| Beginning An Era of Renewed Relations Between Maine
& New Brunswick, Canada

Clearly
pleased with the new cross-cultural partnership, Gov. Baldacci and Premier of New
Brunswick Graham signed an agreement to form a partnership and analyze the legal,
technical, and environmental implications of sharing power across the border.
By Ramona du
Houx
"This
visit begins a new beginning where we can work together for the opportunities for all of
our people," said Governor Baldacci, addressing New Brunswicks Legislature.
"We live in a rapidly changing and expanding global economy. This new economy
necessitates that we work together regionally for our mutual benefit. By working together
on issues such as education, tourism, economic development, and energy, we will greatly
benefit the citizens of the entire region."
The governor
was in Fredericton as the honored guest of Premier Shawn Graham on February 21, 2007. It
was the first time in history that a governor from the state of Maine addressed the
members of the New Brunswick Legislature. The two then visited Saint John, where Baldacci
was guest speaker at the Saint John Board of Trade and Enterprise Saint John luncheon.
"Already
we have the collaboration between the sister cities of Bangor and St. John. They have
focused on regional investments establishing trade partnerships and are committed to
regional growth and prosperity. Now they are exploring a possible Bangor-St John trade and
growth corridor to enhance these efforts," said Baldacci.
"Maine and
New Brunswick are both rich in natural resources, which can be harnessed for clean energy.
We both want to ensure we pay competitive prices for electricity; we both are producers of
an electricity surplus; and we both are committed to reducing carbon emissions that stem
from electricity generation that contributes to global warming. Together we can expand the
clean-energy market, reduce carbon pollution, all the while creating new jobs and
increasing the production of a clean, environmentally responsible product we can export to
both countries."
Shared
priorities in education, economic development, and energy first brought the two leaders
together in February, in Maine, where they signed two memorandums of understanding (MOUs).
One MOU is designed to enhance the mutual benefits of the Maine/New Brunswick electrical
interconnections; the other is to enhance educational opportunities for both
jurisdictions.

Business
leaders, workers, dignitaries and government officials who helped make the memorandum of
understanding for electrical power sharing possible pose with Gov. Baldacci and Premier
Graham.
Electricity
without borders
The MOU energy
agreement, signed at Eastern Maine Community College, sets out specific areas where the
province and state will work together to explore areas of collaboration and potential
options for more efficient utilization of their electrical systems.
"Governor
Baldacci called me the day after his reelection. Weve been talking at length ever
since then. Im excited to be here to lay the groundwork and to increase and
strengthen the cooperation between the state of Maine and our province of New
Brunswick," said Premier Graham during his visit. "There is much to share and
learn from the similarities between our two jurisdictions. As geographic neighbors, there
is much to learn about our economies and our place in an era of globalization. As
neighbors we share common cultural and demographic ties of families and communities. We
both are diversifying from natural resource-based economies today. We both have a mix of
both urban and rural communities."
"We, in
the state of Maine, recognize the importance of being energy independent for national
security reasons, economic development, and job opportunities. Ive committed Maine
to my Apollo initiative," said Governor Baldacci. President John F. Kennedy
challenged the nation to put a man on the moon when he was in office. Within ten years the
goal was completed. Governor Baldaccis challenge to Maine is to make the state
energy independent in ten years.
"Ive
talked more on the phone to Premier Graham in the last four months than I have to any
other premier in the last four years," said Baldacci. "Working together we are
moving our region towards the goal of becoming self-sufficient with renewable
energies."
"In New
Brunswick we have set a goal to become a self-sufficient province. We recognize our
government cannot reach this goal alone; its going to take strong
partnerships," said Graham. "One of these key partnerships is New
Brunswicks relationship with the state of Maine."
Maine exports
some of the energy it produces to other New England States. Because of the ISO New England
agreement, Maine is forced to help out other New England States with their electricity
needs. As a result Maine consumers are paying transmission and capacity costs for other
states in New England. It costs Maine $100 million a year to help power Connecticuts
electricity consumption. The governor and the Legislature requested that the Maine Public
Utilities Commission (MPUC) study alternatives to the ISO, when the ISO decided to
increase the costs to Mainers further. The MPUCs January report said the additional
cost to Maine ratepayers for staying in the ISO grid would be as much as $616 million over
the next five years. The study also found that there are no legal, economic, or technical
barriers to pursuing an electricity partnership with New Brunswick as an alternative
electrical resource.
"One of
the two areas of concern that I run into the most while talking to businesses across the
state is energy; the other is transportation. We cannot accept a proposed electricity rate
increase of 30 percent over the next four years that the ISO has put before us. We only
had one option before today with the ISO, now we have two," said the governor.
"Maines current arrangement with the ISO-New England presents a number of
inequities. By joining with New Brunswick we now have choices, and hopefully we will have
stability with our eclectic bills."
Maines
electricity demand peaks in the summer; New Brunswicks in the winter.
"This is
and opportunity to explore options from ISO New England. This is also an opportunity to
explore new relationships in order to bring renewable energy in from Canada," said
MPUC Chairman Kurt Adams. "Canada is rich in renewable energy, rich in hydropower,
and they are looking for partners. This is the beginning of a dialogue on how to bring
non-carbon-emitting resources to Maine. Its very exciting. The governor is showing
great leadership."
The state has
been working with Central Maine Power Co., Bangor Hydro-Electric Co., and other parties
involved to generate good negotiations. As a result CMP and Bangor Hydro are open to
exploring the possibility of transporting and distributing power to and from Canada.
"Were
going to focus on this as a process and offer all our resources to it," said CMP
President and CEO Sara Burns.
Verso paper
mill in Bucksport representatives were also at the signing, offering their support for
Maine partnering with New Brunswick. Electricity costs at the mill are one of their
largest expenditures, and they believe rates will decrease with this borderless
electricity exchange.
"Increasing
access to the New England electricity market is a key requirement for New Brunswicks
generation expansion agenda. Improving efficiencies of our electric systems should benefit
consumers and the environment, for both New Brunswickers and Mainers," said Graham.
"This is a win-win situation for both jurisdictions. Its the first step to
providing prosperity for our citizens on both sides of the border."

Directors
of Maines community colleges discuss the additional programs students can enroll in
at community colleges in New Brunswick at no extra cost.
Community
colleges expanding horizons
Graham and
Baldacci also witnessed another important collaboration milestone between the Maine
Community College System (MCCS) and the New Brunswick Community College (NBCC) during
Grahams visit to Bangor.
Dr. John
Fitzsimmons, president of Maine Community College and Michel Thériault, assistant deputy
minister and CEO of New Brunswick Community College, signed an agreement highlighting
their mutual interest in providing excellent service to their students and the communities
they serve. The MOU identifies how they will share knowledge, experience, and resources in
pursuit of this objective, and enhance options for the mobility of students between the
colleges. The MCCS and NBCC share many challenges and opportunities as regional systems
having a mix of urban and rural campuses. They both operate in similar economies, with a
combination of centralized and decentralized functions.
MCCSs
enrollment soared by 47 percent since the governor introduced the system.
Students from
NBCC and MCCS will now be able to take courses at campuses on both sides of the border.
The agreement will make it possible for Maine residents to enroll in programs that are not
currently available at Maines community colleges, like international business,
international tourism, vocational forestry, and agriculture. It will also open the doors
for Maine residents to study at one of the five French-speaking institutions in the
province.
"As a
result of this collaboration, we will be able to offer about 50 brand-new programs,"
said Fitzsimmons. "Its a wonderful opportunity for us to create new
opportunities for our students at no additional costs."
"I am
encouraged by the opportunities to learn from each other as we expand our community
college system to meet the needs of a growing and diverse population," Governor
Baldacci said. "Its wonderful that students at community colleges, both sides
of the border, can exercise this option. It adds to their overall education, their
resumé, and it gives them an international studies portfolio, which gives them a step up
in marketplace."
"We are
also excited about creating more opportunities for students and faculty through the
collaborative work of the community colleges," said Graham. "These new
agreements demonstrate the spirit of partnership and cooperation between the state of
Maine and the province of New Brunswick."

Premier
Graham and Governor Baldacci at a press conference in New Brunswick after the governor
addressed their Parliament
Future
collaborations
The premier and
governor had opportunities to engage in private discussions north and south of the border,
focusing on issues of common interest, including energy, education, and the economy.
"Ninety
percent of our exports from New Brunswick went to the U.S. last year; 20 percent of that
went to the state of Maine. New Brunswick is the most trade active of all Canadian
provinces today," said Graham. The state of Maine has a key role to play in the
transfer of those goods."
"When we
go on trade missions overseas, it would be better to represent the New England, Maritime
region," said the governor. "Working together promoting the region will be more
beneficial for the entire region."
Graham and
Baldacci also noted their ongoing partnerships in joint marketing initiatives in the U.S.
market to encourage visitors in Maine to continue on to New Brunswick, and to entice those
who have visited in the past, or planning a first visit to Maine, to be intrigued by the
concept of a "two-nation vacation."
Significant
upgrades to infrastructure at the major international border crossings in
Woodstock-Houlton and St. Stephen-Calais will be completed in the near future, prompting
further tourism and economic development efforts on both sides of the border.
The leaders
discussed the LNG natural gas terminal transportation issue. Graham said that his region
already produces LNG gas, but in this instance he is concerned about the shipping. Both
leaders are committed to the decision the Federal Energy Regulatory Commission will make.
Graham and
Baldacci have been in close contact over the shortage of propane that Maine experienced
because of rail strike in Canada, where Maine receives most of its supply from. "The
premier has been very helpful and understanding," said Baldacci.
They also spoke
about the Western Hemisphere Tourism Initiative (WHTI) ruling, which requires all
travelers entering the U.S. to carry a passport. They highlighted the importance of having
the proper technology and infrastructure in place at the Maine-New Brunswick border prior
to the implementation of the travel document requirements for land crossings. Three
Canadian premiers intend to make a formal complaint to President Bush about WHTI.
Overall the
discussions were positive and the leaders agreed on a wide array of issues.
"The
education, cultural, economic and business foundations that we are building are
exciting," said the governor. "This is the beginning of a relationship that
holds great promise and a brighter future for Maine and New Brunswick."
"A Maine poet, Henry
Longfellow, once wrote that a good conversation is worth more than ten years of book
learning. I have greatly enjoyed the conversations that Governor Baldacci and I have had.
Im looking forward to continuing to work together," said the premier.
"This begins a new era for New Brunswick working together with Maine."

Premier Graham and
Governor Baldacci in the Premier's office in New Brunswick
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