Premier talks about fiscal turnaround

The province's dramatic fiscal turnaround means money is now flowing into many projects. However, in looking towards 2008, that doesn't mean Premier Danny Williams is ready to settle for anything less than what the province has been promised by the federal government.
During an interview with the premier in his office Dec. 18, Williams touched upon some of the strides government has made over the last year.
While the face of the fishery has changed since the cod moratorium, Williams says government remains strongly committed to the industry.
This year, the industry's performance has reached historic levels with its total value approaching $1 billion - due primarily to increased landings and improved market values for key species.
"We undertook the whole fishing industry renewal. We had the summit and we brought in all the stakeholders and we worked with the federal government, the industry and the unions to tackle the problems," Williams says.
At the end of the day, the provincial government stepped up and committed upwards to $140 million in incentives, he says.
"We've also said that we will work with the federal government and co-share on a 30/70 basis, early retirement as well as licensed buy-out."
Williams also notes this province's assets in Fishery Products International Limited (FPI) are now being held by a strong Newfoundland and Labrador company - Ocean Choice International (OCI). The agreement brings benefits to the workers including a more secure pension plan, he says.
While positive things are happening in the fishery, Williams says more work needs to be done in addressing licensed buy-outs in order to move the industry further.
Oil and gas
In looking towards the oil and gas industry, government recently announced the completion of the White Rose expansion agreement.
The finalized agreement will ensure this province benefits from its own resources.
This is crucial, Williams says, especially when dealing with a non-renewable resource.
"We bought five per cent of the White Rose satellite field at a very good price... Not only will we get the return from being owners, we will get the return on our royalties," he says.
At today's prices, the premier says, it's not out of the ballpark to expect upwards of $6 billion in benefits from the satellite field alone.
A similar arrangement with Hebron is expected to be signed in the New Year which will not only increase the province's cash flow but will result in more jobs.
"We've also got an oil refinery here which is moving forward. It's a huge project which will probably employ about 800 people with significant salaries in the six figure vicinity."
Another initiative includes a liquefied natural gas (LNG) project for Placentia Bay.
"And we could have the lower Churchill project underway. We could have a possibility of an aluminum smelter spinning off from the lower Churchill project."
There's also the hydromet facility that will be getting underway in the next couple of years in Long Harbour, Williams says.
Together all these projects make for great things on the horizon in terms of the province's oil, gas and mineral resources.
Just before Christmas the provincial and federal governments signed the framework agreement worth more than $430 million in federal contributions.

See this weeks Compass for full story.