New N.S. premier wary of Muskrat Falls

NovaScotia'sincoming premier says the Muskrat Fallshydroelectric project in Labrador won't have his Liberalgovernment's support unless the price of power is cheaper forcustomers in his province.

One day after winning a commanding majority government, StephenMcNeil said that's the message he will deliver toPremier KathyDunderdale of Newfoundland and Labrador.

McNeil saidhe agrees with a decision by Nova Scotia's Utilityand Review Board that his province needs access tomore of the powerfrom the development at a better price.

He saidNova Scotia private utility company Emera, which is proposing to build the $1.5-billion Maritime Link that wouldshipelectricity to his province, is free to proceed with it.

Darrell Dexter, the former NDP premier of Nova Scotia, was a proponent of the $7.7-billion project that would transmitpower from Labrador to Newfoundland and Cape Breton through subsea links.

McNeil's Liberals won 33 seats in the 51-seat legislature, whilethe New Democrats were relegated to third-party statuswith sevenseats.

The Progressive Conservatives become the Opposition with 11members elected.

No change in deal

According to Dunderdale, there's no concern that the deal with Emera will fall through.

"Our contract our agreement is with Emera. They're going to sell the power to Nova Scotia," she said.

Dunderdale said that during negotiations, the provincetook into consideration the possibility that a different government may take over in Nova Scotia.

"When we plan these kinds of projects and enter into these kinds of agreements, we always examine every possible challenge [or] occurrence that might have some significance or impact on the piece of work that we're agreeing to do together, and we provide remedies to that before it even takes place," she said.

Dunderdale said she's not worried that legislation could be drafted in Nova Scotia to stop the maritime link component of the project.