Churchill Falls agreement could be jeopardized by Quebec election, minister says

Quebec Economy Minister Christine Fréchette speaks during a year-end interview in her office at the legislature in Quebec City, Thursday, Dec. 11, 2025. (Jacques Boissinot/The Canadian Press) (Jacques Boissinot)

Quebec’s economy minister says a draft energy deal with Newfoundland and Labrador could be at risk if it’s not settled before next year’s Quebec election.

Christine Fréchette says a defeat for the governing Coalition Avenir Québec in 2026 could jeopardize the energy supply agreement.

The two provinces announced a preliminary agreement in December 2024 that would raise the rates Hydro-Québec pays for electricity from the Churchill Falls plant in Labrador.

They planned to reach a final deal by April 2026, but Newfoundland and Labrador’s new Conservative government wants to have the agreement reviewed by a committee.

Fréchette says it’s in Newfoundland and Labrador’s best interest to reach an agreement as soon as possible, as it might not go ahead if another party forms government in Quebec.

Newfoundland and Labrador’s Liberals have said the proposal, if finalized, would bring the province more than $225 billion over the next 50 years.

This report by The Canadian Press was first published Dec. 13, 2025.