Innu Nation, federal and N.L. governments to talk Muskrat Falls issue, ask judge to defer injunction ruling

Ajointly signed statement between the Innu Nation, the government of Newfoundland and Labrador and the federal government indicates the parties are more interested in talking out the issues that werepotentially holding up the finalization of the$5.2-billionagreement-in-principleMuskrat Falls rate mitigation deal.

The Innu Nation wasseeking a court injunction that would halt talks to finalize the agreement-in-principlebetween Canada and Newfoundland and Labrador, signed July 28.

Judge Alexander MacDonald heard arguments from both sides and asked questions during proceedings last week.

A decision on whether to grant that injunction was expected this week.

On Friday, just after 3:15 p.m., the jointstatement by the three groups was released.

"The parties have requested the court defer releasing a decision on the injunction application to provide an opportunity for discussions to take place," it reads. "The parties will not be commenting further at this time."

'This is where we end up'

The Muskrat Falls dealbetween the government ofNewfoundland and Labrador and its federal counterpartinvolves a combination of new money and refinancing arrangements, and promises to reduce the province's cost of financing Muskrat Falls debt. The deal would keep electricity rates from almost doubling when the megaproject'spowerstarts flowing through the grid.

Government officials expected the mitigationdeal to be signed by Sept. 30, butthe InnuNation filed its lawsuit asking for an interim injunction to prevent that from happening.

InnuNation Grand Chief Etienne Rich had previously said the framework of that deal was createdwithout proper consultation.

"When the Newfoundland and Labrador government talks about collaboration there is no collaboration, because this is where we end up," he said at the time.

Rich also said he personally felt let down by Premier Andrew Furey.

"I thought I had a really good working relationship with the premier of Newfoundland.I told him to give us a heads-up if there's any talks about rate mitigation. In front of my face, he said no one had talked, and then sixweeks after this is what happened," Rich said.

It's unclear when the discussions may have started and if the Sept. 30 original deadline will be met.

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