Government of Newfoundland and Labrador Releases Report of the Independent Churchill River Review Committee

Press Release

May 19, 2026

Today, the Government of Newfoundland and Labrador released Creating Long-Term Value from the Churchill River for the People of Newfoundland and Labrador, the formal report of the Independent Churchill River Review Committee (IRC).

In its report, the IRC provides a comprehensive summary of the financial benefits, economic benefits and associated risks of the Memorandum of Understanding (MOU) as well as an analysis of the negotiating strategy, structure and process followed by the previous government in the negotiation of the MOU. The IRC concludes that:

“The Memorandum of Understanding (MOU) has several important aspects that are beneficial for the province of Newfoundland and Labrador. Despite these benefits, however, the IRC finds, based on the evidence it has reviewed, that the MOU as currently configured is not in the overall best long-term interest of the people of the province.

“We conclude this, in part, because of limitations in the MOU that were also a feature of the 1969 Churchill Falls Power Contract (as renewed in 2016). Specifically, these are limited rights to use Churchill Falls power in the province over an extended period, problematic power pricing models, governance control by a minority shareholder who is in a conflict-of-interest position as a major customer, and restricted access to transmission infrastructure that would enable power generated in Labrador to reach export markets. In our view, the Government of Newfoundland and Labrador has several significant decisions to make that could ultimately make the MOU serve the public interest.”

The Provincial Government has clearly stated its intent to develop the Churchill River and Gull Island. Accordingly, the Premier announced today the three-member negotiating team who will be charged with representing Newfoundland and Labrador in any upcoming negotiations, using the conclusions of the IRC as a foundation. The negotiating team includes:

Barry Perry, former president and CEO of Fortis Inc., will serve as lead negotiator.
Jerome P. Kennedy, KC, St. John’s lawyer and former cabinet minister in the Government of Newfoundland and Labrador.
Jennifer Williams, president and CEO of Newfoundland and Labrador Hydro.

In line with the recommendations of the IRC Report, the Premier further announced that the committee will report to a new independent oversight body to be announced shortly.

On December 15, 2025, the Premier announced that the province would use Part 2 of the Public Inquiries Act to launch a fully independent review process empowered to “determine whether the 2024 Memorandum of Understanding is in the best long-term interest of the people of the province. Between December 16, 2025, and April 30, 2026, IRC members Chris Huskilson, Michael Wilson and Guy Holburn gathered evidence from Newfoundland and Labrador Hydro (NLH), its expert advisors, and current and former government employees. In-person interviews were conducted with key stakeholders and the IRC solicited public submissions through its website. In total, the IRC received over 350 submissions from concerned individuals, industry representatives, Indigenous groups, and elected officials.

Quotes

“The report gives us a comprehensive roadmap for what needs to change in order to make an improved agreement for Newfoundland and Labrador possible. The report makes it clear that on issues ranging from pricing to transmission rights to the restricted ability of Newfoundland and Labrador to access our own electricity for economic development, to the saddling of our province with long-term debt, there are credible and realistic alternatives to the terms of the inherited MOU.”
Honourable Tony Wakeham
Premier of Newfoundland and Labrador

“We all live under the shadow of the original 1969 Churchill Falls agreement which, in return for having Hydro-Quebec build a megaproject on the Churchill River, forced Newfoundland and Labrador to give away our electricity at significantly below market rates, for generations, with no recourse whatsoever for re-opening or renegotiating that deal. If the experience of 1969 taught us anything it is that we must always look past the big promises and best intentions and always read the fine print. If the price tag for tearing up one bad deal is being forced to sign a second bad deal, then we will be consigning our children and grandchildren to continue living under the shadow of the 1969 agreement.”
Honourable Tony Wakeham
Premier of Newfoundland and Labrador

“I want to make it clear that this report, in no way, shakes our resolve to develop Churchill Falls and Gull Island. The speed of progress is not up to us alone. It depends on how urgently Québec and the Federal Government choose to act in addressing the issues raised by the Independent Review Committee. My message to the Premier of Quebec, the Prime Minister and to all Newfoundlanders and Labradorians is that my government is sitting at the table and ready to negotiate. Let’s build something big together. Let’s get this done. For all of us.”
Honourable Tony Wakeham
Premier of Newfoundland and Labrador

“For the first time since the announcement of the MOU, Newfoundlanders and Labradorians have all the facts in front of them so they can make up their own minds about the deal the previous government signed. This is one of the most abundant untapped clean energy projects you will find anywhere on the continent. We believe that this new transparency gives us our best opportunity to develop the Churchill River in a way that protects the best interest of our province.”
Honourable Lloyd Parrott
Minister of Energy and Mines

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BACKGROUNDER

Official Recommendations of the Independent Churchill River Review Committee:

1. The Government of Newfoundland and Labrador should determine, based on a comprehensive analysis of long-run economic development options, the extent to which power generation from the Churchill River should provide financial versus economic value to the province over time.

2. The Government of Newfoundland and Labrador should sanction and support Newfoundland and Labrador Hydro construction of new transmission line capacity between Churchill Falls and Labrador West in order to enable economic growth of the province’s energy-intensive industries.

3. The Government of Newfoundland and Labrador and Newfoundland and Labrador Hydro should remain committed to the objective of building respectful relationships with and consulting Indigenous communities in connection with future developments on the Churchill River and in Labrador.

4. The Government of Newfoundland and Labrador should rigorously evaluate alternative ownership, operating, and right-of-use models for new hydroelectric generation at Gull Island that are consistent with the province being the principal beneficiary of the financial and economic value created.

5. The Government of Newfoundland and Labrador and Newfoundland and Labrador Hydro should prepare for future negotiations with Hydro-Québec by preparing a fully articulated negotiation strategy and best-practice governance process.

The full report of the Independent Churchill River Review Committee can be found at https://www.churchillriverreview.ca/files/IRC-Report.pdf.

A summary of the report of the Independent Churchill River Review Committee can be found at https://www.churchillriverreview.ca/files/ChurchillRiverTechnicalBriefing.pdf.

Premier’s speaking notes are here.

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