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Former Mayor Of Ft St John Speaks Out On Kitimat

By 250 News

Saturday, March 08, 2008 08:34 AM

    
The Editor
Dear Sir
I’ve been pretty quiet since my public life ended a little over two years ago, but Carole James’ tirade against the government re:Alcan/Rio Tinto and Kitimat, together with your readers’ comments has stirred me.
It’s 2008, not 1950, and the world has changed a huge amount.  You can either drive the bus of change, ride the bus of change, or be roadkill - your choice.
For years I implored my good friends on Kitimat Council to re-think their approach.  Mayor Wozney et al rejected my suggestions then, and, I suspect, would still do so now.  The technology for making aluminum in 1950 was pretty rudimentary, and even those who had great long-term vision (like WAC Bennett) could not have forseen the massive changes since.
Consider the myriad of things that exist today that we never would have considered possible 58 years ago. Space travel, computers, the internet - the list is endless.  
However, one thing remains constant - there is still a world full of Luddites willing to smash machinery rather than figure out how to adapt and thrive.  What would you and your readers think that business  would think if their local government in any other community adopted an intransigent position to publicly ridicule and lambaste their largest taxpayer, use that self-same taxpayer’s huge tax payments to hire lawyers in a never ending litigation battle.  If that were to happen in Prince George, or Smithers or Fort Nelson - would anybody be surprised it that business and others were not only reluctant to continue doing business in that community - but in fact wrote off that community for greener pastures where their investment, jobs and taxes were appreciated?
Kitimat blames Alcan for the precipitous decline in their population and economy, while neighbouring Terrace, in spite of forestry woes, has done relatively well.  The citizens and leaders of Kitimat should be looking in the mirror - they have hung up a huge sign at their boundary that does not say "Welcome", but says - stay away - you can’t trust us - we’ll sue you using your own money.
Alcoa is currently fininishing off a massive aluminum smelter in Iceland, which will produce twice the volume of aluminum per unit of electricty as Kitimat - and with one-third the employee hours per tonne of finished product.  Is that unfortunate, that massive industrial labour pools are shrinking?  Of course it is - but it is what it is.  Get over it and be part of the solution.
Change - it is here, and will continue to be here.  You can curse it, or you can embrace it.  You can be an agent of change or a victim - your choice.  So sad that Kitimat has chosen to be a victim.

--
Steve Thorlakson

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Comments

I couldn't agree more with Mr. Thorlakson and in fact as a former member of council in Houston I have publically stared that fact on the record.
Alcan provides and drives the economy of Kitimat and employs a great number of the residents in the surronding area.i.e..Terrace,Thornhill s well. I for the life of me can't see why the people of Kitimat keep re-electing Rick Wozney. And we all know Carole James will say anything to get votes in Kitimat or any other community.Its time for Kitimats voters to move on and elect a mayor that will embrace change and deal with it on a more positive note.Work for the people to enhance the buiseness that exist and invite new ones to give people a reason to want to move there. If they could see somethink besides all the bickering (like the wonderful people and scenery) maybe things will turn around in Kitimat.
Perhaps we are all more fortunate that neither of you are representing members of your community. It is apparent that your blinders are on snuggly, you must be confident RTA will proceed with expansion. Why would RTA chose to compete against Alcoa's Icelandic venture and spend $2 billion when shutting down the smelter and selling power is a much more viable and profitable venture. Merely citing market conditions as a factor in the decision. RTA now has every right to do that without having to justify any reason. I commend Mayor Wozney's efforts, although fruitless against more powerful influences, at least he took the stand for the right reasons. Many people from Terrace are employed in Kitimat, question is for how long? Cowardice in Council is hardly a recipe for success. Stop driving around blind, someone will get hurt.
I agree with pisspulper. Thorlaksons post is just drivel. Alcan sees an opportunity to reduce their costs and increase their profits and that is what they will do.

Anyone who thinks that Alcan **Rio Tinto** cares about Kitimat or its workers is living in a dream world.

I support Mayor Wozney's efforts. At least he tried to make a difference, thats more than we can say for most Mayor's . If other Mayors had got off their collective fat butts and supported Wozney we might have had a different outcome.

This issue is much bigger and more complex than it appears on the surface. Where do these small town (Hamlet) Mayors like Terrace and Fort St John get all their information. I suggest from Newspaper stories, and information planted by Alcan.

Alcan got the elevator and Kitimat got the shaft. To think otherwise indicates a lack of understanding of the whole situation.
Amen to Palopu and pisspulper...the mere fact that mayor Steve is siding with one of the worlds best manipulators (ALCAN-RIO),says it all. The resources that we are talking about belong to the people of B.C.,however our government has chosen to sell out to ART without so much as a thought towards the future of the Northwest. ART has walked away with probably the largest gift that will ever be granted in the history of B.C. To all of the bureaucrates involved in this tragedy....I HOPE THAT YOU ARE PROUD OF WHAT YOU HAVE BESTOWED ON THE CITIZENS OF THIS PROVINCE. May you rest in peace.
I was going to make a comment regarding all the legalities of the whole saga, but it would be a waste of time because it would just "indicate(s) a lack of understanding of the whole situation."
Diplomat, I feel your frustration, all legalities aside, I consider the whole fiasco to be "Illegal". Nonetheless, Mr. Wobbleknees has spoken and as I had previously predicted, there is a delay in the announcement of an expansion, no surprise there!!
Dear Sir,
Congratulations to Mayor Thorlakson on his very sensible letter. It is indeed sad that the Mayor and Council of Kitimat have consumed around $3 million of tax payers' money on not one but seven court actions in order to conduct what is now seen by the majority of the town to have been a personal vendetta against Alcan by just the Mayor and the Municipal Manager with the willing support of a weak and complicit Council.
Some of your correspondents should understand that, far from the bleatings of Mayor Wozney and manager Hall, the company makes more money from smelting aluminium than from any putative power sales, and will make more in the future as metal prices climb. The nation (and the willing Council) has been misled by these two individuals.
Because power demands vary from hour to hour, it is neccessary to have a power 'float', which when not needed by the plant, can be sold down the line...after all it cannot be stored. This float has been magnified many fold by Hall and Wozney in order to justify their vendetta. Those reading your letters should know that, when the new smelter is built, only 40 MW on average will leave the Alcan power grid...enough to heat and light only half of Kitimat.
The citizens of Kitimat no longer support the Mayor (re-elected by a mere 1% of the vote at the last election), his Manager, or the Council. The town is looking forward to the 2008 plant rebuild with great excitement, and a brand new Mayor and Council!
Pisspulper, I have stated here ad infinitum that EVERY successive B.C. government (including the NDP) has purchased surplus power from Alcan (from almost day one) which was not used for smelting aluminum.

The very first time there was an attempt by Alcan to sell power the government of the day should have said: "Sorry, we can't buy any because we would be in contravention of the original agreement"!

The buying of power made it legal for Alcan to sell power!

No customer - no sale.

Hjpmills, interesting post! Looks like the upcoming municipal elections will not only be something worthwhile to watch in Prince George but also in Kitimat, a place I called home a long time ago!

Dear PP, The courts have clarified the intent of the original agreement for us all at the inistence of the Mayor of Kitimat, at the cost of its citizens, and for the benefit of all. Quite rightly, having risked the company for a huge project that even the government of the day were unwilling to tackle, the power, water lease having been paid, belongs to the company. When you buy a cabbage the same rules apply. If you were fortunate enough to own a waterfall in your garden, you too could sell electrons to the government. The fact remains that almost all of the current generating capacity of Kemano will be used at the new smelter...much less than with the old plant...so what's your point?
Hmm...hjpmills...I am curious as to how you can say that the citizens of Kitimat no longer support the mayor and council.

I, myself a former resident of Kitimat not that long ago, maintain ties with the community. You only have half-truths to support your argument.

Alcan has now moved from aluminum production to power production. They get our water resource with no strings attached. The reason Alcan remains in BC is because in Quebec they have to return payment to its citizens for use of the resource. Not in BC anymore. Seems they not only got the cabbage as you say, but the farm, the town and the province.

Diplomat, ppulper, giterdun and palopu have already stated my remaining comments on the issue.

Sounds to me like the former Mayor of Fort St John is seeking the public forefront again. Do your research before sounding off Steve!!
What's my point? First and foremost Mr Mills, as we all know your position on the matter, the fact that you are a, or were a medical practioner in this community, and now operate a B&B, who I'm sure makes a lucrative income pampering RTA unmentionables. For some reason you seem to assume to have data indicating that the majority of this town agreed that Mr. Wozney, Mr Hall, and City Council had a personal vendetta with RTA. For a so called educated person, that is a very bold accusation to make. As a small business owner, you will be the one of first to feel the brunt of RTA's decision on smelter expansion or lack thereof. Mr Diplomat, I am also quite clear on your assessment of the matter. I do not agree with your position at all, the agreement was coming to a close and RTA took the opportunity to manipulate the matter in their favour. I'm pretty certain if the citizens of BC were invited to referendum this manouver, the outcome would have been the opposite. So my point Mr. Mills is, it certainly will be in your favour if RTA choses expansion. But should they chose to sell power, would you please come back to Opinion 250 and profess your love of RTA/BC HYDRO with the same adoration you have for those who fought the battle to stop it.
Dear PP and tinycock, You both seem to be completely out of touch with the latest opinions in Kitimat. "Alcan has now moved from aluminum production to power production" is complete and utter rubbish. Come back to Kitimat and spend a little time and effort to find out opinions of those that work in the plant and live in the town. Lets wait and see. When its quite obvious, even to yourselves, that Kitimat's day has come, perhaps you'll both agree that you owe me a beer. You should also understand, if you don't already, that small business is the engine of communities such as yours and ours - absolutely vital to the future of the Northwest...including even modest B&Bs.
Educate yourselves...Kitimat is eager for the modernisation. It will bring economic fortune to the whole of the NW. What can you possibly gain by opposing the it?
Re: Kitimat council
I think it was an article in the Terrace newspaper this summer that mentioned the proposal for an alternate highway from Kitimat to Smithers or Houston and the fact that it was "relunctantly" supported by Kitimat council as they "didn't really see a need for it". After all the recent highway closures you think an alternate route "just in case" as well as the tourism advantages, this would be a good idea. Why would you not heartily endorse another route, or even champion for it. When I questioned one of the locals, their reply was that council could not see past the edge of town....they were living in their own little world. If that is their attitude they will not understand that everyone has to be competitive in a global market and that they are competing with the rest of the world for a piece of the pie.
"You both seem to be completely out of touch with the latest opinions in Kitimat."

I have lived in Kitimat for 38 years now, love it and hopefully will never have to leave. But I have yet to find the gathering place where such positive opinion of the future of this town is being discussed. The population has almost shrivelled to half of what it once was. Mainly due to the downsizing by its largest employers. Perhaps your opinions are from those who are thankful they still have work at Alcan-Rio Tinto. Neither CEO Mr Albanese or the Magical Mr. Henning have confirmed any expansion for the smelter, I'm positive when they speak, they represent RTA. What they have confirmed is engineering and feasibility assesments are in progress. What they also have confirmed is that the process is being delayed and this decision could be delayed further. Spend a little more time researching RTA's global ventures, Power sales IS part of the package. I'm not against Modernization and do wish it will come to fruition. The small businesses will have a few good years, within the decade RTA net emloyment effect will be -400 or worse. Sounds appealling, yet I'm an optimist, perhaps not. Been here long enough to realize the many empty promises. We do have a beautiful underutilized coastal port town. I wonder who stagnates the growth potential?


Do you all expect a large company like Alcan to loose money for the sake of on community? Do you expect CN to do the same. How about HMC in Quesnel. Why should they do any more than the minimum required by the contract.
If you want low cost, privatize. If you want top quality service that will take a loss to sustain or promote the community then we need WELL RUN ( no partisan BS) crown corp's.
In some US cities, the local Fire Departments bid against private contractors for ambulance services, and win. But these are well led and driven people who just got tired of seeing the crap that was passing for EMS services.
gitterdun:"If that is their attitude they will not understand that everyone has to be competitive in a global market and that they are competing with the rest of the world for a piece of the pie."

That pretty well sums it up.

"It is indeed sad that the Mayor and Council of Kitimat have consumed around $3 million of tax payers' money on not one but seven court actions..."

The lawyers made a lot of money on something that may have been a futile effort from the start.

One positive outcome: Now everybody knows precisely where they stand.



Posted by: hjpmills on March 8 2008 9:13 PM
Dear PP and tinycock

Dr Mills, shame on you!! :0
Good point...Typo late at night...Multi-tasking causing probs!...But why not use the name mothers gave you?
The names my mother calls me are inappropriate for this forum :)
Yup I can believe that...LOL
I want Mr. Thorlakson to move to Prince George and run for politics here. Why doesn't someone start a fund to lobby him to do it. I'm good for fifty bucks.
- Guyle Nunweiler
"tinyapplecork : I, myself a former resident of Kitimat not that long ago, maintain ties with the community. You only have half-truths to support your argument."

Well you aren't the only one, so pay attention

I was born and raised in Kitimat, my family all worked at Alcan, my father, mother, brother, my uncles, my friends (many of whom are still there). And now, all of my family has left our "home". We filled the schools, the churches, attended events at Tamitik, shopped as local as we could even though we were bent over barrels attempting to "support" local retail, considering 60km's down the road we could save a great deal just on our school supplies. To suggest that the reason we all left is because is downsizing at Alcan or eurocan, or the closure of what was once ocelot or methanex is what I'd expect to hear, its standard Kitimat, and as per usual, only half of the story.

I go home and drive past that giant ALUMINUM snowflake often, my wife still has family there, and of course our friends are there...so when i hear you suggest that the people of Kitimat, as a whole no less, have a positive opinion of the future, you're either living under a rock and only coming out at low tide, or a fool.

The problem with Kitimat, is the reason many of us left. This feeling of "entitlement"...like the world owes you a favor. Any employee of Alcan should feel damn lucky they have a job when other communities truly suffered with no other industry at all. What were you doing when the Mill closed in Prince Rupert and the bottom fell out of the fishing industry. When there was no Coal or Grain at Ridley Island. Where were the people of Kitimat? They were buying new trucks, faster sleds, boats and whatever toys they could cram into their driveways...all the while screaming up and down that they deserved more.

My next statement is about the vocal majority and not the few...Kitimat is a beautiful little city, and will always be my home...what a pity about the people.
The arguement that Alcan only wants to sell power will only hold true if the existing powerline between Kitimat and Terrace is twined or upgraded. The existing line cannot handle anymore power flow than what Alcan already sells. If you see these changes ever happening, then wonder whats up.
Greenmountainman seems to suggest there is a possibility that Alcan would ever lose money at the Kitimat smelter, old or new.

It has been one of the cash cows that Alcan prospered on decade after decade. Its "earnings" have paid for expansions and new developments around the world, while Alcan invested only enouugh in the smelter to keep it operating...

Not long ago Alcan was "prepared" with a business plan to retain profitability with aluminum at just ofver $1300/tonne...now it is double that and Alcan, I'm sure, continues to make a healthy profit out of Kitimat.

No, what we expect from Alcan, RTA, Billiton, Alcoa, or whomsoever will continue to earn huge profits from the current power deal with the British Columbia government, based on the provision of the lowest-cost source of power in the free world, provided by the B.C. taxpayer) is simple -- a demonstrated realistic and visible follow-through of all of the promises and declarations of commitment over the past 50 years...but more so of the past five years.

The "winning conditions" are all in place, where's the beef?

People are now inured to the endless delays, to the repeated assurances of a future while the community crumbles. Now all we want is to see action...but no one is holding their breath.

Alcan fought tooth and nail to prevent the simplest thing, a ruling on the meaning of the 1950s contract, why?? Because it takes time and a great deal of money to organize an acquiescent government.

Without an axe to grind, I suggest, if winning conditions (as explained to us all) are now here, live up to the repeated comitments.

The community will rally and the lost jobs will be recovered...by new opportunities.

"Alcan fought tooth and nail to prevent the simplest thing, a ruling on the meaning of the 1950s contract, why?? "

Anyone who thought that this was a simple thing has never thought about how long lawsuits and appeals predictably take, always.

One wonders who initiated the very first lawsuit and all the other time consuming lawsuits/appeals that followed?

Didn't all these cause a delay in the project to expand/refurbish the old smelter?



Nessy said, "I want Mr. Thorlakson to move to Prince George and run for politics here. Why doesn't someone start a fund to lobby him to do it. I'm good for fifty bucks."
We already have him here in spades. His/her name is the mayor/city council.
So what's wrong with a company such as Alcan selling hydro power? I much prefer the private sector doing energy development than the government.

If the price of lumber is in the tank sawmills sell more chips instead of more boards. They have the right and freedom to sell what they make most money at. If a company invests to develop hydro powere they should be able to sell the power instead of aluminium if they make more money doing it.

Is there some theological reason people freak out if a company sells hydro power? Are we offending the water gods?