Arctic drilling ban won't hurt Newfoundland offshore, says Yvonne Jones

The federal government's new Canadian Arctic drilling ban will have nonegative impact on Newfoundland and Labrador's offshore oil sector, according to one member of Parliament.

Labrador MP Yvonne Jones said the new Arctic strategy, revealed on Tuesday as part of a joint announcement between the Canadian and United States governments, will have long term benefits.

"When we do large energy development in the Arctic, in regions like mine ... we want to make sure we're doing it right."

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Jones said the prohibition covers areas surrounding the Nunatsiavut land claim in Labrador, but "it doesn't impact on the rest of Labrador or Newfoundland in any way," or cut off existing licences.

"Definitely not a blow to the offshore oil industry," the MP said."And if it's being conceived in that way, that's wrong."

Time to consult

The renewable, five-year ban is onnew oil and gas licences in Canadian Arctic waters.

According to the federal government, there has never been any commercial oil production in the affected area nor are there any immediate plans to do that.

Jones, speaking alongside Indigenous and Northern Affairs Minister Carolyn Bennett, saidthe prohibition will give the government time to consult with northern communities.

"The Arctic strategy is really about allowing people who live in the northern and Arctic region to work with the government of Canada to have a proper preparation ... to do development in the Arctic," she said Wednesday.

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Jones alleged that governments have been "negligent" in the past when it comes to setting effective environmental policies and oversight.

Bennett said that the next five years will include working with northern communities to figure out what criteria need to be met for the prohibition to be lifted.

"New science, new spill research, those kinds of things," she said.

She added that government is aware that northern communities are concerned about socioeconomic development, as well as the environment.

Industry responds

The Newfoundland and Labrador Oil & Gas Industries Association (NOIA) said in a statement that it had not been consulted about the policy changes.

However, it wrote that the federal government has assured the group that there will be minimal impact on Newfoundland and Labrador.

"We have been assured that there will be no ramifications on the Newfoundland and Labrador offshore industry, where science has proven that drilling can be done in an environmentally-conscientious manner," wrote NOIA head Raymond Collins.

He told CBC News on Tuesdaynight that the Arctic drilling ban will hamper plans of making the province a supply gateway for future exploration activities.