Winnipeg Free Press

Winnipeg Free Press (Newspaper) - September 24, 2021, Winnipeg, Manitoba C M Y K PAGE A1 SCU.MB.CA/SAVINGS S TA R T I N G AT 1.05%* INTEREST ON SAVINGS *Rate subject to change. ® CELEBRATION CONNECT WITH CANADA’S HIGHEST READERSHIP RATE WEATHER: PARTLY CLOUDY. HIGH 15— LOW 10 ® FRIDAY, SEPTEMBER 24, 2021 FOUNDED IN 1872 THE Manitoba government believes the economy can steadily recover despite the defi cit surpass- ing $2 billion, but the business com- munity worries the bounce back could still be derailed by the virus. The provincial deficit topped $2 billion in the last fiscal year be- cause of the massive cost of fight- ing the COVID-19 pandemic and the staggering loss in government revenue. On Thursday, the province re- leased an audited final report for the fiscal year that ended March 31, 2021. The public accounts detail data from 140 government entities, including Crown corpora- tions such as Manitoba Liquor & Lotteries and Manitoba Hydro. The province took a big hit on the revenue side, including the loss of income tax from businesses and the loss of gambling revenue because casinos and VLT lounges were closed for many months. By far the biggest expense was the ballooning cost of health care. Hundreds of millions was spent on pandemic aid programs, such as wage subsidies for busi- nesses and one-time $200 pay- ments to every senior. The Progressive Conservative government said it expects the deficit to shrink to $1.5 billion this fiscal year as the economy recovers. Had the pandemic not occurred, Manitoba would have had a $357-million deficit. “It really was a very challenging year to predict,” Finance Minister Scott Fielding said. “You had to make a lot of policy decisions on the fly, and that’s what all governments did.” Fielding said the government is on track to balance its books within eight years, unless there’s a drastic wave of COVID-19 that shuts down the economy again or dries up U.S. demand for Mani- toba goods. Federal transfers are expected to jump, partly due to a recent child-care funding agreement the province signed with Ottawa. Based on various government, bank and industry projections, the Manitoba government projects its real gross domestic product to grow by 5.5 per cent in this fiscal year, and 3.7 in 2022-23. Pandemic costs push deficit past $2B; biz, labour concerned DYLAN ROBERTSON EMOTION and anger over pandem-ic public health orders have hit new Manitoba Premier Kelvin Goertzen right where he lives. The longtime Progressive Conserva- tive Steinbach MLA said Thursday in some instances, the vitriol has erupted in threats of violence against him and his family. “I won’t go into the details, and a lot of them have been handled by law en- forcement, and I appreciate that they take those things seriously. But there’s no doubt we’ve faced that and probably elected officials across the country have,” Goertzen said. Some provincial government elected officials and public health experts have received threats following the imposition of pandemic restrictions. In July, Dr. Brent Roussin, the chief pro- vincial public health officer, revealed he and his family had been threatened and that there had been “suspicious ac- tivity” around his home that required the involvement of law enforcement officials. Goertzen said he continues to sup- port current public health orders, including vaccine mandates and proof- of-vaccination protocols, to help keep COVID-19 in check, thereby ensuring all Manitobans can get the health care they need. “I think what we’ve done now on proof of vaccinations… is the right thing for where we are right now,” he said in his first extended interview since becoming premier after Brian Pallister stepped down last month. “Do I like it? I don’t like it. Do I want to see it persist for a long time? Of course not. From my perspective, the sooner we don’t need it, the better. But I also know that as premier and as an elected official, I have a responsibility to do my best to make sure people can get surgeries, and they can get medi- cal treatment.” Goertzen said he has endured many awkward and angry conversations in his home constituency as he tried to make the government’s case for vac- cine mandates and other restrictions while trying not to harden the position of constituents opposed to vaccina- tions and pandemic public health measures. “(Steinbach) is a strong conservative riding, and there are many who dis- agree with our decisions. I’ve heard all of those things, and I’ve heard them in emotional ways,” he said. “We’ve lost friends that we’ve had for a lifetime and we may never get them back. So that’s been really difficult.” However, while he doesn’t want to provoke the anti-vaccination/anti- restriction crowd, Goertzen made it clear the government has introduced measures such as vaccine mandates that infringe on the rights of unvacci- nated Manitobans out of necessity, not preference. “Sometimes we’re just choosing between bad options,” he said. “I think that in the short term, the proof of vaccination — while I don’t like it and I don’t want it long term — is a bet- ter place to be than having to cancel 15,000 surgeries.” Goertzen’s clear support for vaccine mandates and proof-of-vaccination cards comes as the two candidates vying to become the next leader of the Progressive Conservatives and next premier have raised questions about what they would do to change public- health orders. One, former MP Shelly Glover, says she opposes mandates but would be willing to change her mind if she could be convinced by public health offi- cials. The other, MLA Heather Stefan- son, has said she opposes “mandatory vaccination” but supports “vaccine mandates,” a semantic sleight of hand that some political observers believe was an attempt to curry the favour of anti-vaccination party members. Goertzen threatened over health orders DAN LETT JOHN WOODS / WINNIPEG FREE PRESS Manitoba Premier Kelvin Goertzen says he’s tried to convince angry constituents that getting vaccinated and abiding by restrictions are necessary measures to fight the pandemic. Interim premier stands by government actions as ‘right thing,’ reveals lifelong friendships in Steinbach jeopardized ● GOERTZEN, CONTINUED ON A2 MANITOBA Hydro has reported a $20-million increase in net income thanks mainly to export sales made possible by the Keeyask northern dam — an NDP project the Tory govern- ment has railed against. The increase is primarily from higher out-of-province revenues and firm export sales contracts made possible by the 695-megawatt Keeyask project under construction in north- ern Manitoba and the 500-kilovolt Manitoba-Minnesota transmission line completed last year, says Manitoba Hydro’s annual report, which was released Thursday. The provincially owned utility reported a total consolidated net income of $119 million for the fiscal year ending March 31, 2021. Revenues from out-of-province electricity sales totalled $611 million — an increase of $143 million from the previous year. “We will build on our clean energy advantage to help the province and the country decarbonize,” president and CEO Jay Grewal said in the report. She noted that vehicle manufactur- ers are moving away from combus- tion engines toward electric vehicles, and that Manitoba Hydro “is well- positioned to play an important role in shaping the changing energy land- scape for the benefit of this province.” That type of positive outlook and analysis were nowhere to be found in a report by former Saskatchewan premier Brad Wall in February. The former conservative leader slammed the ex-NDP government and Manitoba Hydro officials for overestimating the potential for export sales needed to justify building the Keeyask generat- ing station and the Bipole III trans- mission line that together ran $3.7 billion over budget. Wall’s report, commissioned by then- premier Brian Pallister, said the former NDP government did little to prevent costs from spiralling and was more fo- cused on getting the projects completed. Keeyask and Bipole III were built over the last 15 years and Manitoba Hydro’s debt has tripled in that time to more than $23 billion. On Thursday, when asked to comment about Keeyask receiving credit for Hydro’s increase in net income, Crown Services Minister Jeff Wharton thanked the construction workers building the massive project that started to come online this year. “First, I want to be clear on a group that has unfortunately been forgotten, which are the fine folks contributing to the construction of the Keeyask Generating Station. They are doing a tremendous job, under exceptional cir- cumstances,” Wharton said in an email. “Our issue lies with the NDP’s mis- management of Manitoba Hydro. This is why we remain committed to imple- menting the Wall report recommenda- tions, and strengthening our commit- ment to better protect Manitobans from the mistakes and decisions made by the former government.” Adrien Sala, the NDP critic for Manitoba Hydro, said its annual report shows the PC government has misled Manitobans. Keeyask dam increases Manitoba Hydro’s net income by $20M CAROL SANDERS ● DEFICIT, CONTINUED ON A2 ● KEEYASK, CONTINUED ON A2 BACK HOME Jets open camp, captain cools hype train C1 A_01_Sep-24-21_FP_01.indd A1 2021-09-23 11:02 PM ;