The following text may have been generated by Optical Character Recognition, with varying degrees of accuracy. Reader beware!

The Ontario-Quebec agreement on power. and the Government's mo. tion to name a select committee on labor, provided the Legislature with two controversial issues yesterday and last night. The power agree- ment, which provides for develol). ment of power sites, on the Ottawa River, was branded a "sell-out" by Opptveition Leader George Drew, who charged there was a hidden agreement favoring private power interests in Quebec, This was de- nied by the Government spokes- men. The labor motion was approved hy a vote of 48 lo 15, the House dividing on the Opposition's appeal against the Speaker's ruling. The same vote was applied to the main motion to name a select committee of nine members. Acting Speaker Roland Patterson ruled two Oppo- sition amendments out of order on the ground they sought lo delegate powers of the Legislature to persons outside the Legislature. Premier Conant this afternoon will announce the names of the five Liberals and Col. Drew will name the Progressive Conservative members of the labor committee. Speaker James H. Clarke of Windsor will be chairman. Declaring that he did not believe the agreement "is worth the paper it is written on," Opposition Leader George Drew charged that the On. tario-Quebeq agreement for develop- ment of power on the Ottawa River constituted a "sell-out of Ontario's interests to the private companies of Quebec." The sudden attack delivered by Col. Drew came during a compara- tive lull while the House was con- sidering the agreement in com. mittee. The poncr agreement was report- ed ahortly after the flareup. and will Lr' given third reading this afternoon. Lieutentant - Governor Albert Matthews will visit the "I wish to dissociate this Govern- ment from any report which may go out of this House that an agree- ment entered into in good faith may he subject to repudiation in the future," protested Premier Conant. "You dislike the term repudia- tion I'" interjected Col. Drew, "lt that principle prevails. busi- ness between Governments cannot continue," retorted the Premier. "A lease for 990 ycars can't he termed anything but an outright grant," declared Col. Drew "I am absolutely satisfied that no Govern- ment which follows this will ever be bound by law to recognize it as a lease or a binding grant. We ate dealing away the property of On- tario, which the B.N.A. Act does not permit." Chamber to give Royal assent to this and other moasuros and the House will debate a motion to ad. journ. Labor tis/tHiott Passed; Power Bill Is Disputed Speaker Will Head Select Committee-Drew Hints 'Hidden Agreement' in Hydro Deal "Nothing of the sort," replied the Premier hotly. "This is simply a continuation of the way things are being dealt with," asserted the Opposition Leader. "The area involved is an area where pri- vate companies have been for many years, and I am not at all sure that . their rights have been extinguished. l We are not seeing the whole deal by v a long shot. I am perfectly satisfied 2 that there are hidden agreements :now in relation to the power. We (have followed the principle of pub- lic ownership in Ontario and we have no right to hand over resources for possible development by private I interests. "My honorable friend does not mod to take umbrage," said Col. Drew. "My remarks, which I in. 'tended to make as scornful as pos- sible, were not directed at you or "he. Hydro Commission. I don't. be- lieve you know all the facts. Have 1you any understanding that. there lwill be no private development of Ile,' power sites once Quebec gets them?" __ _ "No Government will repudiate a bargain made in good faith." Hints "Hidden Deal." . "This is a new profession of faith on the part of Premier and Attor- noy-Genoral," said Col. Drew. "This is a sell-out of Ontario's rights to private interests, and the Premier knows it." "lsn't there a deal on now to turn may the power rights to private in- terests?" demanded Col. Drew. "Nothing of the sort," countered Mr. Conant. "Any information I have is exactly lo the contrary." "Without entering into the merits of the power agreements repudiated hy the Government, those contracts were the finest things that ever happened compared with this bill which barters away our rights." The Opposition Leader said he be- lieved there was a hidden agreement which would put private companies in Quebec in control of the power once the agreements were consum- mated and the Province of Quebec obtained the sites. Denies Hidden Agreement. W. L. Houck, Hydro vice-chairman, entered the argument with a warm protest. against Col. Drew's charge that there was a hidden agreement in existence. He denied that there was anything underhand and de- clared that the most capable law- yers obtainable had worked for months on the details of the agree- ment. "II, is an insult to Ontario and to the Province of Quebec to say, in effect, that this agreement won't hold water," declared Mr. Houck. "I want to pay homage at this time to the splendid, whole-hearted co- operation of the Province of Quebec. They even went so far as to sign the agreement in the English language." ;'f-- have nothing that would in- FEBRUARY " idivalo any such thing," retorted isz Hourk. "I have implicit. faith gin the character and ability of Dr. iHogg. one of the outstanding en- ,ginners on the continent." lHophurn Enters Discussion. Mr. Hepburn entered the debate when Col. Drew questioning pos- sibility of development of Ontario waters leased to Quebec by private interests, demanded to know if there was any assurance that rights "ex- linguished" might not be "revived after the deal." "Have you any undertaking from Quebec that they will not develop waters in Ontario by private in- terests?" Col. Drew asked. "If he knows of a skeleton in the closet bring it out," replied Mr. Hepburn. Col. Drew repeated that either the Premier or the Hydro Vice-Chair- man or some one who knew should say if there was "any undertaking that the water won't immediately be turned over for private develop- ment and possible export of power to the United States." In addition to 1.900 acres of land that. will be flooded on the Ontario side of the Provincial border, in connection with the Carillon power development. another 4.600 acres in Ontario will be dealt with in this manner, W. L. Houck, Hydro vice- chairman. told the Legislature. Eight thousand acres will be flooded on the Quebec side, Mr. Houck tutil "What strings can we hope lo tie lo their development?" asked Pre- mier Conant. Col. Drew urged that, since Ono tario was putting up $50,000,000 of the $100,000,000 for the new 1.200.- 00 h.p. development on the Sague- nay because the Saguenay develop- ment was a war necessity, then, it the Ottawa River plan was also a war necessity as claimed, it should be treated likewise and Dominion funds. "ot which we again pay half," should be devoted to it. "We were told about the 1,900 acres, but nothing was said about 4,600 acres more," declared Opposi- tion Leader George Drew. "A plan was presented to the members showing where the 1,900 acres were, but. there is no plan concerning the 4,600 acres. What provision is be- ing made for possible damages in that area? The Legislature should not be asked to pass on such an important matter without the full- est information." The discussion arose during the committee stage on the Ontario- Quebec power agreement. Col, Drew insisted that the Government had failed to define the status of the Ontario residents now residing in areas to be leased for 999 years to the Province of Quebec. He described them as "subtenants of Quebec." Premier Conant said equitable compensation would be paid to resi- dents who would be forced to evacu- ate from the territories involved in the agreement.