the ill-fated and ill-advised carbon tax to the benefit of upper Canada ie. Quebec and Ontario! or is that his main point, missed by many???

    • Apparently Mr. Peckford is a climate change denier, who is committed to a carbon intensive "go for the gullies" tar and petroleum extraction and pipeline to the pristine coast type of public promoter.

      Pollution, (carbon) taxes are one way to reduce the world's dependence on fossil fuels, which tend to destroy natural habitat, while making a few people rich.

    • Who is there among us that can deny climate change that has been going on since the beginning of time!! Want some might look for is evidence of the many causes of climate change including a somewhat dubious and perhaps a minor role of carbon dioxide emissions? Let us know if you have the answer.

  4. Anom; FWIW Quebec did not want that federal carbon tax. They want to use that cap and trade carbon auctions process (currently used by QC, ON and California).

    Still, I dont pretend it's any less damaging to oil producing regions thought – I'm not sure.

    But it seems to work well in mitigating some carbon production in a cost efficient way.

    • Cap and trade or direct taxation of citizens are these just different varieties of the same poison? Follow the money as they say, that is the only way to expose the whole scheme for what it is.

    • I agree, we sure can call it direct taxation, as are tobacco / alcohol taxes. And it also helps slow / mitigate carbon production.

      NL is not the only province being uneasy in this process.

      Despite being pro-environment, Quebec also felt penalized in the "carbon production start point volume" (my wordings) setting. It feels that being already the lowest carbon emission province, any further improvements would be relatively more expensive. (By exemple, about all Quebec homes have electric heating as opposed to fossil; no more room for improvements here).

      In other words, it feels being penalized by having already made its effort in lowering carbon emission.

  5. Still looking for the evidence that links carbon dioxide production to climate change. If you find the evidence, let me know what it is please. I got sucked in by acid rain and CFC production also in the past!! Could it be political science mostly??

    • PF must stand for "poor fellow" more to be pitied than blamed. Grey does matter, according to the auditor general government is not properly prepared for the senior problem coming our way. Still looking for the evidence. So far only political science!

  6. I remember admiring Peckford for standing up to Tredeau, Peckford , defiant saying `Don`t put words in my mouth`, if memory serves.
    But Peckford, saying the Atlantic Accord was more important, or brought more money into Nfld than Confederation…..
    A bit much to claim, and I wondered if I had recalled that Peckford`s father was a welfare officer. Des says he was a social worker.
    I have heard many stories from old timers who lived through the Depression and the 6 cents a day of Commission Government. It was rural Nfld, that most wanted Confederation, having lived through such hard times. Maybe Peckford`s family never had it so bad, and overlooks this period of our history. I do not wave the flag, but I think the benefits of Confederation far outweigh the Atlantic Accord……….and more so,…. 80 percent of oil and gas offshore must remain in the ground, unless you deny science, and believe that climate change is a Chinese invention.
    I guess the oil industry needs a boost, and Peckford came to claim his legacy…….but 13 billion is wasted on the boondoggle,by Williams government, and the Liberals continue on that path. Muskrat…..the Legacy fund from our oil wealth……..bring on the forensic audit.
    Winston Adams

  7. Looking back, I thought a more impressive legacy, during the Peckford years, was the Law of the Sea negotiation, which meant that Canada, including NL would claim a 200 mile limit. Cabot Martin was a very knowledgable and persistent associate of Mr. Peckford, and gets most of the credit. Too bad it was too late to salvage NL's most important renewable resource, Cod.

  8. If Peckford is afraid of a "proposal to give the feds a mechanism to review large projects under a new environment assessment process," then his reference to "the fraying of the role of the CNLOP-B" is really code word for fearing environmental oversight of regulatory process entirely biased toward digging more and more oil & gas out of the sea. Every problem the National Energy Board has had in properly carrying out the environmental assessment role that Harper thrust on it is only magnified in the case of the CNLOPB.

  9. Little Alf was back in town for a visit to verify that the clouds of Muskrat Falls had moved in and as a result 'have not' has returned with a vengeance to rule NL for a long, long time to come.

  10. What Brian Peckford didn't mention about the offshore was the fact that the GBS systems used to extract oil from Hibernia and Hebron were a disaster. For political reasons the systems were built using short term, high paid, unionized construction jobs (all of which are now gone-one of the reasons for Muskrat Falls-continuity of employment for construction workers) with a few lucrative local contracts thrown in for NL based companies and in exchange upwards of ten billion dollars or even more in royalties were given up to pay for the capital costs of these structures. It may well be with today’s price of oil that Hebron with its $14 Billion construction price tag will not produce any royalties for the provincial government until seven years of production at which time the field will be half gone. Newfoundland and Labrador would have been far better off if these same oil fields were developed using floating systems such as were used in Terra Nova and White Rose where royalties were flowing almost immediately and a policy in place such as in Norway where the royalties were placed in a sort of thrust fund and only the profit earned from the fund was allowed to be spent by politicians. These floating systems could have also been used for development of a Natural Gas industry that could have supplied us with electricity along with a wind turbine industry at a far cheaper price than Muskrat Falls. In South Korea there are several Natural Gas Tankers that have at least four 100 MW generators onboard. When under steam these generators produce power for propulsion using two electric motors but when they arrive in port, the vessels can either sell the natural gas stored onboard for heating etc. or produce electricity with the onboard generators and sell it via a shore connection depending on the port of call and its needs. This would have allowed us to sell Natural Gas at any time of the year to the US and European Markets without the expensive pipeline construction while at the same time supplying the island with cheap, affordable and reliable power instead of the very expensive Muskrat Falls hydro option.

    • Better still the development of Hebron should have been postponed for about ten to fifteen years until Hibernia was drained dry and the GBS system used in that field modified and refloated to the Hebron Field to extract oil with maximum negotiated royalties from day one of the fields production.