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Opposition wants government to get commitment on mill operation Funding a result of absence of long-term plan March 16, 2005
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Eddie Joyce, Opposition Forestry Critic and MHA for the District of Bay of
Islands, says the secret funding deal giving Abitibi Consolidated $1 million
in December to keep their Stephenville operations running for a 60 day
period is a result of the absence of a long- term plan to deal with the
problems facing the facility. "This government had the answers to the issues being faced by Abitibi’s Stephenville mill during the election," said Mr. Joyce. "Since that time, they have dragged their feet on this issue and have now decided to give a $1 million subsidy to a large corporation. If they had secured the future of the mill based on this funding, it might be an acceptable agreement. However, given the circumstances that Abitibi is currently re-evaluating their Stephenville operation, a secret deal of this type seems nothing more than a blackmail attempt by the company. This is yet another indication of this government’s inability to deal with important matters in a timely manner. "I issued a press release on February 15th asking for equal treatment for all mills in the province. The Minister of Natural Resources said at that time that no mill would receive special treatment ahead of any other mill. Today’s announcement certainly appears to be providing a subsidy to Abitibi, even though they are reviewing the future viability of their Stephenville operations. If they are providing $1 million for a two month period, does that mean they are willing to provide a $6 million subsidy for a full year? "For a government that claims to open and accountable, it is highly contradictory to keep this decision secret for three months. It appears $1 million has been given to Abitibi without securing any long-term future for the mill in Stephenville. It is time for this government to bring forth their promised plan to secure the long-term viability of the mill. To date, they have done nothing but give into Abitibi’s threats and subsidize the company."
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