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Blockade planned over Hydro deals

Fees, governance spur spat over dam

By: Mary Agnes Welch

Posted: 07/11/2012 1:00 AM | Comments: 0

A group of women from Tataskweyak Cree Nation planned to blockade the road into Manitoba Hydro's Keeyask dam construction site Tuesday evening to protest hefty consultants' fees, poor band governance and secrecy they say plagues the dam deal.

"This has been ongoing, but mostly it's about hydro-related businesses that have taken our leadership away and neglected the community," said Alberteen Spence, a member of the newly created Women's Governance Council.

Spence, a vocal opponent of TCN's chief, said the group wants a forensic audit to determine how millions in dam-related consultation costs have been spent and how band-owned businesses operate.

It's the latest chapter in an internal battle at TCN, fuelled by news late last month that the cost of consultants hired to help First Nations negotiate agreements with Hydro had risen to more than $223 million, up from about $160 million in late 2009.

That includes more than $100 million in "process" costs for TCN and War Lake First Nation on the Keeyask dam alone. A significant portion of that money -- the amount is confidential -- went to Hobbs and Associates, a consulting firm many northern bands hired to help negotiate complex joint partnership agreements.

The details of exactly how millions in process costs are spent have always been secret, subject to strict confidentiality agreements and an unwillingness by Hobbs to speak publicly.

"We're not benefiting financially," said elder Eunice Beardy, one of the activists. "It's the high-priced lawyers and consultants that are benefiting from the process."

Earlier this year, a quorum of dissident band councillors passed a resolution firing Hobbs and Associates. That resolution may not have been legitimate, and was not enforced.

In May, the same group of dissident councillors passed a resolution stripping Chief Duke Beardy of all his powers, due in part to what they called a too-close relationship with Hobbs.

Aboriginal and Northern Development Canada has refused to legitimize the resolution because the Indian Act does not allow a council to oust a duly elected chief. A chief can only be stripped of his title if he is convicted of an indictable offence, dies in office or resigns.

Still, the attempted coup has left TCN in turmoil and threatens to stall negotiations between the band and Manitoba Hydro on the next phase of the massive deal that will see band-owned companies do some of the Keeyask construction.

The blockade was slated to be set up on the north access road into the Keeyask site, just off Provincial Highway 280. Spence said no one will be allowed into the dam site, though band members will allow workers out.

Construction of the 695-megawatt dam has not yet begun but work on access roads, camps and site infrastructure is underway.

Manitoba Hydro spokesman Glenn Schneider said about 90 workers are on-site, and they have no need to leave in the immediate future. A blockade may cause problems if it lasts more than a week or two, however.

Schneider said the issue is one community members need to sort out.

Chief Beardy could not be reached Tuesday.

An election in the community is scheduled for September.

maryagnes.welch@freepress.mb.ca

Keeyask

Located: On the Lower Nelson River, 58 kilometres east of Split Lake and 30 km west of Gillam.

Size: 695 megawatts, one of the province's biggest generating stations.

Cost: At last tally, $5.6 billion.

Owned by: Manitoba Hydro and the bands. According to the Joint Keeyask Development Agreement, Hydro owns 75 per cent of the dam while four bands -- Tataskweyak, War Lake, York Factory and Fox Lake -- have the chance to own up to 25 per cent of the dam, thus earning long-term income for their communities.

What Manitoba Hydro has spent so far on negotiations, including paying consultants hired by the bands: $145 million, according to documents the Canadian Taxpayers Federation obtained last month.

Republished from the Winnipeg Free Press print edition July 11, 2012 A4

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