Newfoundland and Labrador Premier Danny Williams says he is sorry if people are offended that he described Quebec politics as volatile.

In late September, Williams claimed the Lower Churchill hydroelectric megaproject would be a more reliable energy choice than newly proposed Quebec-based projects because of the volatile politics in Quebec.

Danny Williams says he apologizes if he offended people in Quebec for remarks he made about the stability of the province's politics.
(CBC)

"The more we can spread out our energy supply means that we won't be totally dependent on Quebec for energy — which, given the volatility of politics in Quebec, could be a very, very sensitive situation in years to come," Williams warned.

Williams also accused Quebec of trying to choke off Newfoundland and Labrador's access to larger energy markets, leaving the province with no way to move power from the Lower Churchill project.

Williams's comments caused a stir in the Quebec legislature.

In an interview with Radio-Canada Wednesday, Williams responded to criticism of claims Quebec was hoarding its transmission capacity for itself.

"If I have offended anyone in Quebec, I'm sorry for offending them, and I can state that quite honestly, quite sincerely, to the people of Quebec," Williams said.

Speaking with reporters Thursday, Williams said he still stands by his remarks, but reiterated that he feels sorry if people in Quebec were put off by his views.

Williams said he believes he can work out a deal with Quebec Premier Jean Charest.

"If there was ever an opportunity for two premiers who are friends … and have a mutual respect for each other to accomplish this particular deal, it will be myself and Jean Charest," Williams said.

"And I'm now saying, 'Quebec, work with us on this,' " Williams said.

Nonetheless, Williams said he is still investigating options for transmitting power other than across Quebec.

Earlier this month, Williams met with Charest, following the funeral for St. John's helicopter magnate Craig Dobbin.

Williams's government decided earlier this year to develop the Lower Churchill project by itself, rejecting bids including a joint proposal that involved Hydro-Quebec and the government of Ontario.

When developed, the project — which has been estimated to involve about $9 billion in construction costs alone — would generate more than 2,800 megawatts, or enough power potentially to supply 1.5 million households.

Quebec is not the only government whose agreement Williams will need. The Lower Churchill project will also require a loan guarantee from the federal government.

Provincial Liberals say Williams may have jeopardized that deal, however, because of recent criticism he has levelled against Prime Minister Stephen Harper over equalization.

Newfoundland and Labrador has had an often-bitter relationship with Hydro-Quebec, largely because of the Upper Churchill power development, which has delivered billions of dollars in profits to Hydro-Quebec.

Then-premier Joseph R. Smallwood negotiated the deal with Quebec in the 1960s for generating and marketing power from the Upper Churchill, the sixth-largest power project in the world.

However, as oil prices skyrocketed in the 1970s, the lack of an escalator clause saw Newfoundland and Labrador cut out of the increased prices Hydro-Quebec was able to charge to its clients.