Yukon minister's resignation threatens to collapse government
Bill Curry
Globe and Mail
Sep. 01, 2009
 Prime Minister Stephen Harper shakes hands with Yukon Premier Dennis Fentie in Whitehorse on Aug. 21, 2009. (The Canadian Press) |
Energy minister quits, saying Premier 'lied' to public in denying that private talks took place regarding selling off energy assets
Yukon Premier Dennis Fentie's government is at risk of collapse after the resignation of the territory's energy minister, who says the Premier "lied" to the public in denying that private talks took place regarding selling off the government's energy assets.
The decision of Brad Cathers, who was also the Yukon Party's House leader, to sit as an independent reduces Mr. Fentie's government to minority status. As a result, the development could trigger an election this fall, should the opposition parties move a no-confidence motion when the legislature reconvenes.
It is a dramatic twist for a Premier whose plans to expand the territory's hydro grid were praised in person this month by Prime Minister Stephen Harper. On the last day of a week-long tour of the territories, the Prime Minister toured the site of future hydro expansion in central Yukon with Mr. Fentie by helicopter. The two men then held an official signing ceremony in Whitehorse.
The expansion of the Mayo B hydro facility and the Carmacks-Stewart transmission line was first announced in May. The $160-million project will receive up to $71-million from the federal government's Green Infrastructure Fund.
Mr. Cathers told reporters at a news conference Friday that the Premier considered selling off publicly owned Yukon Energy assets to Calgary-based ATCO. Mr. Fentie denied such talks took place.
"The Premier lied to the public and to MLAs about his involvement in discussions with ATCO, and about what was on the table," Mr. Cathers said, according to media reports.
The minister went on to describe the Premier as "belligerent and confrontational" in his treatment of MLAs and senior staff.
Federal opposition MPs want to know whether the Conservative government was aware of the possible privatization when it committed the federal tax dollars.
Larry Bagnell, the Liberal MP for Yukon, said he supports the hydro expansion but does not want to see public assets sold off to the private sector.
"I'd want to make sure that the assets purchased in this particular project remain with the Yukon people," Mr. Bagnell said. "Many Yukoners are outraged about this particular issue."
In contrast to the former energy minister's remarks, the Prime Minister offered a far more flattering description of Mr. Fentie during his Aug. 20 visit. At the signing ceremony, Mr. Harper said he appointed Daniel Lang as the territory's senator this year on the advice of the Premier.
Mr. Harper said Mr. Fentie first raised the hydro project with him in private and then worked to ensure it received federal funding.
"It is always a pleasure to be here with Premier Fentie," said Mr. Harper in Whitehorse. "He is always clear in what he wants, reasonable about how he gets it and a pleasure to work with. It doesn't always work that way with premiers, I have to tell you."
Mr. Harper said the public investments in Yukon's hydro power will create hundreds of jobs and will reduce the territory's dependence on diesel by 40 per cent.
Neither Mr. Fentie nor Mr. Cathers could be reached yesterday. Dimitri Soudas, a spokesman for the Prime Minister, said talk of privatizing Yukon's energy assets is "hypothetical" at this point and declined further comment.
During the event in Whitehorse, the Premier described the project as a "massive" investment in the territory and praised the Prime Minister.
"Under the leadership of Prime Minister Stephen Harper and his government, the North has finally come of age," he said.