OTTAWA – Quebec’s newly appointed Energy Minister, Jean Boulet, issued a sharp warning on Wednesday, asserting that the pending energy agreement with Newfoundland and Labrador is at a critical juncture and cannot be allowed to collapse. Speaking during a press conference, Boulet expressed deep concern over the stability of the draft agreement, emphasizing that securing this deal is essential for meeting Quebec’s rapidly escalating electricity demands. He noted that the proposed project would provide Quebec with significantly more power than the current arrangement, making its success a top priority for the province’s industrial and residential future.
The Minister’s remarks coincided with a high-profile meeting in Ottawa between Quebec Premier François Legault, Prime Minister Mark Carney, and other provincial leaders. Quebec is aggressively pushing to replace the historic 1969 Churchill Falls contract—which famously favored Quebec and is set to expire in 2041—with a modernized framework. Currently, the Churchill Falls hydroelectric project provides approximately 15 percent of Quebec’s total energy supply, making it a cornerstone of the province’s power grid that the government is desperate to secure long-term.
However, the path to a finalized deal has become increasingly complicated following the rise of a new Conservative government in Newfoundland and Labrador. The new administration is currently re-evaluating the draft memorandum of understanding, amid internal assessments that the terms may still grant Quebec an unfair financial advantage. A specialized committee is expected to submit a report on the matter this April. With a provincial election looming in Quebec this October, Minister Boulet and the Legault government are under immense pressure to finalize the deal by the spring to ensure energy security remains a victory rather than a political liability.
