Volume XL •fit - Province of Newfoundland FORTIETH GENERAL ASSEMBLY OF NEWFOUNDLAND First Session VERBATIM REPORT (Hansard) Thursday, 25 April 1985 Speaker: Honourable Patrick McNicholas Number I

The House met at 3:00 of the clock in the afternoon, pursuant to adjournment. SERGEANT-AT-ABHS: Hr. Speaker, I have the honour to inform you His Honour, the Lieutenant-Governor bas just arrived to open the First Session of the Fortieth General Assembly of Newfoundland. HR. SPEAKER (McNicholas): Admit His Honour the Lieutenant-Governor. Hr. Speaker leaves the Chair. His Honour, the Lieutenant-Governor takes the Chair. A. BRIAN PECKFORD: Hay it please Your Honour: The House of Assembly, agreeable to Your Honour's Command, have proceeded to the choice of a Speaker and have elected Dr.

Patrick McNicholas, Hember for St. John's Centre, to that office, and by their direction I present him for the approbation of Your Honour. HIS HONOUR, THE LIEUTENANT-GOVERNOR: On behalf of Her Majesty I assure you of my sense of your efficiency and I do most fully approve and confirm you as Speaker. KR.

SPEAKER (McNicholas): Your Honour having approved of the choice of this House in constituting me as Speaker, it now becomes my duty in the name of the representatives of Her Majesty's loyal subjects, the people of this Province, to claim respectfully of Your Honour their accustomed rights and privileges, especially that they sha 1.1 have freedom from arrest during their attendance in Parliament and that I as Speaker, Ll April 25, 1985 may have full access to Honour's presence at reasonable times and that have confirmed to them all Your all they their ancient rights and privileges - which have been confirmed to them by Your Honour's predecessors.

HIS HONOUR, THE LIEUTENANT-GOVERNOR: On behalf of Her Hajesty I confirm this House in enjoyment of all its ancient undoubted rights and privileges. do the and His Honour then delivered the Speech from the Throne. Rl

HON. W. ANTHONY PADDON (Lieutenant-Governor): l!r. Speaker and Members of the Honourable House of Assembly: It is my privilege and pleasure to welcome you to this First Session of the Fortieth General Assembly of the Province of Newfoundland. To members who have recently won re-election to this Honourable House - welcome back. To those Members who are newly-elected - I wish you success and fulfillment in your pursuit of the people's business.

In my address to you on March 12 of last year I indicated that •• ... my Government remains convinced that an offshore agreement · which is fair and equitable to Canada and to this Province can be achieved. Both as Canadians and Newfoundlanders we continue to give the highest priority to the realization of such an agreement. An offshore agreement which recognizes the legitimate rights of both the Federal and Provincial Governments will result from

an act of political will on both sides. Traditionally, this kind of matter has been settled in Canada by negotiation, not by litigation. My Government is convinced that this is the way Confederation is intended to work and remains confident that a negotiated agreement will be achieved." It gives me a great deal of pleasure, therefore, to inform tbis Honourable House that my Government signed an agreement with respect to the offshore with the Government of Canada on February 11 of this year.

This agreement, called The Atlantic Accord, covers the sharing of L2 April 25 , 1985 management powers and the sharing of petroleum revenues from the 700,000 square miles of our Province's continental margin. The basis of my Government's agreement with the Federal · Government is the equality of both Governments in the management of the offshore and the equality of treatment of our Province with other petroleumrproducing provinces with regard to th4e collection of oil and gas revenues.

In effect, the offshore agreement provides the Province with the ability, over time, to become a full and equal partner in the Canadian Federation. The discovery of the Hibernia oilfield in 1979 greatly raised the hopes and expectations of the people of Newfoundland and Labrador. After centuries of deprivation and hardship, after generations of mismanaged opportunities, another potential avenue "to prosperity had appeared on the horizon. I say potential because at the time the ownership of the petroleum resources on the continental margin was both an open legal and political question.

While my Government had been and was continuing to prepare a legal case for ownership to be argued in the courts, my Government nonetheless stated its preference for a negotiated settlement of this matter. Indeed, the Clark Administration in Ottawa had agreed to pass over ownership to the Province without court action but that Administration was defeated before it could implement this policy. The newly re-elected Trudeau Administration then stated that it was willing to put the question of ownership aside and offered negotiations on j oi.nt management and revenue-sharing. ~at followed were years of trust R2

betrayed, acrimonious debate and eventually, -ourt action. In the final analysis, all negotiations failed and my Government lost its bid for ownership in the SUpreme Court of Canada just a few days prior to my address to this Honourable House last year. Hr. Speaker and Members of the Honourable House of Assembly: My Government•s lo~s in the SUpreme Court of Canada occurred near the end of a particularly difficult and contentious period in the history of our Nation.

Shortly thereafter, a national election propelled a new Administration into office with a mandate to renew the co-operative and consultative aspects of our national life. In this spirit, my Government entered into negotiations with the new Federal Government with a view to reaching a settlement on the matters of offshore management · and revenue-sharing. As I stated earlier, an agreement to this effect was signed on February 11 of this year.

This agreement makes my Government an equal partner in offshore management by affording it equal representation with the Federal Government on a joint Board that will manage offshore development. The agreement gives the Province the right to establish and collect offshore royalties on the same basis as other producing Provinces in the Nation. The agreement also provides that there -will be no dollar-for-dollar loss of equalization payments when these offshore revenues begin to flow to the Province.

Rather, the agreement provides for a generous phase-out of equalization, one that allows the Province to catch L3 April 25, 1985 up socially and economically with the rest of Canada. The agreement provides my Government with the right to decide on the mode of development so as to maximize local employment and business opportunities. My Government favours the use of fixed concrete platforms in offshore development and our control over the mode of development will ensure that we will be able to pursue our aims in this regard.

The Province's social legislation, including legislation relating to local preference and protection of workers, will apply to the offshore. A development fund of $300 million will be set up, of which $225 million is a direct Federal grant. The Offshore Development Fund will be expended carefully over a period of five years to enable the Province to prepare for and take greatest advantage of offshore activity. This agreement will be sanctioned by laws of the Parliament of Canada and this Honourable House.

In this regard, my Government will shortly be placing such a Bill before this Honourable House for your consideration and debate. Not only will the offshore agreement be protected in law, but the agreement also provides that none of the laws and regulations pertaining to it can be changed without mutual consent. Furthermore, the Government of Canada has consented to place the Agreement in the Constitution of Canada if the required number of Provinces agree. Mr. Speaker and Members of the Honourable House of Assembly: R3

The points just outlined form the core of an offshore agreement of which we can all be proud - an agreement that was worth fighting for - an agreement that was worth the wait. After years of struggle, we again have at our disposal a tool with which to make our Province and its people proud and prosperous contributors to the Canadian Confederation. We have, however, had such opportunities in our all too difficult history. We have proven that having the power to do great things is not enough.

We must now take up the difficult task of ·using our new-found power wisely and compassionately so as to ensure that citizens in all areas and all economic sectors of our Province benefit from offshore development. This is a task as large and as important as the attaiment of the offshore agreement itself. This is a task to which my Government pledges its undying efforts, a challenge in which all our people area invited to participate. The offshore agreement signals the beginning of a new era for the Province of Newfoundland and Labrador.

I am confident that we shall rise to the challenge that it presents and that through it, we shall forge a brighter future for ourselves and our children. Hr. Speaker and Members of the Honourable House of Assembly: Over the past several years the Province's fishing industry has been characterized by considerable instability, especially in respect of its overall economic performance. Notwithstanding this consideration, the fishing industry remains the principal employer within our Province and L4 April 25 • 1985 has a very pervasive impact on the Province's economy, especially in rural Newfoundland and Labrador.

It can be stated that a combination of factors have impacted on the industry's performance during this period . Factors internal to the industry such as labour-management relations, working capita l deficiencies, and a high leverage debt position have had a significant negative impact on overall industry profitability. Factors external to the industry such as relatively depressed markets, foreign exchange fluctuations and unstable interest rates have also had an adverse impact on most sectors of the industry.

From my Government's perspective, the financial · restructuring related to the offshore sector of the industry leading to the establishment of Fishery Products International represented direct eo-operative action by both orders of government to establish the industry on an on-going stable basis. Since this company accounts for approximately sixty percent of the industry• s output it is clearly evident that the company's future performance will have a major influence on the performance of the industry at large, especially in the context of industry viability and employment stability.

Recent additions to the Company's management and the Company's Board of Directors provide the focus around which the Company can be established on a solid corporate basis and play a vital role in the Province's economy. My Government has already made a major financial commitment to Fishery Products International and it can be anticipated that R4

additional conunitments will be required. In this context, my Government, in concert with the Federal Government, is addressing a number of issues related to the Canada/Newfoundland Fisheries Restructuring Agreement. I would remind Honourable Haembers that it was only at the insistence of my Government that this Agreement provided that all fish plants remain open, that all comnu.mities be given a chance to prove that they could support productive and viable enterprises.

My Government remains strongly cO'l'llt\itted to the spirit and letter of the Restructuring Agreement and this sense of conunitment will guide us in our dealings on this important matter. While the offshore fishery has been the subject of much public debate over the past couple of years, my Government wishes to remind Honourable Members that our commitment to the inshore fishery is both extensive and ongoing. First of all, Fishery Products International itself runs about 30 inshore plants and we support their continued operation.

Second, the Province has guaranteed loans and made operating monies available of up to $20 million to 22 smaller inshore plants around the Province. Hy Government also owns and leases approximately 50 fish processing facilities and runs 5 plants in Labrador; all of this in support of the inshore fishery. Dollar for dollar, job for job, this has been a very wise investment by my Government for, by and large, ' these small and medium-sized plants have not only stabilized employment in their respective communities, but also have done relatively well financially.

L5 April 25 , 1985 My Government bas also been a strong supporter of the resource short plant program. This has been a key factor in maintaining employment levels over a longer period of time in communities dependent on so-called seasonal plants. While the resource short plant program has had its growing pains, my Ministers remain conunitted to the concept and will continue to work with the Federal Government to improve its effectiveness.

My Government has spent millions to upgrade marine service centres and building baited-gear holding units, regional ice-making facilities and other facilities for the benefit of inshore fishermen. Indeed, my Ministers hope to see all our programs related to marketing, quality upgrading and secondary processing oriented even more towards the inshore sector. As well, my Government has started a new program of aquaculture or seafarming and is experimenting with new technologies which will enhance our inshore and middle distance fleets.

Hy Ministers announced on Harch 20th last that they had reviewed the licensing policy with regard to existing ishore plants. While my Government is not willing to see the number of inshore plants increase, it has decided to accept applications from existing plants for expansion and modernizations where sufficient private and public sector funds exist to insure ongoing or increased economic viability. This policy change will not add to the existing overcapacity i.n fish plants but will rather increase the viability of the existing inshore fishery. R5

The motivating force behind all these policies is simple - the inshore fishery is vital to bundreds of communities in this Province. It is the single most important - industry. It will take a lot of money and hard work to help it through today' s rough times to a day when it can attain its true potential. That is not a pipe dream but a practical and sensible objective. Kr.

Speaker and Members of the Honourable Hause of Assembly: Now that the offshore agreement has been signed and now that the fishery restructuring process is well underway, my Government is in a position to turn its attention to one other long outstanding issue. The Upper Churchill power contract and other hydro power issues have been a considerable source of concern to my Ministers and has for some time aggravated the state of relations with our sister-Province of Quebec. This winter, in particular, has highlighted the terrible tragedy that is inherent in the Upper Churchill contract.

While our citizens suffer under the weight of increasingly higher electric bills, whole sections of the North American continent enjoy relatively inexpensive hydro power because of the Upper Churchill contract. This Province has now developed all of the feasible on-island hydro sites and we are becoming increasingly dependent on expensive oil-fired electrical generation.

The solution to this problem is quite simple access to a larger inexpensive power from Churchill project. on-going - we need block of the Upper Hy Government has been heartened L6 April 25, 1985 by recent statements by the Prime Minister of Canada which indicate that he personally, and the Federal Government generally, are now willing to become involved in helping us resolve our long-standing problems with Quebec. Indeed, my Ministers are gratified to hear that the Government of Quebec itself · has expressed a renewed interest in co-operative Federalism.

With new and positive attitudes developing in Ottawa and QUebec City, my Government is now optimistic that new and more equitable arrangements can be arrived at with respect to the whole issue of Labrador hydro power. If substantive changes can be made to the Upper Churchill contract, then my Government is only too willing to discuss with our sister Province the possibility of joint co-operative development of a number of other rivers that trans'verse our common border. In this light, my Government will soon be making new initiatives on the whole issue of Labrador hydro power.

My Ministers are confident that the renewed spirit of Federal/Provincial co-operation which now abounds in our Nation will, in the near future, lead to a fair and just resolution of this long outstanding · problem between ourselves and Quebec. Hr. Speaker and Members of the Honourable House of Assembly: The value of mineral production reached an estimated $993 million . in 1984 and is expected to exceed $1 billion in '1985, marking a return to levels not seen since 1981. The increase in value is indicative of a considerable recovery in our miner::1l industry, most notably in iron ore production.

The value of iron ore R6

:0 0.-a- production estimated employment stabilized, variations. in 1984 reached an $867 million and in Labrador West with small seasonal Assistance is being provided under the Burin Peninsula Development Fund and through the Newfoundland Industrial Development Corporation to St. Lawrence Fluorspar Limited to open a new fluorspar mining operation at St. Lawrence. Work bas already started on the construction of a new fluorspar mill and in the infrastructure needed to start mining again in St. Lawrence. The new mining and milling operation will create up to 150 direct jobs.

Another example of the ability of my Government to have meaningful input in the development of the Province for the benefit of its people is the reactivation of the asbestos mine in Baie ·verte. When conditions were very bleak for that area of the Province, my Government moved to reclaim the assets and provide financial assistance, - along with the Government of Canada, in order to permit the new owner to revitalize its operations. In southwestern Newfoundland, there are two very interesting gold deposits, the Cape Ray deposit northeast of Port aux Basques and the ChetflfYtld deposit near Grand Bruit.

During the 1984 field season, New Ventures Equity Limited did over 700 feet of underground development on the Cape Ray deposit, and successfully proved the reserves at about 600,000 tonnes. The . company completed a feasibility study in mid-January, 1985, which is now being assessed. L7 April 25, 1985 Hy Government is hopeful that viable mining operations will result from these new discoveries. Another gold discovery of great interest is one made in Labrador in 1984 by Geologists of my Government's Department of Hines and Energy.

"When data about this discovery was released in February, 1985, it caused a staking rush in the eastern Labrador region around Hakkovik which I expect to result in significant company exploration in 1985. In 1979, the Iron Ore Company of Canada discovered a major deposit of rare earth and rare metal minerals in northern Labrador, about 150 km west of Nain along the border with Quebec. The Company has indicated that the deposit contains at least 25 million tons with potential for more based on drilling results.

These are high value commodities that have developing markets, especially in Japan and the United States. The Company is investigating potential market demand as well as various possible modes of development. The mining industry, therefore, has stabilized with regard to production and employment levels. My Government is confident that continuing strong exploration and development of new mineral deposits will result in a resurgence of activity in the mining sector. Hr.

Speaker and Members of the Honourable House of Assembly: All citizens of our Province were shocked and concerned to learn in the Fall of 1983, that the Bowater Company had been trying, without success, for two years to sell its R7

pulp and paper operation based in our West Coast City of Corner Brook. The Company also informed my Ministers that if a buyer could not be found it intended to shut down and abandon its operations in the Province. The consequences of such a shutdown were too devastating to realistically contemplate. Therefore, the only option open to my Government was to ensure that the Corner Brook Hill and related operations were sold. and sold to a buyer willing to invest in the long-term future of the operation.

By December 1983, the Province had convinced Bowater that Government should take the lead in a major world-wide divestiture effort. A divestiture information package was circulated to 150 companies and by April of 1984 my Government was doing detailed analysis of five bids. The bid by the Kruger Company was deemed to be the one providing the _ best hope · for a long-term future for the Corner Brook operations and a formal agreement was reached between that Company and my Government on September 18 last.

The Kruger Company subsequently reached agreement with its unions in November and signing ceremonies pertaining to the final sale of the mill and related operations were held in the City of Corner Brook on December 21, 1984. The signing of this agreement with Kruger was both a source of relief and joy to my Ministers. Sixteen months of gruelling effort by many people had gone into its making and the scarce financial resources of the Province through grants, loans, guarantees and tax relief had been pledged in the amount of $64 million.

However, our efforts were well worth the sacrifice as the new Kruger venture in our LS April 25, 1985 Province is a project involving an expenditure of $200 million which will, at its conclusion, provide the City of Corner Brook and the Western region of the Province with a measure of social and economic stability well into the future. One of the factors which enabled the Kruger venture to proceed was a Federal/Provincial agreement on Pulp and Paper Modernization which provides cost-shared grants.

This same Agreement also provided a grant which acted as a catalyst to spark a $33 million modernization program at the Abitibi-Price Hill in Grand Falls. As well, with the aid of another Federal/Provincial Agreement on Forestry, my Government has entered into agreements with both paper companies on silviculture and other modern forestry practices. Through wise management of the forest resources and- constant upgrading of paper mills, the Province is ensuring that our paper products remain competitive in world markets for years to come. Mr.

Speaker and Members of the Honourable House of Assembly: My Government is aware of the employment potential of imminent oil and gas developments. At the same time, my Ministers remain extremely concerned over the very high rate of unemployment in Newfoundland and Labrador, especially among our youth and in certain geographic and economic sectors of the Province. We are also aware of and sensitive to the personal and social consequences that prolonged bouts of unemployment have on the lives of individuals. For these reasons, I was pleased, on the advice of my Government, to RS .

appoint a Royal Commission to bold an inquiry into employment prospects and the problem of unemployment. The Commission, under the Chairmanship of Dr. Douglas House, will document the regional demographic aspects of our unemployment problem, will identify the various causes and contributing factors and will evaluate the various measures now being taken to create employment and improve the · employment prospects of Newfoundlanders and Labradorians.

A number of studies of our unemployment problems have been done over the years and my Government is confident that the Conunission will make use of such data in addition to doing research of its own. The Commission will be holding public bearings . in all regions of the Province and my Government is optimistic that all citizens and groups with concerns will bring them forth in this forum. liy Government realizes that it is easy to be cynical about an inquiry into a problem that bas plagued our society for generations.

However, future oil and gas developments provide us with an opportunity to create much new employment and it is our wish that this employment be distributed to as many areas and economic sectors of the Province as possible. It should be remembered that my Government • s control over the mode of offshore development gives it the power to direct how and where this development will take place. I would urge our citizens, t~er:2fore, to take the mandate of our Royal Commission seriously and participate in its activities to the fullest extent. L9 April 25, 1985 Hr.

Speaker and Members of the Honourable House of Assembly: Having just discussed how seriously my Government views the matter of unemployment, it is perhaps appropriate to reference two employment programs being sponsored by my Government. My Government is committed to maintaining a social welfare system consistent with the needs of the less fortunate in our society. The budget for social welfare has grown from $123.3 million in 1979 to $212.6 million in the past fiscal year - a growth of 72 per cent. These funds, however, have not been entirely expended on those unable to help themselves.

One of the programs involved bas a large job creation element - The Employment Opportunities Program. The . Employment Opportunities Program of the Department of Social Services bas developed into a major program of my Government. Within recent years the main thrust bas been in the Community Development Program. My Government believes very strongly that most people want to work, and therefore, . offers them the opportunity for short term employment. There are many success stories related to this program. Quite a number of those who have been employed in it have gone on to permanent employment.

It bas been of immeasurable assistance to the disabled and senior citizens by providing much needed services into their homes. This past fiscal year the program started with $16 million and by Special Warrant $6 million more were added for a total investment R9

of $22 million. There were approximately 8500 people employed in this program during the past. fiscal year. Hy Government. anticipates that. this program will be continued and funded on a priority basis again in this new fiscal year. Another sector of our society particularly hard hit by unemployment. is the youth sector. our young people are caught in a particularly vicious circle - one can't get. a job without experience and one can't get experience without. a job. To address this problem, my Government recently reached agreement with the Federal Government to fund a $7 million sununer job program for students.

This program will offer learning-related job experience this su·nuner to approximately 6000 students who will be returning to or going on to a post-secondary institution. My Government normally employs about 1000 students in summer employment so we anticipate this year that we will be providing work experience to about 7000 students. Mr.

Speaker and Members of the Honourable House of Assembly: In my address to you of last year, I indicated that .. my Government, conscious of both its role as chief employer in the Province and its commitment to represent males and females equally. will implement an affirmative action program for women''. My Government appointed a Task Force to study affirmative action programs for women in the Public Service. That Task Force bas since reported and its recommendations at:e now under active consideration.

LlO April 25, 1985 At the same time, my Government directed the Public Service Commission to implement an Accelerated Management Development Program for Women with demonstrated potential for advancement. The Accelerated Management Development Program has now been established and will take the form of an eighteen month training and development program for participants representing each Department of Government. Briefing sessions were held in each Department to inform female employees of the nature and extent-­ of the Program.

Employees were subsequently invited to apply for the career development opportunity and nearly 200 applications have been received to date. The selection process has commenced with a view to identifying on the basis of merit, one female employee from each Department to take

part in the eighteen month Program. The Program · has been received by employees with interest and enthusiasm. It is anticipated that this first Program will serve as a useful pilot project for the introduction of a permanent Accelerated Management Development Program. My Government is committed to improving the role of women in all aspects of our society.

While we do not have the financial levers at present to embark on many new and expensive programs in the social policy area, my Government nonetheless feels confident that the progress made · by our Accelerated Management Development Program is clear evidence that things can be done when we remain committed and creative. Mr. Speaker and Members of the RlO

Honourable House of Assembly: Hy Government intends to introduce amendments to the statute law of the Province in order to ensure that Newfoundland legislation is in compliance with the Canadian Charter of Rights and Freedoms with particular reference to the equality rights provisions contained in

Section 15 of the Charter. Hy Government played a strong role in the achievement of the 1981 constitutional compromise which bad an entrenched Charter of Rights and Freedoms as one of its main components. In addition, my Government was an early advocate of constitutional guarantees of fundamental rights and freedoms. Indeed, this proposal was contained in the Government • s 1980 constitutional White Paper ~ The record of my Goverrument in law reform and in particular the protection of human rights is a significant one.

The Matrimonial Property Act of 1979 provided for explicit recognition of the contribution of both spouses to a marriage and an equitable sharing of assets built up during the course of a marriage. Amendments have been introduced to The Newfoundland Human Rights Code to extend its protection to those who are physically and mentally disabled and to prevent harassment of individuals. It is within this context then that the Government has completed a review of the entire statute law of the Province and has prepared and published a report on the results of that review.

The omnibus Bill to be introduced in this Session will amend those laws of the Province which are clearly inconsistent with the Charter . As L11 April 25 , 1985 the Courts interpret the meaning of the Charter in the coming years, further amendments to our provincial laws will be required. Hr. Speaker and Members of the Honourable House of Assembly: In 1980 my Government announced that it was prepared to enter into land claims negotiations with the Labrador Inuit Association and the Naskaupi-Hontagnais Association.

Innu Following with the Government extensive discussions Federal Government, my is pleased that will commence this the Labrador Inuit in an effort to fair land claims negotiations year with Association achieve a settlement. It is hoped that a land claims settlement with the Labrador Inuit Association will assist our native people to preserve and enhance their tcaditional lifestyles while at the same time improving their position within Newfoundland society as a whole. It is also hoped that negotiations will be able to begin in the near future with the Naskaupi-Montagnais Innu Association.

My Government will enter into such negotiations in the spirit of achieving social justice for our native people. Hr. Speaker and Members of the Honourable House of Assembly: While my Government has been preoccupied these past few years with economic matters arising from the recession, we have not forgotten the rich cultural aspect ·of our provincial life. My Government founded the Newfoundland and Labrador Arts Council and provides the Council with annual funding to facilitate R11

its Grants to tNewfoundland Artists Program. Ky Government also supports the local publications of Newfoundland books through its Publishers• Assistance Program. Since 1983, $180,000 has been allocated to assist in the publication of over one hundred titles. Ky Government bas developed and implemented a SUstaining Grants Program for Newfoundland professional theatrical companies.

This Program, through the provision of $115,500 in operational funding, has allowed larger cultural and artistic groups to engage in realistic long-term planning, thus offering a greater variety of cultural attractions to a wider theatre-going audience. My Government has also pioneered a further program of support for local artists by committing 1 per cent on the capital cost of new public buildings towards the purchase of decorative works of art for those buildings.

These cultural program areas will be funding again in the new fiscal year and my Government is also optimistic that additional funding will be provided to the many local museums throughout the Province. While funds remain scarce, it is, nonetheless, my Government • s view that cultural expenditures are an investment in the well-being of our people and therefore should be funded even in the severest of restraint periods. Mr.

Speaker and Members of the Honourable House of Assembly: In 1980, my as part Development Construction Government set forth, of its Five-Year Plan, a Hospital Program aimed at and replacing existing improving L12 April 25 , 1985 facilities as well as construction of new facilities. Since then, hospitals have been completed and are operational at Port aux Basques and Bona vista. A new hospital for the Clarenville area is nearing completion and a new hospital for the Burin Peninsula area is currently under construction. As of March 31st, 1985, $36 million has been spent on these projects.

As well, an additional $12 million was spent during this period on improvements to existing facilities and in the construction of new clinics. My Government recently announced the commencement of a $16 million Redevelopment Program for the Central Newfoundland Hospital at Grand Falls. My Government is also committed to improved facilities for the Grace General Hospital, St. John's, pending the outcome of the deliberations of the St. John's Hospital Council with respect to the organization and coordination of hospital services within the St. John's region.

Recently, my Government announced its endorsement of the principles, philosophy and thrust of the report of the Royal Commission on Hospital and Nursing Home Costs. This is probably the most significant document ever produced in this Province on the health care system. It is a major blueprint for the future.

A major recommendation of that Report was that the responsibility for nursing homes be transferred to the Department of Health from the Department of Social Services to ensure a higher level of coordination for community-based services, acute care services and chronic care services under one administrative arrangement. That recommendation was ·implemented on R12

April 1st, 1985. Over 300 nursing home beds have been approved since 1982-83 and are now in various stages of planning, construction or completion. Over 200 beds are pending -approval. Government is sensitive to the needs of our elderly population and will take all reasonable steps to ensure that our programs are organized to enhance, to the highest degree possible, services to this important sector of our population. Hr. Speaker and Members of the Honourable House of Assembly: In the last session, this Honourable House approved legislation establishing a new Department of Career Development and Advanced Studies.

This was my Government's acknowledgement of the need to recognize an~ give new emphasis to preparing our citizens, especially the youth, and women, for career opportunities in the 80's and 90's. The major priority of the Department of Career Development and Advanced Studies is to ensure that our Post-Secondary Education and Training System is capable of preparing Newfoundlanders for the job opportunities that will be created with the development and production of oil and gas off our coast and the new job opportunities being created in the renewable resource sectors of fishing, forestry, mining and tourism.

Through the Department of Career Development and Advanced Studies, my Government intends to introduce changes to our technical and vocational training system that will make our training institutions more responsive to Ll3 April 25, 1985 the labour market needs of today's and tomorrow's society. New emphasis will be placed on high technology training and research.

With the opening of our new Fisheries and Marine Technology Institute this September, we will have a .. world class.. marine training and research centre to serve our newly restructured offshore fishery and the oil and gas development activities off our coast. The new Institute should open up new opportunities both for employment and research activities, a center of excellence to compare with any in this world.

In concert with this concept, it should be noted that my Government will be placing special emphasis in - marine-related education, training, research and development in its expenditure of the Offshore Development Fund. In this way, the Province, in addition to capturing offshore jobs in the construction sector, will be able to avail of scientific, technological and management jobs. Much of this expertise will also have general marine applications and thus aid the Province in its goal of becoming a world leader in the fields of marine science, technology and industry.

This goal is also aided by a Marine Industries Agreement signed last year with the Federal Government. This Agreement will also provide incentives to industrial development in the marine sector. Given the Province's location in the North West Atlantic Ocean and given these two marine-related initiatives, my Government feels that our goal of becoming a world leader in this sector is both realistic and achievable over the medium and long term. Rl3

New initiatives will be taken by the new Department to create longer term employment for our youth. Special career counselling and information services will be introduced to assist young people in choosing careers and appropriate training programs that will lead to employment. It is imperative that we train the right people for the right jobs. Major changes will be introduced into our technical and vocational training system that will facilitl!lte the development of new training programs and provide training opportunities for the unemployed and underemployed.

In this regard, my Government was pleased to have recently signed a new Training Agreement with the Government in Ottawa. This agreement~ totalling some $15 million, provides my M~nisters with greater flexibility in planning course offerings than we have heretofor been able to do. It is our Government • s intention to offer these educational opportunities to all citizens in all areas of our Province. rhe need for retraining and updating the skills of our labour force has been recognized by both the Federal and Provincial Governments.

My Government intends to work closely with the Federal Government in implementing special programs aimed at providing the labour force with the anticipated required skills for technology changes in the years ahead. No greater challenge exists in Newfoundland and Labrador than the challenge to make our students the best trained in all the world. My Government intends stone unturned in this taste. to leave no accomplishing Ll4 April 25 , 1985 Kr.

Speaker and Members of the Honourable House of Assembly: Having placed this special emphasis on career development and our post-secondary institutions, my Government has not lessened its commitment to advancing educational opportunities in the primary, elementary and secondary phases of our students life. The high school program has been reorganized and modernized with the introduction of Grade XII. on March 21st last my Minister of Education announced an accelerated school construction program.

The school construction allocation to the Denominational Education Councils will be increased to $20 million a year for the next three years. An additional $10 million has also been allocated for the next three years. An additional $10 million has alsQ been allocated for a new provincial School for the Deaf. This expenditure of $70 million over the next three years will provide much new classroom space and will create upwards of 500 new construction jobs per year.

Education, therefore, from primary through to post-secondary, remains a priority with my Government and is being, and will continue to be, funded accordingly. Hr. Speaker and Members of the Honourable House of Assembly: During the constitutional debate of a few years ago, my Government conducted a strong defence of our Terms of Union with Canada. In particular, we ensured that our Province • s unique denominational school system could not be changed without our consent. The Pentecostal Assemblies of Rl4

Newfoundland, while enjoying the legislative protection of this Honourable House as regards its denominational education status, was not constitutionally protected in our Terms of Union with Canada. I am, therefore, pleased to inform Honourable Members that my Government, in concert with the Federal Government and the Pentecostal Assemblies of Newfoundland, has been drafting a constitutional amendment that would provide the Pentecostal school system with the constitutional protection offered the other major churches in the Province. l!y Government wi 11 placing a resolution Honourable House as shortly be before this its

part in amendment process under

Section 43 of the Constitution of Canada. the constitutional l!r. Speaker and l!embers of the Honourable House of Assembly: It is my Government's confident expectation that the ensuing several years will see a significant growth in employment opportunities both onshore and offshore. It is anticipated that construction related to offshore development will create work for thousands of our citizens.

In this respect the construction trade unions and the industry itself must prepare for the massive .. - opportunities and challenges of the future. 'Moreover, it is essential that there prevail a labour relations climate conducive to industrial peace. l!y Government plans a series of tri-partite meetings to help establish such an industrial relations environment. It is imperative that the workers of tllis Province be in a position to Ll5 April 25, 1985 benefit significantly from the employment opportunities soon to be available.

In order to improve the climate of labour relations in the Province you will be asked to approve a number of changes in The Labour Relations Act. It is my Government's intention to enact the Rand Formula in the labour law of the Province. The Rand formula is a provision for compulsory deduction of union dues. It requires an employer to deduct union membership dues from the wages of all employees in a bargaining unit where a union is certified by the Labour Relations Board. The Rand Formula is already enacted by statute in the federal jurisdiction and in the Provinces of Quebec, ontario, Manitoba and Saskatchewan.

In our own Province approximately 90 per cent of collective ~greements on file with the Department of Labour have a provision at least equal to the Rand Formula. It is my Government's conviction that the enactment of the Rand Formula will be an important step in improving the labour relations climate in the Province. Another important area of labour law reform to be introduced by my Ministers concerns first collective agreements. Hr.

Speaker and Members of the Honourable House of Assembly: The certification of a union as a bargaining agent by the Labour Relations Board signifies that a majority of the employees support the union. Furthermore, it is to be assumed that a collective agreement will be concluded. However, the experience of the Department of Labour shows that it R15

is generally recognized that the conclusion of a first collective agreement is often a frustrating experience for both parties. Hy Govenunent will be seeking an amendment to The Labour Relations Act to provide that where parties have negotiated . and failed to reach an agreement the Labour Relations Board may, upon a request made to the Minister by one of the parties, settle the terms and conditions of an agreement. It is my Govenunent' s belief that the enactment of such legislation will improve the mechanism and climate of industrial relations in the all important area of the first collective agreement.

Hy Government has decided to further amend The Labour Relations Act to rectify an inequity in the present law. Under . the existing voting provisions in The Labour Relations Act a trade union must have a majority of employees in the unit vote affirmatively to enable the Board . to certify a union as bargaining agent. In order to decertify only a majority of those voting is required.

In order to rectify this inequity legislation will be introduced to the effect that the same procedure will apply to decertification as presently applies to certification. ·The area of public service collective bargaining is particularly sensitive and complex. Before indicating the legislation and policy my Government plans to introduce during this Session a brief review of various initiatives since 1973 might be helpful.

L16 April 25 , 1985 The Public Service (Collective Bargaining) Act of 1973 sought to provide a balancing of competing interests within the public sector in Newfoundland by providing the right to strike for the majority of public sector employees along with a mechanism to ensure essential services would be maintained throughout a strike, essential services being those necessary for the health, safety or security of the public. Unfortunately, because of a number of Court decisions and Labour Relations Board rulings, the essential employee provisions of the 1973 Act proved unworkable in practice.

During the 1981 Lab and X-Ray employees strike, these procedural difficulties resulted in the necessity of emergency legislation being passed in the House of Assembly designating approximately 30 per cent of the bargaining unit as essential and requiring the provision of essential health services by these employees. Following that difficult situation a review of The Public Service (Collective Bargaining) Act was undertaken particularly in the area of essential employees with the result that Bill 59 was presented to the House of Assembly.

The intent of Bill 59 was to establish a workable mechanism in order to -· ensure that essential employees would be determined either by agreement between the parties or by the Labour Relations Board before a strike took place. 1~ile the essential employee sections of the Act are of a general nature and apply to all employers and employees who bargain under The Public Service R16

(Collective Bargaining) Act, it was not the intention that every bargaining unit would necessarily require essential employees. 'lhere are a number of situations Where no essential employees would be required. Hy Government rejects the proposition that the right to strike pre-empts all other rights including the right to public safety and security and the right to health services. Hy Government also rejects the proposition that no strikes should be allowed in the · public sector. In this crucial area it is necessary to establish a balance.

A review of The Public Service (Collective Bargaining) Act has led my Government to adopt the following principles: 1) Recognition of a general right to strike in the public sector; 2) ' Limitation of this general right when its· exercise conflicts with the right of all citizens to security of person, to appropriate health and custodial care, and to the safety of public property; 3) Limitations to the right to strike should apply only to essential workers; 4) Essential workers should be understood so as to include only those required to ensure security of person, to provide appropriate health and custodial care __ and to maintain safety of public property.

Hy Government is of the opinion that those bargaining units for Which Government does not seek to designate any essential employees, the boards and commissions Where no essential employees will be sought, and the Government departments which require no L17 April 25, 1985 essential employees, should be specifically exempted from

section 10 of the Act. Hy Ministers will be tabling such a comprehensive list in the near future. Bill 59 further provided in clause 6 an amendment to

section 23 of The Public Service (Collective Bargaining) Act which provided that if employees, after giving a 7 day strike notice, did not strike on the date specified they would be prohibited from striking for a month. This

section has general applicability to all employees under the Act but its most important application relates to health service institutions. There is a specific prohibition against rotating strikes in health service institutions. My Government will introduce legislation which will limit the thirty day restriction to health service institutions. In

summary, therefore, my Government is determined to make every reasonable effort to improve the climate of labour relations in the Province. The achievement of this objective will require a spirit of conciliation, of give and take, of reasonableness on the part of all involved. It is my Government's sincere hope that the labour movement, employers, and Government will work eo-operatively to improve the climate of labour relations and to achieve industrial peace. Hr.

Speaker and Members of the Honourable House of Assembly~ The past year has been a particularly difficult one for my Government and the people of our Province. The international recession required stringent measures to keep the finances of the Province in order. 'While it Rl7

was Government's intention to ensure that all sectors of our society shared the burdens imposed by the recession, we are nonetheless sensitive to the fact that certain sectors suffered more than others. There was considerable acrimony in the area of labour/management relations. However, I am sure that the measures outlined in this Speech today will help greatly in restoring a sense of equity and confidence on the part of all involved. On the economic front, the mining industry has stabilized and shows signs . of growth.

The forest industry has not only stabilized, but is undergoing a major modernization program that should keep it internationally competitive well into the future. OUr fishery, in particular the deep-sea fishery, has come through some very traumatic times these past few years. However, the Federal/Provincial restructuring agreement is well into the implementation phase. The new Co1npany, Fishery Products International, has new and dynamic management and is making great strides in getting competitively-priced high quality Newfoundland fish back on the tables of the world.

On the national scene, our offshore oil agreement and our expectations of a renewed dialogue with Quebec are all symptoms of a revival of the cooperative approach to Canadian Federalism. In this spirit, my government was pleased to have recently reached agreement with the Government of Canada on a $180 million primary Highways Agreement. The funding in this Agreement allows further upgrading work started on the LIS April 25 , 1985 Trans Canada Highway on the Island and a continuation of the work started on the Trans Labrador Highway.

This is in addition to agreements signed in the past year in minerals, planning, Burin Peninsula Development, Rural Development, Ocean Industries, Tourism, and Pulp & Paper Modernization. A number of other proposals on other sectors of the economy are sti 11 before the Federal Government and my Government shall be pursuing these will diligence. During the last year or so, my Government has signed nearly $900 million worth of economic agreements that should provide an economic bridge to the oil production days of the early 90s.

Ky Governmen~ is confident that the recent period of acrimony in our national life is now behind us and that all Canadians in all provinces are once again committed to • internal cooperation and prosperity so that Canada can take its rightful place on the world stage. With increasing stability in our . traditional economic sectors, with steady improvements in the social policy field, and with increased harmony at the national level, my Government now looks to the potential of offshore development to cement a solid future for ourselves and our children.

The offshore agreement reached with the Federal Government, through a long sought-after and good agreement, is only a first step. It gives us the power to do great things in shaping our own future and in making a larger and more positive contribution to our Nation. My Ministers painfully aware, are only too however, that we Rl8

have held power before and squandered it when we were a nation state and in our early years as a Province of Canada. Wise, compassionate and enlightened use of our new-found power over the next several years is the key. There is a tremendous obligation on . Government to see that all citizens in all geographic and economic sectors of our Province benefit from offshore oil. Likewise there is an obligation on the part of our citizens to become involved in the public hearings of our Royal Commission on Employment and Unemployment and the public bearings pertaining to the planning process for offshore development.

Together - Government, business, labour, citizens• groups . and individuals can make it happen. The future is now in our collective hands. My Government is confident that we rill not let ·this. golden opportunity slip through our fingers as has happened so of ten with the sands of time past. In the words of the poet Tennyson, we must t"eso l ve to be: •• ... One equal temper of heroic hearts, Made weak by time and fate, but stt"ong in will To strive, to seek, to find, and not to yield. •• Mr.

Speaker and Members of the Honourable House of Assembly: The public accounts of the Province for the period ending March 31st, 1984 will be placed before you, for your usual thorough review. You will be asked to grant supply to Her Majesty. 1.19 April 25, 1985 I invoke God • s blessing upon you as you commence your labours in this First Session of the Fortieth General Assembly. Hay Divine Providence guide you in your deliberations. HR. SPEAKER (McNicholas): The bon. the President of the Council. MR. MARSHALL: Hr. Speaker, I give notice of tbe following bill entitled, ..

An Act To Amend The Youth Advisory Council Act .. , and I ask that this bill be now read a first time. On motion, a bill, ..

An Act To Amend The Youth Advisory Council Act, •• read a first time, ordered read a second time on tomorrow. HR. SPEAKER: I would like to announce I have a copy of the Speech the Lieutenant-Governor bas read to this General Assembly and we will be distributing copies. The hon. the member for Humber Valley. SOME HON. MEMBERS: Hear, hear! MR. WOODFORD: Hr. Speaker and members of the Honourable House of Assembly, it is my great honour today to move tbe Address in Reply to the gracious Speech from the Throne and to .-express my gratitude to His Honour for opening the Fortieth Session of the House of Assembly. Hr.

Speaker, as the newly elected member for the district of Humber Valley, I want to begin my remarks by saying how deeply grateful I am to the people of the district of Humber Valley for electing me to represent them in their House of Rl9

Assembly. I appreciate in a most profound way their expression of confidence in me and I commit to you, Sir, that I will do my utmost to ensure their confidence and trust is not misplaced. Hr. Speaker, may I also at this time take a moment to pay tribute to a late friend amd colleage to many honourable members present, the former member for the district which I now represetlt, the Honourable Wallace House.

As the Premier so appropriately stated in his eulogy to our late friend and I quote, "Wally, as we all affectionately called him , was one of those people whose measure you didn't judge very well in a short time. His was a quite, gentle, unassuming style which for such a· public man might have seemed out of character to the casual acquaintance or to the stranger. But while Wally always portrayed himself as an ordinary man, those of us who knew him and who worked closely with him appreciated his special qualities and his extra ordinary sense of the needs of his fellow citizens. •• ltr.

House was a great friend to the district of Humber Valley. He will be long remembered not only as a fine human being, but also one who during his lifteime, particularly as a member of this Honourable House, contributed much to the economic and social progress of the district of Humber Valley. H.r. Speaker, one cannot help but feel the confidence and optimism that is the underlying spirit of the gracious Speech from the Throne, whether in terms of offshore management and development, natural resources, youth employment, or labour relations.

It can clearly be seen L20 April 25 , 1985 that this government, of which I am proud to be a part, is moving forward with the implementation of policies and programs that will move this Province forward in the future economically and socially. Indeed, Hr. Speaker, one can only be impressed by . the vast array of initiatives undertaken by this government. In this context, it is not at all surprising that the people of this Province would return the P. C. government to power for the sixth time since 1971 and for the third time under the present Leader and Premier.

The Speech from the Throne, apart from the specific policies and initiatives contained in it, conveys what was so apparent throughout the provincial election campaign. This is a government that provides strong leadership. This is a government that understands our people and are sensitive to their needs and aspirations. This is a government that ·has placed this Province on a path of economic and social progress that the vast majority of our people identify with and suppor t. Hr. Speaker, that is why this government was returned with thirty-six seats.

That is why this government has the overwhelming confidence of the people of Newfoundland. While the doomsayers tried very hard in the election, oh so very hard, Mr. Speaker, to bring down the government, the t.-tisdom and conunon sense of people throughout this Province prevailed and that is why when Newfoundlanders woke up on the morning of the 3rd of April, they knew they could be confident that their government was in safe hands and that for the next four years, their affairs would be well R20

managed, and that again the full measure of our potential as a Province would be pursued with wisdom and an abiding concern for the future. Hr. Speaker, a phrase wl!ich has been used to characterize the post-Accord era has been ••A new beginning." Indeed, Hr. Speaker, the accord does signal a new era in this Province, an era that has arrived because of the wisdom and fortitude of our Premier and this government. This is a new beginning based on the knowledge of what it means to be equal members within the Canadian family enjoying the same privileges and opportunities as any other Canadian. For many years, Hr.

Speaker, we ·were denied an equal role in Confederation. But, Hr. Speaker, as a Province and as a people we prevailed. We defeated those who would deny us our rights as equal Canadians. Hr. Speaker, let th~ word go forward across this .nation that the Liberal Party of Canada or the Liberal Party of Newfoundland nor any other group or entity will ever deprive this Province of our rights and our day in the sun. Hr. Speaker, I firmly believe that out of our new beginning we are about to achieve the quality of life that Newfoundlanders have sought for many generations.

This new beginning will soon be translated into a new prosperity because, Hr. Speaker, we are very close to achieving great things. We are very close to creating the thousands of jobs which are so badly needed. '.Ve are very close to creating the kind of activity which will help make our: society, economically as well as socially, second to none in this country. L21 April 25, 1985 Hr. Speaker, the people of the district of Humber Valley eagerly want to participate in the new era about to begin.

There is still much to be done in my district especially in terms of roads, and water and sewer facilities, and also in terms of jobs and economic development. Indeed, Hr. Speaker, during the next four years, I intend to place great concentration on the development of all the resource opportunities in my district including the forestry, the fishery, agriculture and tourism. There exists tremendous additional potential for employment and economic activity in each of these areas and no effort will be spared if more jobs is the result.

Indeed, I will do my utmost to ensur~ that all the needs of Humber: Valley, economic and social, are responded to. On behalf of my constituents, I can s&y sincerely that I have every confidence their government will always be one of which they can be proud and whose social conscience will always be in tune with their needs and their hopes for the future. Hr. Speaker, I have great pleasure in moving that a committee be appointed to prepare an address and reply to the gracious Speech from the Throne. Thank you. SOME HON. MEMBERS: Hear, hear:! HR.SPEAKER (McNicholas): The hon. the member for: LaPoile. SOHE HON.

HRMBERS: Hear, hear! MR. MITCHELL: R21

Hr. Speaker, let me first of all echo the sentiments of my colleague from the district of Humber Valley with respect to the gracious Speech from the Throne. Let me also say, Hr. Speaker, that this is a great day in my personal life, just as I believe it is a great day in the history of the district of LaPoile. I am deeply honoured by the confidence which the people of LaPoile have placed in me by electing me their representative in this bon. House. It is often said, Hr. Speaker, there is no greater human enterprise than to attempt to improve the well-being of people in our society.

It is my sincere hope that during the course of the next four years, with the help of the Premier and the P.C. Party, I will be able to make progress towards influencing the well-being of people of LaPoile district. Hr. Speaker, as my colleague, the member for Humber Valley has stated, His Honour's gracious Speech from the Throne is proof positive of the strong leadership exhibited by this government.

It is proof of the government's determination to bring forward policies and programmes that are not only in tune with current realities but which will propel this Province forward in a way that is characterized by a prudent management philosophy, and an array of progressive social programmes. Hr. Speaker, my bon. spoke of the beginning era. In the context colleague of a new of this Province's history, so much is implicit in that phrase. As a people, we have put behind us tne notion that economic development could only be achieved through L22 April 25, 1985 resource giveaways.

We have put behind us the notion that as Newfoundlanders, we could not be equal. And this revolution has not happened just between our ears. It is reality. It has taken place in a very tangible way. No better example exists of our equality with other Canadians . and our ability to manage our future than the Atlantic Accord. There are those who complain that oil is all that government eared about over the past five years. They, Hr. Speaker, do not want to recognize the fantastic accomplishment represented by the Accord.

People who understand bow difficult it was to assert our rights throughout the long period of arrogant Libera l Government in Ottawa (a government supported by members opposite), people who are not interested in mere partisanship will herald the offshore Accord as both a recognition of our rights in Confederation, and e'qually as one of the greatest opportunities in our history for Newfoundland to become better off economically and socially.

And we will be better off and our people will have jobs because we fought and achieved the kind of say over offshore management and development that no other government in our history either had the fortitude to seek or the determination to win when issues of fundamental importance to our people demanded such attention. The promise of this Accord is vast and as a result, all Newfoundlanders look to the future with optimism because we know it will be good for our fishery, our forestry and for the development of our other resources. R22

But Hr. Speaker, to those who will ignore the achievement of the Accord and insist that the government bas spent too much time on oil, I would ask them: l.Wbat about the $28 million Ocean Industries Agreement? l.Wbat about the $21 million Tourism Agreement? What about the $46 million for the modernization of pulp and paper mills in the Province? What about the $18.2 million Rural Development Agreement? What about the largest roads agreement in the history of the Province worth $180 million? The list goes on, Hr. Speaker.

It is going to be a great four years with Trudeau and Turner out and Mulroney and Peckford back in. I would be remiss if I failed to recognize the many other thrusts of His Honour• s address. In particular, the thrust towards the creation of jobs, especially jobs for our young people. No district in this Province including my own bas been isolated from the pain and suffering caused by our difficult unemployment problem. And among no sector is unemployment more acute than among our young people.

While we have taken a long-term approach to job creation through the development of the offshore, the fishery and our other resources, the Summer job programme for students will prove to be a fantastic opportunity for our young people to obtain job experience as well as an income while they are training for L23 April 25, 1985 long-term employment. This is no half-hearted programme, Hr. Speaker. Seven million dollars to benefit six thousand students is truly a significant indication of bow both our federal and provincial governments rate the importance of our young people's participation.in the work force. Hr.

Speaker, we have come through some very difficult times economically during the past few years and it is not hard to understand labour's opposition to some of the measures which government was forced to take to protect the financial integrity of the Province. However, there are those, Hr. Speaker, especially certain interest groups who deliberately interpreted these actions as somehow anti-labour. Such a conclusion, Hr._ Speaker, could not be more wrong. The labour relations record of this government is something of which we can all be very pwoud.

Indeed, th~ initiatives outlined in the gracious Speech from the Thorne today are yet a further example of how this government is sensitive to the fundamental interests of labour and to ~he objectives for which labour has long fought. I believe, Mr. Speaker, that those whose only ulterior motive is the interest of labour will view these measures very favourably as the initiatives of a government that wants labour to achieve its aspirations. Mr. Speaker, if the gracious Speech from the Throne is clear on any one po .. t, it is government • s commitment to the fishing industry of this Province.

We need only look at the restructuring agreement and its essential underpinning "all plants open" policy or government's commitment R23

to the inshore sector, which is equally strong. I can assure you, Sir, that recent steps by the government to ensure that fish caught by Newfoundland fishermen is processed here in this Province will mean a great deal to plant workers in my district. No one can mistake this government's commitment to the fishery of this Province and as the H.H.A. for a district where the inshore fishery is of vast importance, I express the confidence that the cormnitment outlined by His Honour today to the fishery will always be a hallmark of this administration. Hr.

Speaker, as the new member for the district of LaPoile, I look forward during the next four years to working with this government in pursuit of a better day for Newfoundland and Labrador. Ours is a Province that has suffered its share of deprivation and hardship. Because we have a government who has made it a consuming passion to surmount the old attitudes, the old obstacles and the .. hewers of wood•• syndrome, we are now in a position where we are able to take our rightful place in this nation.

Because of the good management and strong leadership of this government, Newfoundland history will not just emphasize our problems and misfortunes. It will also have a chapter, I believe a long chapter, which talks about prosperity rather than poverty, which talks about jobs rather than unemplo~nent, and which talks about a standard of living that is equal to, not less than, other Canadians. 1:ve are on the verge of this, Mr. Sp1-~aker, and I am very proud that I ~ill have the opportunity to L24 April 25 , 1985 represent my constituents as a member in this hon.

House at this time of great optimism and opportunity in our Province. Hr. Speaker, it is my great honour and pleasure to second the motion so ably presented by my colleague, the member for Humber Valley, .that a committee by appointed to prepare an Address and Reply to the gracious Speech from the Throne. Thank you. SOME HON. MEMBERS: Hear, hear! HR. SPEAKER (McNicholas): The hon. the Leader of the Opposition. HR. BARRY: First of all, Sir, I would like to extend congratulations to yourself on your election as Speaker.

It is, as you know, an election in name only in that you are appointed by the Premier, but it was with great pleasure that I had the opportunity of following the custom and tradition of seconding that motion. We ·will be making representation, Your Honour, during the course of this Assembly, that we should take a new look with respect to manner of appointing or electing the Speaker. We look with great interest at the initiatives that are being taken in our federal Parliament in this respect. However, Your Honour should not, in any way, take that as any reflection upon yourself.

We have every confidence that Your Honour will continue to show that great independence of spirit and that impartiality and fairness for which Your Honour has been recognized in the time that he has R24

been in the House of Assembly as a member. I would also like at this time to congratulate the mover and the seconder of the motion to draft a reply to the Speech from the Throne. I would mention to the member for Humber Valley (Hr. Woodford) that he does indeed have a very, very strong act to follow. We all look back with fondness to the memory of Wallace House, a fine member of this House of Assembly and we know that the member for Humber Valley will do everything he can to live up to the great traditions that were set here by his predecessor. To the member for LaPoile (Hr.

Mitchell), I would have to say that he slipped once in the tradition that the speeches on opening day of the House of Assembly generally are of a non-partisan flavour. However, we will attribute that to the relative inexperience of the member and we will not reciprocate in kind on this occasion . However, we look forward to some good partisan debate in the course of future session in this Rouse of Assembly. I have to correct the member for LaPoile on one other small factor and that is the sweeping majority or vast majority of support which the member ref erred to in connection with his own Party.

I think it should be pointed out purely for the sake of historical accuracy, Mr. Speaker, that we are looking at a goverrunent that does not have the support of a majority of the people of this Province. The government was elected with less than a majority of the popular vote and I would not want to have any historical distortions creeping in as a result of the L25 April 25, 1985 speech given by the member for LaPoile which I know is going to receive wide coverage. I think we should take the opportunity to make that minor correction.

I would like to welcome also at this time the distinguished visitors.to our House of Assembly, the dignitaries of church and state whom custom and tradition see with us again on the opening of the House. I would also like to welcome those visitors in the galleries who have taken time to come and witness the opening of this Fortieth Assembly of this hon. House. Now, Hr. Speaker, I assure the members House, and, "in fact, Newfoundland and would like to of this hon. the people of Labrador ' generally, that we on this side of the House intend to concentrate on debating the issues.

We will avoid debates relating to personalities. I am sure that in the heat of the momet:tt from time to time members will. slip but we will bend over backwards on this side of the Rouse to make sure that debate takes place on the issues. This is what the people of Newfoundland and Labrador have put us here for. It is not to play childish games, it is not to engage in petty insults across the floor of the House, it is to deal with the important issues and to deal with matters which will improve the situation in our Province generally.

I would like to point out, however, that this does not mean that there will not be hard debate. This does not mean that there will not be vigorous opposition. We intend to support the policies of government where these policies are good for the Province. We intend, however, to R25

vigorously oppose those policies which we believe would be harmful to the people of Newfoundland and Labrador. It is very difficult for me to be specific at this point -in time as to where we will support and where we will oppose because I have to say with regret, Hr. Speaker, that while I will give due credit and due recognition to the couple- of new initiatives that have been mentioned in the Throne Speech, by and large that Throne Speech has been a regurgitation, a repetition of ministerial and Premier press releases which have been issued over the last year or longer. There is very little that is new, Hr.

Speaker, in this Throne Speech, and that is unfortunate, because I believe that the people of Newfoundland and Labrador have high expectations, and they are waiting. I . w~uld like to point out one glaring omission, which I will come back to shortly, Mr. Speaker, and that is that we have a government which came to the people of this Province and asked for a mandate to create jobs. I challenge, Mr. Speaker, where in that Throne Speech members of this House or anybody can point to the new initiatives which will deal with that savage rate of unemployment which now exists in our Province. It is not there, Mr.

Speaker. It is a glaring omission and one that we will have an opportunity to deal with at later times in this Assembly. There are several new initiatives mentioned, and if I miss any I am sure the Premier will point them out. But i.n terms of new initiatives, as far as I can see, they are limited to the references to the intention - and this has been mentioned before but I assume L26 April 25 , 1985 that there is something even newer - to get back to negotiating with the Government of Quebec on the Upper Churchill contract.

If in fact we have a new initiative that is going to bring fast and speedy results there, then we support and compliment government for that initiative. We have another statement with respect to the fact that there will be a constitutional amendment to entrench and protect the position of the Pentecostal Assemblies. This is another new initiative. We look forward to the introduction of this legislation before this bon. House. I believe there is one further new initiative that I cannot put my finger on in my notes right now.

There is one further that I am skipping over but I will find it subsequently in the course of debate, Mr. Speaker. There are only three i terns that are mentioned that have not been either promised before, or in fact on which government has not already had legislation before this House or had started implementing programmes which unfortunately have done very little to improve the ·situation on the main issue which I think all three parties agreed was the main issue in the past election, the creation of jobs for the people of Newfoundland and Labrador. I have to say, Mr.

Speaker, it is disappointing to me that I look at this Throne Speech, I listen to what His Honour had to say, and I do not find the initiatives in there, the po lie ies , the programmes, and the strategies for providing the jobs which the people of Newfoundland and Labrador are waiting for and which they believe we should have. R26

We put forth during the recent election, Hr. Speaker, certain policies that we will be debating in this House of Assembly. We specifically put forward a philosophy not to increase taxes. The people of this Province received a commitment from the Premier that there would not be tax increases following the election, and we look forward to holding the Premier to that conunitment, -but we also put forth the suggestion that we should decrease taxes in this Province as a means of stimulating the economy. we lmow it is not easy to do that.

It is not as difficult as the Premier bas attempted to set out in terms of the inflated dollars which be bas said that various progranunes would cost. We will have an opportunity to question the Premier on these figures during the course of this Assembly. But, 'Mr. Speaker, when you look at the human misery that now exists in this Province, when you look at the social problems that are developing right now, and when you look at the long-term social problems that we are going to have, we must today take initiatives to create jobs and not just, Hr.

Speaker, for those 20-odd per cent of our population who are out there now and have been in some cases for years looking for work, but for the new generation, the students who will be coming out of school, some of 'Whom are coming out of university right now. Where are the jobs going to be for these young people? \lile have a 40 per cent level of unemployment amongst our young people right now. Where do they see hope and where do they see promise when they listen to the content of this document? How much longer, t:tr.

Speaker, can we ask these young people, or their parents who have been unemployed, L27 April 25, 1985 to wait? I have beard tales that would cause the hair on the back of your neck to rise in terms of men and women who have been hard workers all their lives who, through no fault of their own, now find themselves out looking for work, not for a few months, but for years in many eases. How can you expect this to go on and wait now for an offshore development? We all know when we are going to see jobs from offshore oil and it is not going to be tomorrow. And we all know bow much revenue will flow.

Even though these figures have not been released by government yet, we know bow many dollars are going to . be available to put into the progranunes that will be needed, Hr. Speaker. Offshore oil is not the answer. And if there is one message that has come through in the recent election it is that the majority of the people of Newfoundland and Labrador want this government to concentrate on other sectors of the economy in addition to offshore oil and gas. SOME HON. MEMBERS: Hear, bear! MR. BARRY: We put forth, during the course of the election campaign, Hr.

Speaker, a very specific policy with respect to the fishing industry. We have in this Throne Speech today generalities with respect to keeping fish plants in this Province open. The reality is the Premier is unwilling to . exercise that clause in the agreement negotiated with the Government of Canada whereby it is his responsibility to decide whether or not a plant stays open if its closure affects more than 100 people. It will be our intention to see in every instance of every fish plant closure in R27

this Province that the Premier accepts his responsibility and makes it clear to this House of Assembly why fish plants in certain districts are permitted to close or stay closed. Whether it be in Fermeuse, Charleston, Gaultois or anywhere else in this Province, we will be astdn& the members opposite to stand and tell the people of Newfoundland and Labrador whether they accept that these plants should close where often they are the only means of employment in rural communities for the people who have been workin& there for many years in some cases. Hr.

Speaker, we have not seen very much in this Throne Speech with respect to Labrador, which reminds me of the third new initiative. It is not totally new but it has to do with the statement that ne&otiations will commence with ·respect to dealing . with Native ri&hts and lan:d claimS in this Province. Now, in fact, Hr.

Speaker, we all tcnow that there have been negotiations previously on this issue and members opposite have past off their responsibility to the Government of Canada and have had an excuse in failin& to deal with this problem, saying, ·~e are waiting for the Government of Canada to do certain thin&s. • ~ell, Hr. Speaker, I am glad to see, and I compliment the Premier and members opposite for this paragraph in this Throne Speech, that negotiations are &oing to recommence. But, Hr.

Speaker, we have had the expectations of the Native people of this Province raised before by statements that this issue is going to be dealt with and we would hope that t1'e:r will not once again see tlwse expec .tations cruelly dashed as a result of a lack of follow-through on this commitment in the Throne L28 April 25 , 1985 Speech. Hr. Speaker, with respect to the offshore agreement, that le&islation will be coming forward on before this House, we have pointed out that we will be supportin& this legislation. We will, however, be proposing certain amendments.

We will be askin& the Premier to make every good effort to try and see an improvement in that clause that right now puts this Province at a disadvanta&e with respect to having oil and gas refined or processed here, whether it be at Come By Chance or some new facility down the road if it is not possible to keep the Come By Chance refinery open.

We, on this side of the House, believe that the Come By Chance refinery could be kept open and we will be looking forward to members opposite telling us, if in fact that refinery must stay closed, why that in fact is. ~e will be looking with great interest to find out whether the Minister responsible for Energy (Hr. Marshall) has yet seen a report that indicates the Come By Chance refinery should be torn down rather than reopened. We also, with respect to the offshore agreement, Hr.

Speaker, will be asking that there be an amendment to try and give the Province more bargaining power when it comes to dealing with negotiations on the price of oil, or when it comes to dealing with the level of federal taxation. We support the objective there which has to do with putting the Province in a position of equal tC"eatment with the provinces with onshore production. However, we have to point out. Hr. Speaker. that in fact, under the present Atlantic Accord, that equality of R28

bargaining position is not there. And it is not there because ownership with respect to the offshore has been lost. When · it comes down to the crunch, Hr. Speaker, as it often does in pricing negotiations and in taxation negotiations, we have seen what the Government of Alberta has had to do.

Albeit reluctantly, there was a time when the Government of Alberta said, •If we are not able to get a fair price, if we are not able -to get a proper division of taxation between the provincial government and the Government of Canada, then we may wish to curtail production.• Nowhere in that Atlantic Accord is that ability given, nowhere does that bargaining power exist.

And the reality is, while no province would want to put the rest of Canada in a position of not having . ae;cess to a resource as important as this, that when it comes down to bargaining between two levels of government, we have seen that that is done in a responsible fashion, but it has had to be resorted to by the Government of Alberta and by other governments in the history of this country. It is something, Hr. Speaker, which relates to the bargaining power of this government. The Minister of Energy (Hr. Marshall) is shaking his head .

Well, we will be very interested in listening to the minister explain how it is that he feels that we have the same bargaining power as Alberta or Saskatchewan, which are owners, but which the Newfoundland people are no longer recognized as being, where 14.r. M.u 1 roney and H.r. Crosbie ~ac~ed away from giving what they said they would give , which was ownership regardless of the outcome of the Supreme Court of Canada's decision. L29 April 25, 1985 I am disappointed, I must say again, in the member for Placentia (Hr. Patterson) in stating inaccuracies in the House of Assembly.

We look forward to more enlightened comments in this last session which the member for Placentia will be serving in the House. Landside Patterson - sorry, the Landsled member for Placentia, he is called. He came in on a squeaker, but, Hr. Speaker, unless he improves with respect to the accuracy of his comments in the House of Assembly, those 143 votes are going to disappear very quickly. Hr.

Speaker, I would mention as well that we are delighted now that we have as a situation, as one member on this side stated, the Upotian position of having a government of the same partisan stripe in this Province as there is in Ottawa. We look forward, H.r. Speaker, to the great new era of co-operation and we hope, Hr. Speaker, -that it will consist of more than the drawing of a curtain of conservative cordiality around discussions that are of significance to the people of this. '..Je hope that we will see differences aired openly. And we hope that we will see a productive experience.

We hope, for example, that when the federal budget comes down that we will see this government take a responsible position to protect the interest of the people of this Province on matters such as any attempts to reduce the benefits of unemployment insurance to those people who do not want to have to obtain or receive unemployment insurance but have no choice as long as jobs are not being R29

provided through the programmes and policies of members opposite. Jobs first, then you can reduce unemployment insurance, Hr. Speaker. But. the jobs have to be there before we start taking away the benefits on which many of the families in this Province are do dependent at the presen~ time. Unfortunately, Hr. Speaker, we have not seen very nUJch in this Throne Speech that would indicate that there is a new approach to labour relations being taken. There are a long series of passages, Hr. Speaker, that were contained in earlier press releases from the former Minister of Labour. Hr .

Speaker, we are waiting with interest to see the initiatives to be taken by the member for Bay of Islands (Hr. Blanchard), the new Minister of Labour. We ask that he take these initiatives quickly because we understand that there could be certain legal developments that would require a very fast exhibition of what he can do in this field~ But we look forward to supporting more positive initiatives on the part of the Minister of Labour than what we have heard in the Throne Speech here today, which is merely a repetition of initiatives that were introduced earlier. I would like to have seen, Hr.

Speaker, more in the Throne Speech to show that there is a new attitude, a more conciliatory attitude and a more co-operative approach to be taken by government with respect to dealing with the workers of this Province than we have seen before. Now, Mr. Speaker, I would particularly ask the Premier, when he gets up, to extend an olive branch to the teachers of this Province. L30 April 25 , 1985 HR. PATTERSON: I am doing it. HR. BARRY: The member for Placentia (Hr. Patterson) was renowned for his conciliatory statements towards the teachers of the Province!

Unfortunately, that type of dinosaurian approach, Hr. ~peaker, is going to do wonders for the quality of education in this Province! I ask the Premier. to control some of the dinosaurs that he has over there with respect to the approach to the teachers and to the education of our children in this Province. I ask the Premier, Hr. Speaker, to extend an olive branch to the teachers, to keep in mind that the young men and women of tomorrow who are now in our classrooms will be the ones who will suffer unless we get a better approach and a bet~er. relationship between government and the teachers of this Province. Hr.

Speaker, on a more nUJndane matter, but I think it deserves to be said and I say it on behalf of backbenchers on the other side of the House as well as members on this side, that I think it is time that government looked at the approach that it takes with respect to the providing of accommodation to members of this House of Assembly and other. services. Now, I say this not for. myself. I have a fine office - big enough and nice enough.

This has to do not with benefits for members of this House of Assembly, it has to do with permitting members to perform the function for which t':1e:r are here, to look after the interests of their constituents . I would ask the Premier and members of his Cabinet to consider ~hether today it is R30

appropriate that you have members of the House of Assembly, in some cases, doubled up, two to an office. Is this the way that constituents can obtain the privacy that often their very personal concerns may require? I would submit to you, Hr. Speaker, that if you look throughout the o·ffices of government you will find that Grade I Clerks - and I have nothing against them; God love them, they have to do their job - are better treated than members of this House of Assembly on both sides. There are backbenchers on the government side as well who are in the same position, but not all of them.

There is no great expense, if any, involved in providing this office space, Hr. Speaker. I ask the Premier and Cabinet to keep this in mind. Also, I will go a bit further and suggest this can be done through making offices available in existit:tg buildings, existing office space, to HHAs in their districts. Again, it is a matter which will help members on all sides of the House provide better service to the men and women who have elected them and for whom we are all supposed to be working.

It is not in the interest of the MHA, but it does have to do with the member's ability to effectively deliver a service to the constituent. Hr. Speaker, I do not think it is a matter that I need spend any more time on. It is not going to cost government a lot, if anything, but it is something that could greatly improve the service provided to the men and women of Newt ound land and Labrador. Hr. Speaker, as I mentioned earlier, I was pleased to see the Throne Speech contain a reference to new initiatives with negotiations on the u,per L31 April 25, 1985 Churchill.

I think the Premier, in response to a question in the last Session of the House of Assembly, indicated that probably within the next twelve months, maybe earlier, a decision must be taken on a new generating source to meet the needs that will be there in three to four years down the road. Hr. Speaker, I would suggest to the Premier that this rapidly approaching deadline makes it urgent that these negotiations with the Government of Quebec conunence at the earliest possible opportunity.

We on this side of the House conunit ourselves to doing everything that we can to support the Premier and government in its efforts in this regard. We have seen, over the past several months in this Province, the very great concern that exists with respect to the escalating cost of electricity. We know that there is only so much that can be done in the short term in terms of reducing the cost to the consumer. There are certain suggestions that have been made and there were certain enquiries that should be taken. There will be private members' resolutions coming forth f·rom this side of the House on this point.

But we all know that the real answer to stable cost electricity in this Province is to see an intertie with the Labrador portion of the Province. We hope that the Premier will get on very quickly, on an urgent basis, to the negotiations which have already been delayed too long. Hr. Speaker, I will close with this point. There was one further message that I think came through loud and clear from the men and women voting in this election and that message, Mr. Speaker, was that the people of Newfoundland and Labrador are not prepared to R31

put up with the politics of intimidation. They are not prepared , Hr. Speaker, to put up with the notion that they can be bought with their own tax dollar. SOHE HON. HEHBERS: Hear, hear! HR. BARRY: And I nust say, Hr. Speaker, in many cases it was easy for us to establish this because, as you see from the new members here, we have members from districts represented formerly by conservative members. It was very obvious for the people in those districts to see that the districts with government members were every bit as neglected as other districts in this Province. Hr.

Speaker, we would suggest to the Premier that at this time in our history, at this time with such a severe problem of unemployment, at this time, Hr. Speaker, with the expectations of the people of Newfoundland having been risen to such great heights by the thirteen or fourteen - in a coupleof years there was more .than one - or is it fifteen? I think it is fifteen throne speeches that have been brought in by Conservative administrations high expectations have been raised, Hr. Speaker, but so far they have not been lived up to. I would end, Hr.

Speaker, by suggesting to the Premier that the time has come for statesmanship, the time has come for non-partisan decisions with respect to the allocation of money for roads - I look at the member for st. George's (Mr. Dawe) - or water and sewer, or other services. It should be based upon, Hr. Speaker, where the need is greatest, and not how the vote went in this past election. That is one thing that we wi. ll ma lee certain, Hr.

Spea leer, L32 April 25 , 1985 comes out loud and clear in the course of this House of Assembly, that if money is being spent for partisan reasons, the men and women Who put us here in this House will know. Now, Hr. Speaker, I want to again wish all members well on both sides of the House. I look forward to vigorous debate and energetic debate, but fair debate on the issues that are most important to the people of this Province. I thank you again, Hr. Speaker. SOME RON. MEMBERS: Hear, hear! HR. SPEAKER (McNicholas): The bon. the Premier. SOME RON. MEMBERS: Hear, hear! PREMIER PECKFORD: Hr.

Speaker, thank you very much. First of all let me join with the Leader of the Opposition (Hr. Barry) in welcoming your election. I think the Leader of the Opposition uses the word • appointment' or 'I appointed' or the 'Government appointed', but we proposed the name of the Speaker and and the Leader of the Opposition, consistent with that greatest of British traditions, agreed. and Your Honour now has the Chair. But I do welcome the opportunity to congratulate the member for st. John Centre (Dr. McNicholas), Your Honour, on his election.

I am sure I speak on bena 1.£ of everybody on this side and for most of the members on the other side - if not openly at least secretly - when I say that the two R32

bon. gentlemen who did the moving and seconding of a committee being formed to have a reply go to his Honour did a fantastic job. I congratulate them. I do not lmow if I can remember in my time in the House, since in 1972, two new members doing a better job than these two hon. gentl~en did today. SOME HON. MEMBERS: Hear, hear! PREMIER PEC'KFORD: Let me also welcome to the House, as has the Leader of the Opposition, the various leaders of the conlll1Jnity.

I think on a number of occasions in the past a number of members from both sides of the House have said that we hope that we will never lose this kind of ceremonial atmosphere and dimension to the opening of the Legislature in our Province. I hope the day never comes when we lose that kind of added touch that we have that is not there when we get down to the cut and thrust of debate starting next week and that we have· it at somewhat of an elevated plane and continue to have the leaders of the community attend. It should be noted, Hr.

Speaker, that we are fast approaching the end of our ·time in this particular physical structure. Within the next two years there will be a new Legislature built on the ground floor. And a propos the Leader of the Opposition•s (Hr. Barry) remarks about accommodation, with which I fully agree, for all members, hopefully in the design of that new Legislature we will be providing much, much better facilities to all members. That is not to say that something should not be done between now and then, which is about two years. I think the new Legislature will be L33 April 25 , 1985 ready for us to sit in in 1987.

I agree something should be done between now and then also for facilities for hon. members. The-other point that the Leader of the Opposition did not mention which I thought he might in talking about the House and the members and so on is this whole question - I guess ·government will have to make a decision on it soon - about television · and recording and how much should be done.

A lot of members. on both sides of the House over the years have expressed a fair amount of reluctance, and I think to some degree fairly valid reservations, in the sense of the amount of material that would be edited by some of the television and broadcasting media and so on. But it is something that will have to be decided.

One of the problems that you have between now and t~en, because I have heard that there are some people of the press who are going to push for it now in the next year or two, is that to outfit this Legislature for television for the next two years will cost somewhere in the order of $1 million. I think the last time we did a study on it the cost was somewhere near $700,000. So for the next two years to expend the capital cost of $700,000, when you have a new facility coming on right after, may be a little bit difficult to do.

But this is something else I think hon. members, both caucuses, are going to have to very seriously consider as it relates to public broadcasting of activities in this Legislature. I am pre?~red, as is the Leader of the Opposition (Hr. Barry), to investigate tnis whole question of the role of the Speaker and how the Speaker is elected. I think R33

it would be a very important and progressive step if a committee of members from both caucuses got together and did some work on it and brought in some reconunendations to both caucuses, or something like that. So it is something to look at. A. number of parliaments around the Western World have looked at it and are making changes along those lines. I have to take issue with the Leader of the Opposition as it relates to the outcome of the election. ·The unfortunate part about the situation that we find ourselves in today, Hr.

Speaker, is that when you go to forty-four seats out of fifty-two, with a popular vote of sixty-two per cent, it is very abnormal. In the best of times in any democracy, as we all know, very few parties in the Western World· have ever achieved 60 per cent or 62 per cent of the popular vote or forty-four or forty-five seats out of fifty-two as we had done, especially given the economic climate that we lived in for so long. I was never all that good at math, I was an English major, Hr. Speaker, but I think my numbers indicate to me that thirty-six is a lot more than fifteen any day of the week. SOME HON.

HElmERS: Hear, hear! PREMIER PECXFORD: I should not forget the bon. member for Henihek (Hr. Fenwick) , and because thirty-six is also a lot more than one. That is the reality of the election, Mr. Speaker. The people of Newfoundland have spoken, and they have spoken fairly clearly and loudly, on the policies that this party has put forward over the years. L34 April 25 , 1985 Now, Hr. Speaker, most Newfoundlanders have a very clear idea where the two major parties stand in this Legislature.

I, just by accident, happen to have what the Liberal Party said in the past election on how they want to get Newfoundland out of its unemployment problems. We face this year, as everybody knows, about a $70 million deficit on our operating account, on our heat and light bill. Over the past two or three years , I think we started off at $5 million, went to $12 million, to $36 million, to $50 million and now we are up to $70 million a year just on our operating account; then we have to borrow another $170 million to $200 million on capital.

That is not the way you develop a province, by incurring additional debts like that, because it has to be paid back. Now, as I understand it, what the Leader of the Opposition (Hr. Barry) wanted to do, and why it is 36/15/1 for us and not for them, is because he wanted to spend about $110 million on freezing electrical rates, which I wish we could do, Hr. Speaker.

I just point out to the Leader of the Opposition and members opposite that the Nova Scotia Government has been forced by the financial markets to withdraw its freeze on electrical rates because they have incurred, and are incurring again this year, a current account deficit of $182 million, and their economy is just marginally bigger and stronger than ours. As a result, Nova Scotia lost its credit rating last year. It is extremely popular and short-te~~ and does attract some jobs. Mr. Speaker, the Liberals advocated $80 million for a jobs R34

programme, a 2 per cent sales tax drop would amount to $60 million, to eliminate the school tax would amount to $20 million, and I think the jobs thing goes up to well over $100 million in the second year, for a total of $270 million. Now, these are not figures that we pulled out of a hat, we have had our economists look at them. Hr. Speaker, in other words, then, the difference between this side of the House and the other side is that we want to develop our way into prosperity and the opposite side of the House would like to try to borrow their way into prosperity. SOME HON. MEMBERS: Hear, hear!

"PREMIER PECXFORD: But no government ever achieved it by doing it that way. You cannot borrow your way into prosperity in the Newfoundland context, if you can in any context in this world, based upon the kinds of natural resources we have here. That was a way, Mr. Speaker, not to borrow Newfoundland into prosperity, but to borrow the Liberal Party into forming the Government of Newfoundland and Labrador on the backs of the taxpayers. SOME HON. MEMBERS: Hear, hear! PREMIER PECKFORD: But the reality is still there, Mr.

Speaker, and there is still a lot of wisdom in the crowd , because the people of Newfoundland could see that this is not the way to try to develop Newfoundland, as 1TIUCh as we would all like to see this cost frozen and this tax reduced. Show me the body of economic opinion which says by L35 April 25, 1985 reducing our sales tax that we are going to stimulate more revenue back into the treasury than by keeping it at its present level! I challenge the Leader of the Opposition (Hr. Barry), in this Throne Speech debate over the next week or two, to show me that body of opinion.

We have looked at this in the last two or three years. We have asked economists to look at it for us to see whether in fact we will, by doing that, stimulate our economy sufficiently so that we wou ld get all the money back or more and still create jobs. It just cannot be done. What would happen, Hr. Speaker, if we did that? We would lose $60 million. Now, I say to you, Mr. Speaker, if we were to lose $60 million then we are either going to have to borrow that $60 million or, otherwise, we are going to have to cut back on services. We cannot borrow. We are now maximizing our borrowing power as far as we can.

So, therefore, we would have to reduce hospital beds, we would have to do certain other things which are, in our view, not proper things to do. We would not have our roads programme of $25 million or $30 million, it would be cut in half, and similar measures. It cannot be done. The only way, Hr. Speaker, that we are going to improve our economic position and get jobs going is through the development of the resources that are talked about in the Throne Speech today. I agree with those who have said - and that is why some of the members opposite got elected there is a short-term approach and there is a long-term.

I ha•r8 said in this House many times, ~r. Speaker, to our own caucus and to the people of (Iewfoundland generally that we are prepared to R35

take our lumps in the short term to ensure that the foundation that we have laid will be a permanent foundation. How easy it would have been, Hr. Speaker, as we all know now, a couple of years ago, to have signed the Nova Scotia deal that the Liberal Party of Newfoundland at the time wanted us to sign, that the Liberal Govermnent in Ottawa wanted us to sign! SOME HON. ltEHBERS: Hear, hear! PREMIER PECKFORD: How easy it is for the Leader of the Opposition (Hr. Barry) now to stand in his place on the opposite side of the House, Hr.

Speaker, and talk about bringing in amendments to the Atlantic Accord, to say, • You need more power over pricing •, when the party that he belongs to said, 'Have no equal management board, settle for less. Take a loan from the federal government and have to pay it back. Do not get a grant for a development fund. Do not worry about levying and collecting taxes.

They will give you some money from time to time.• That same party that wanted us to sell out, to do another Upper Churchill, is now the party which out of one side of their mouth is saying, 'Yes, we are going to support it.• I guess they are going to support it, Hr. Speaker. I guess they are going to support it in principle, because they know it is a better deal than they ever thought in their wildest dreams that this government could get for the people of Newfoundland and Labrador! That is why they are going to support it! SOME HON . MEMBERS: Hear, hear!

L36 April 25 , 1985 PREMIER PECKFORD: It will be a deal that will stand the test of time, Hr. Speaker, not only for this decade, but for many, many decades to come. It is a deal that we are very proud of. If we could get stronger provisions here or stronger provisions there we would have got them. But we are miles and miles, light- years ahead of where the Liberal Party of Newfoundland was on what they would settle for as it related to the offshore. So let us not go talking suddenly now about splitting hairs here and splitting hairs there.

We have a significant accord struck with the Federal Government of Canada. 1 hear the Leader of the Opposition (Hr. Barry) say, Hr. Speaker - how can he say it? - the Speech f com the Throne does not talk about jobs, when the Throne Speech says, Hr. Speaker, that in the last, I think it is about eight months, we have signed $900 million worth of agreements. Just in oil? No, Hr. Speaker. In tourism, in rural development, in mineral development and in the Burin Peninsula Development Fund. What have we done with the Burin Peninsula Development Fund in the last few months? Reactivated St.

Lawrence and for the first time have a mill in st. Lawrence so that the raw material does not go out of the Province, it is actually going to be milled in Newfoundland and Labrador for a change, for the first time in the history of St. Lawrence. How about the fishery? How about the fishery, Mr. Speaker? Who has protected the inshore fishery in the last decade in Newfoundland and Labrador? Twenty-two fish plants ·at $20 million a shot last year and $40 million in Fishery Products ·International. Is this the government, Mr. Speaker, that has not put any money in the R36

fishery? Well, the facts speak differently. So in all sectors of the economy, from tourism, to rural development, to ocean industries, to the Burin Peninsula Development fund and to mineral development, we have signed deals. And then what did we do? Not satisfied with those $500 million or $600 million, and then the development fund which we do not have to pay back, we just forged a deal, $180 million for the Trans-Labrador Highway. Never mentioned Labrador in the Speech, he said. ·No, only $30 million for the Trans-Labrador Highway, Hr.

Speaker, and $150 million for the largest highways agreement in the history of Newfoundland and Labrador. We could not get it, Mr. Speaker, when the Liberals were in power in Ottawa. Talk about partisanship. SOME HON. HE'dBERS: Oh, oh! HR. SPEAKER (McNicholas: Order, please! PREMIER PEC'KFORD: There must be a few nerves being rubbed on the opposite side of the House. I think the members on this side of the House listened very quietly when the Leader of the Opposition (Mr. Barry) spoke. There were not six or seven people howling at his vocal heels while he was speaking.

Now, would you please accord me the same courtesy? SOME HON. MEMBERS: Hear, hear! PREMIER PECKFORD: I know the truth hurts but you just have to sit there and take it and you will get your chance to speak next week. So, Mr. Speaker, we are moving ahead, not on one front but on all fronts. We are L37 April 25, 1985 moving ahead on all fronts. And talking about partisanship, Mr. Speaker, where was the first hospital built in Newfoundland under the hospital construction progranune? The Leader of the Opposition (Mr. Barry) has a short memory. It was in the district of LaPoile then represented by one Mr. Neary.

That 'was the first hospital that was built under the hospital construction programme. And the first clinic that was built was built in Forteau, which is in Eagle River but which I think was then part of Hr. Roberts• district. SOME HON. MEMBERS: Oh, oh! HR. SPEAKER (Dr. McNicholas): Order, please! I think we should get it established on the first day that when a member asks for silence he will get it. The hon. the Premier. PREMIER PEC'KFORD: So, Mr. Speaker, we have been trying to move ahead on all fronts of the economy and the proof is in the pudding, the proof is there.

There were $900 million worth of agreements· signed in the last eight months on all parts of the economy and not just on the offshore, the offshore being totally separate from it. Now, on the whole question of Native rights, Mr. Speaker, that the Leader of the Opposition (Mr. Barry) mentioned, which was raised in the Gracious speech, just let me say this. One of the problems that we have had, and the documentation can be produced to prove this, is that we could not negotiate with either the Inuit R37

Association or the Innu Association by ourselves because under the Terms of Union there is a relationship between the Native peoples and their relationship with the Government ·of Newfoundland and with the Government of Canada which involves tripartite negotiations. Now, I can produce to you letters to keep the St -ephenville mill going for another six months from the Minister of Indian Affairs, but right up until last September we could not get a criteria established so that we could sit down with the Native peoples, especially of Labrador, the Innu people and the Inuit people.

And it has only been since last September that there has been a very, very, great push put on trying to solve this whole question of land claims for Native people. And that is why in the gracious speech today, Hr. Spea~er, it is indicated that both levels of government have now agreed on how they want to proceed, so those negotiations can now start. Now, as it relates to the Labrador Inuit Association, there is not much of a problem.

They recognize us as the Government of Newfoundland and we recognize them as the association representing the Inuit people of Labrador and we should sit down and negotiate a fair and reasonable land claim settlement. As it relates to the Naskaupi- Hontagnais-Innu Association, I do not think at the present moment they recognize us as the Government of Newfoundland and Labrador. 1 think that is one of the problems with that group. ~>Vhen they do we are ready to sit down and talk to them in the same way as we will with the Inuit Association. L38 April 25 , 1985 HR.

OTTENHEIHER: They have Labrador and Quebec all the same in this. PREMIER PECICFORD: Yes, they have Labrador and Quebec all . the same because there has been a lot of trans-border movement of that Indian group over the last couple of hundred years. We have been ready, as the speech says, for many years to sit down on an urgent basis and negotiate with the Native peoples, but we have not had the same commitment through those years from the federal minister in Ottawa. Whatever the political stripe was does not make any difference, it just was not there and the letters are on file to show it.

Now there seems to be a renewed interest in doing it and hopefully before the year is out we will ·be able to do it. On the whole labour front, Mr. Speaker, we have indicated in the speech, and in the last number of weeks that we want to build bridges to the labour movement of the Province. We want to sit down with them and work, and we have started already.

Before we take any further initiatives that might be necessary, what the Speech from the Throne says is let us sit down in ongoing consultation with the employers' association and with the employees• organizations and talk about new or different approaches that we should take. We should not unilaterally in the Throne Speech today say we are going to do A, B and C if we have not already discussed that and consulted with all the groups in society that are going· to be affected. What we have said today is t.Ye are going to do A, E, C and D as it relates to the Rand formula and as it relates to R38

essential services. Why? Because we have already consulted with the groups on those initiatives and they have agreed. So what we are bringing forward in the Throne Speech tod·ay is a consensus from all parties. Now what we must do in the next two or three months. through the Ministry of Labour and through our other activities in government, is sit down with them again in ongoing discussions to see if there are some more points of consensus that can be reached, and then we will bring those forward for initiation through the House of Assembly. obviously not only in the public sector, Hr.

Speaker, but also in the construction trades area.

If, for example, by October or by the end of the year at the latest there is a development plan approved by the three parties - the federal government, the companies and ourselves - which is highly likely. or by the end of the year at the latest. and we ar~ moving ahead in 1986 for implementation of that, with a lot of construction we need to be able to ensure, if we are going to get the development plan we want, that we have a rapport and a consensus, if not .an agreement, with all the construction trades that for the length of that project we will build in a project agreement which provides these increases, which provides the kind of work conditions that they are going to have so that we will not be penalized on the front end by the companies for saying, ·~ell, we are not sure whether we can do that here because you might have some labour problems.' So, it is extremely important. not only in the public sector where we are now taking initiative through the Throne Speech, but it is equally important and imperative that over the next couple of months - and L39 April 25, 1985 these meetings started two or three months ago with all of the construction trades in the Province - that. number one. they are ready, and. number two, they are prepared to sit down with the employer or emp layers of the development. and government if needed, to work out an agreement so that we can maximize the number of jobs with the least amount of labour unrest possible.

Now that is absolutely critical. Consistent with that, Hr. Speaker, in the Throne Speech - and I must emphasize it before I sit down - is the emphasis on this whole question of education and training and research and development. Once again talking about long-term versus short-term development or short-term versus long-term, we had a $300 million fund - or for this year $60 million - in our ·pocket when we called the election a number of weeks ago. We were insistent right from the start · that this was no time to try to spend that $60 million.

We are in the process now with the Minister of Career Development and Advanced Studies (Hr. Power) and a number of the other departments of trying to ensure - and the Throne Speech emphasized this and I would like to see a lot of debate by all hon. members in this House on this point - that that $300 million go for very, very meaningful, concrete projects in research and development and education and training. Now I do not know how many bon. members are aware but there is an awful lot of jobs to be gained out of that.

If you look at the ice tank, as we call it, over here, the Arctic Vessel Institute, I do not know how many are going to be working in that building but I suspect there will be 200 or 300 for sure working in that building. It is R39

not just good enough, now that we have come this far, to get all the construction jobs on the offshore and no more. We now stand in the precarious but fortunate position of being able to say I think we can get those, but in addition, while this development is going on, we can build education and training facilities, research and development facilities Which will make us the centre of excellence on the globe, in the world, for marine-related, ice-related, cold ocean research-related activities. And there are other little things in the Atlantic Accord.

Where were all the samples that were being taken offshore going? They were going to the Bedford Institute, and the Bedford Institute in Nova Scotia was benefitting from the information from offshore Newfoundland to build up its research capability. Of course, under the Accord now it comes to Newfoundland so that we· can build up, at the university or wherever the samples are going to go, that expertise.

When you look at the Beaufort Sea, the Arctic Islands and down through Labrador, we have now with the Arctic Vessel Research Centre, with the Institute of Fisheries and with many others a center of excellence and we have got to use that very, very wisely.