Ottawa putting new stipulations on CETA deal, Paul Davis says

The Premier of Newfoundland and Labrador says the federal government is putting new stipulations on its contribution to a $400-million fisheries fund.

Premier Paul Davis announcedTuesday "we have a deal," and the province would be calling on Ottawa to "deliver on its commitment" of $280-million.

• Paul Davis less worried about CETA deal, after talk with PM

Davis' comments were partly eclipsed by confusion about how or even if he would present the case directly to Prime Minister Stephen Harper.

Davis told reporters on Tuesday afternoon that hewouldmeet with Harper in Ottawa on Wednesday to finalize the deal, and added that without such an agreement, the province wouldhave to reconsider its support forCETA.

However, a spokesperson with the Prime Minister's Officelater said thatHarper will beout of town, and thatthere is "no planned meeting" between Davis and Harper.

Later, Davis' office said it was toldthat a meeting would have tobe rescheduled because the prime minister is attending the funeral of hockey legend Jean Bliveau.

ThePMOsaid Harper is "certainly open to meeting" with Davis in the future.

Last year, the federal government announced it would give the province 70 per cent ofthe CETA fund.

According to Davis, the federal government now only wants to provide compensation for elimination of minimum processing requirements.

If that compensationcosts the provincial government less than $280-million, the federal government would be able to use that money for other provinces.

But Davis said dropping theminimum processing requirements (MPR) for European markets in exchange for federal money isa corner stone of the deal and he has no intentions of giving them up without an investment from Ottawa.

"We clearly have a deal here," Davis said, adding the new stipulationsare not in line with previous talks about the fund.

'Never a blank cheque'

Meanwhile, Rob Moore the minister responsible for ACOAand Newfoundland and Labrador's representative in the federal cabinet said settling the details of theMPRfund remains a goal of the government.

"The MPR fund was created to compensate for anticipated losses from the removal of minimum processing requirements," Moore said.

"The fund was never intended as a blank cheque that would give the industry in Newfoundland and Labrador an unfair advantage over other Atlantic provinces."