Posted on 12/23/2004 3:11:00 PM PST by fanfan
Nfld. premier orders Canadian flags removed over revenue dispute
Thu Dec 23, 2:12 PM ET
ST. JOHN'S (CP) - Newfoundland Premier Danny Williams has ordered the immediate removal of Canadian flags from all provincial government buildings in protest of failed talks with Ottawa over offshore revenue sharing.
"They're slapping us in the face. I'm not willing to fly that flag anymore in the province," an angry Williams told at a news conference Thursday in St. John's.
Williams continued his fiery attack on the federal government Thursday, a day after he broke off talks with Ottawa on reaching an offshore revenue deal.
The premier accused federal Finance Minister Ralph Goodale of negotiating in bad faith at Wednesday's meeting in Winnipeg.
"It's also quite apparent to me that we were dragged to Manitoba in order to punish us, quite frankly, to try to embarrass us, to bring us out there to get no deal and send us back with our tail between our legs," said Williams.
Williams had said he would not continue negotiations past Christmas.
It was the latest session between Williams, Nova Scotia's Premier John Hamm, and Goodale, aimed at reworking the way offshore oil revenues are shared between the two levels of government.
Federal officials said Ottawa was prepared to end its practice of clawing back about 70 cents of every dollar of oil and gas revenues through reduced equalization payments. It also offered to double the length of the agreement to 16 years.
But Williams said the attached conditions were unacceptable.
He said the offer could see Newfoundland lose at least $1 billion in projected offshore revenue over the first eight years. Ottawa also would require the impoverished province to eliminate a $700 million deficit before renewing for a second eight-year term.
Williams said refusing the deal was in Newfoundland and Labrador's best interests.
"What we have done here is restored your pride, we've stood up, we could have with a cheque, we could have come home with a big cheque, but we were not prepared to . . . to leave money on the table that was rightfully ours," he said.
After the talks failed Wednesday, Nova Scotia Premier John Hamm said he supports his Atlantic colleague, but plans to continue negotiating an eight-year resource-sharing deal with Ottawa that could be extended for an additional eight years.
The premier has said that a deal would have been "nice" before Christmas, but he's optimistic of wrapping up the details in 2005.
Federal officials estimated the deal proposed by Ottawa would create between $2.5 billion and $3 billion in additional revenues for Newfoundland and about $640 million into Nova Scotia over the next eight years.
Stephen Tomblin, a professor of political science at Memorial University in St. John's, said Williams' political popularity has soared thanks to his negotiating tactics.
"I suspect locally, as was the case in the past, he'll be very popular as a result of this kind of debate," he said.
"There's a very strong sense of alienation which is historical . . . It's comparable to Quebec nationalism and separatism."
Newfoundland and Nova Scotia have long pressed Ottawa to revamp the way offshore oil and gas revenues affect equalization payments.
The two provinces want to exclude royalty revenues from the equalization calculation, saying the clawback has prevented both provinces from shedding their 'have-not' status.
Go Mr. Williams!!!
I have a few friends who live in Newfoundland and they never have anything good to say about Ottawa.
God bless the Newfs! Lots of spunk, great beer and knows how to party, boy-o.
Good for him!!
A Canadian friend of mine said years ago, that within our lifetimes, Newfoundland, Labrador and Nova Scotia would either become independent or part of the United States. Who knows.
What's a clawback?
Go Newfs! Up Screech!
The provinces east of O)ntario have been spoiling for a long time now for quite a fight with the rest of Canada. I wonder how long it will take for them to bolt and try to coalesce with the US?
Imagine for a minute that Washington owns a large percentage of the oil revenue of Texas.
OK, take a deep breath, and stay with me.
Here, most of the oil revenues from the east coast of Canada go to our federal gov. They put the money into 'general revenues' and then bribe Canadians with their own earnings during elections.
It's terribly sad.
What are the seperation of powers between Ottawa and the provinces?
Way to go Danny! The feds double-crossed you. Hang tough.
Do I sense a U.D.I. coming along?
Given that the Canadian military is rather like what the American would have become if Kerry won (i.e., damn fine chaps doing their best, but getting b******* by the govt.) what's the odds for Newfoundland assisted by FReeper volunteers vs. Canada?
He'd have a lot more credibility if Newfoundland stopped accepting equalization payments.
Won't happen. In Canada we have something called Equalization, where provinces with higher than average per capita GDP transfer money to the poorer provinces. The biggest contributors are Ontario and Alberta, while British Columbia is sometimes a contributor and sometimes a recipient. On a per capita basis, the biggests recipients are (and always have been) the four Atlantic provinces. Any move by them to separate would bankrupt them and they know it.
Maybe I'm wrong about this, but doesn't this make sense after all? I thought the Terra Nova and Hibernia projects are in waters over which the Canadian government -- and not the provincial government -- has jurisdiction.
This is why "Newfoundland" oil and gas royalties are paid to Ottawa, and why Alberta oil and gas royalties are paid to Edmonton.
That's interesting. Then the only thing they should do is get into a war with us, and lose. Then we will pay for everything they ever wanted as reparations. It works every time.
Newfoundlanders and the people of the Atlantic provinces are welfare state junkies. They keep sending back the Liberals to Ottawa. And they wake up to find out they were stabbed in the back? Gee, what a surprise!
they also have a very distinct version of english too.
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