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Lethbridge Herald, The (Newspaper) - May 23, 1974, Lethbridge, Alberta Pefro hassle has familiar ring EDMONTON The familiar strains of East- West discord were heard agin this week as Alberta and Ottawa continued to vie for control over development of massive petrochemical projects. Alberta Premier Peter Lougheed struck dissonant notes last week when he announced his government's opposition to a proposed Petrosar Ltd. petrochemical plant in on the grounds it would hurt Alberta. S- Federal Energy Minister Donald Macdonald struck g back Tuesday when he told a news conference in the plant would be built in Sarnia on schedule. The federal government would use its export- licensing powers to lever Alberta into cooperating in S the supply of resources to the Sarnia he said. x Canada's petrochemical using Alberta's natural has been centred in Sarnia and Montreal. Premier Lougheed says he does not want to cripple existing plants in the East dependent on Alberta for raw but the proposed Petrosar x development works against regional economic de- velopment. x Petrosar is a consortium headed by the federal Crown corporation Polysar Ltd. whose entire Canadian operations have been located in Eastern Canada V In a 30-minute speech to the legislature Mr. Lougheed also said the Alberta government fully endorses the planned Alberta Gas Trunk Line- Canadian Industries Ltd. petrochemical plant that would be based in the province. g' Premier threatens And in the case of a third a proposed petrochemical plant to be built in Alberta by Dow Chemical and Dome Petroleum the premier threatened to withdraw continued support if too much of the production is shipped to Eastern Canada for processing. The province wants to start creating thousands of jobs through processing petrochemicals and using them to make numerous plastic-based products. Premier Lougheed emphasized Thursday that Alberta must seize the opportunity to diversify its economy. He admitted that although he is opposed to it would be difficult to stop the development if the federal government chose to forge ahead. The plant will depend on Alberta crude oil for the manufacturing of and the province has little say over exactly where oil goes once it is shipped out of Alberta. But he questioned the establishment of another petrochemical plant in southern area with the highest income levels in He noted that advice to the provincial government indicates Canadian market cannot absorb three new one-billion-pound-per-year ethylene plants in Canada all coming into production at approximately the same Ethylene is the key petrochemical in the manufacture of plastics. Amends position The provincial government amended its position on the Petrosar project slightly Friday in the face of opposition saying it would reconsider its objections to the proposed development if the oper- ation was moved to Alberta. That stand immediately won support from industry ministers in all the western provinces. The Lauk of British Kim Thorson of Len Evans of Manitoba and Fred Peacock of a prepared statement condemned what they called on the part of the federal government. They told a news conference the petrochemical dispute between Alberta and Ottawa- is another example of why the western provinces should team up. the Alberta premier's comments about continued government support to the Dow-Dome project caused a flurry. The provincial government two years ago supported the which called for a world-scale ethylene plant in Alberta with about a quarter of its production to be made available to Alberta industry. But the government last week put conditions on that support because of what Mr. Lougheed described as series of events initiated by the federal government that could permit the diversion of the ethylene ship- ment away from non-competitive eastern United States markets to the Canadian market in important condition of continued Alberta government endorsement and authorization of the Dow-Dome project is adequate assurance from the federal government if a major portion of the exported ethylene is diverted and held back in Canada as a result of federal regulatory then the processing should be undertaken in Not acceptable Mr. Macdonald said Tuesday that condition was not acceptable. It would have the federal government or the National Energy Board restricting the flow of ethylene or ethane into Eastern Canada for processing and the government or NEB could not that kind of end-use condition on a he said. In a joint statement released by Dow Chemical and Dome Petroleum said Dow will build a large plant to produce ethylene in Canada even if it does not get approval from Alberta. In officials of the two companies told a news conference they are prepared to relocate the proposed ethylene plant. Dow Chemical and Dome Petroleum are partners in the project to build a petrochemical complex and a pipeline system between Alberta and Sarnia. Bill Dome executive said the group has beyond the point of no in planning for construction and that alternative sites and plans are available if needed. He would not elaborate on the although Nova Scotia's Strait of Canso area was mentioned as a possibility. The two companies said they fully endorse the position of the Alberta maximum upgrading of Alberta resources be done within the province. LMH attacks mental health complacency By GEORGE STEPHENSON Herald Staff Writer The Lethbridge Municipal Hospital Board lashed out Wednesday at the province's head of mental health services for suggesting there has been no local initiative in planning mental health services'here. Reacting to the made by Charles Hellon and reported in The Herald May the board decided to write a letter to Health Minister Neil Crawford saying the board disagrees with Dr. Helton's claims. Dr. Hellon said he has enough trouble getting local proposals for mental health centres without being accused of interfering with local initiatives. Scott head of psychiatry at many proposals have been made to the government that have not even been commented on by the minister. The former local mental health planning council sent a report to Mr. Crawford in including mental health service recommendations and requests for guidance from the government. The which has not met since the report was still has not received a reply to its Dr. Angus said. Although the council was not directly linked with the the main body of the report centred on the needs for out-patient and day-hospital treatment for psychiatric patients in LMH. The report also included requests for more specialized staff. It proposed the operation of Raymond Home and Claresholm Centre be governed by a local he said. There has been little reaction to these proposals and the total funds allotted the psychiatric ward at LMH have totalled only he said. Hospital Administrator Andy Andreachuk added the government has reacted unfavorably to most proposals made by the hospital for new health care programs. The hospital made a skeleton proposal in for additional funds for a psychiatric day care program which was rejected outright by the government's hospital commission. this has been true for any proposals made from this area since 1965 except for things that benefit the whole Alberta health system. But it is not for a lack of he said. Mr. Andreachuck added the hospital board should still argue the in the 1969 Blair Report on mental health that Alberta Mental Health Services should be disbanded and total health care put under one group. He was reacting to a report that mental health services have acquired to put into operation a day care facility it is organizing in Lethbridge. Trustee Prank who is also a member of the board designing the day care said the day care group was told money for the project would be coming from the Alberta Hospital Services Commission. is a direct reversal from previous statements by the which said money for mental health must come from mental health he said. Board Chairman John are told by the government that the commission doesn't fund mental health yet we only submit a budget to them and anything we propose in mental health is cut out and around and around we To add to the irate discussion it was mentioned Dr. Hellon had said the province is waiting for a clear-cut proposal for a day hospital in Lethbridge. Mr. Andreachuck said although Dr. Hellon has also claimed nothing will be forced on local boards is every .indication in this day care program that they The Lethbridge Herald VOL. LXVII MAY 1974 10 Cents 52 Pages NFU lashes new feed grains policy GAS PRICES TO STAND Herald Legislature Bureau EDMONTON The government repeated its stand that there is no need to interfere with gasoline prices in answer to Opposition questions Wednesday. Price surveys show the price of a gallon of gas ranging from 44 cents to 67.9 cents in the province. important thing is that the consumer has access to a 'competitive Gordon provincial said. Consumer Affairs Minister Bob Dowling said it was difficult to assess what the price levels should be. REGINA The federal government announced a permanent feed grains policy Wednesday that both removes and adds to power once held by the Canadian Wheat Board. The announcement extends an interim policy announced last creating an open market for domestic feed allowing buyers from outside the wheat board region to deal directly with feed grain producers. Others could continue to deal with the wheat board. The board formerly had exclusive jurisdiction over inter-provincial marketing of feed grains. But Wednesday's announcement by Otto minister responsible for the wheat gives the agency greater powers than it held under the interim policy. The new effective Aug. gives the wheat board power to set quotas for delivery to elevators of feed grains that it is not buying. The board now sets quotas for its own purchases. This was in response to complaints that an open marketing system could seriously congest prairie elevators. Roy president of the National Farmers' criticized the policy for stripping the Canadian wheat board of its pricing and marketing functions for domestic feed grains. At the same Mr. Atkinson a tremendous degree of power has been transferred to the private trade and corporate industrial integrators across Canada. Mr. said the wheat board very strong and in complete control of the orderly marketing The new policy would provide equitable feed grain prices across the give farmers a choice of where to sell their grain and make the livestock industry he said. The last said the justice would give livestock producers better returns while lowering consumer prices in the long Mr. Lang's policy statement --also confirmed two announcements made last August. These consisted of a price guarantee for producers who sell feed grains outside the a federal subsidy for grain storage and expanded powers for the Canadian livestock teed board to enable it to protect the interests of feed grain buyers from outside the board region. Mr. Lang said it would not be fair to continue to allow only people in the wheat board region the prairies and part of British Columbia to be the only ones to have an open market system. Eastern livestock producers had criticized the traditional system which did not restrict sales within provinces but required all inter-provincial sales to go through the wheat board. The system was changed last year to allow free trade within the entire wheat board system. just extending that principle Mr. Lang said. Mr. Atkinson said Mr. Lang's pretensions of providing producers a choice in marketing either to the wheat board or on the domestic open market was sick grain producers want is the best-price for the product and that can only be achieved through effective control and management of supply by a central selling agency working in the interests of farmers as the board has been he said. Ulster concession said trick BELFAST Protestant extremists continued a paralysing general strike re- jecting a government con- cession as confidence The Northern Ireland execu- headed by Brian announced Wednesday it will postpone for at least three years handing over any legislative powers to an all-Irish council. The strikers fear a strong council would drive Ulster into union with the predominantly Roman Catholic Irish republic. Faulkner announced a delay in other provisions of the agree- ment that set up the council. 100 per cent NEW YORK India did not use a single ounce of plutonium produced from any Canadian-assisted or American-assisted atomic plant in the successful test of a nuclear device sajs Triloki Nath India's ambassador to the United States. In an interview at India House here the ambassador said the nuclear exploded more than 300 feet was a 100-per-cent Indian effort. Canada announced Wednes- day that it is suspending all shipments to India of nuclear equipment and is ending all exchanges with the Asian country in nuclear technology. PM mum on Sarnia Dry dry feet A member of the police department stands on the same downtown corner as a colleague did Friday at the peak of a flood in the community. by the flood had subsided enabling police to patrol the town with somewhat drier feet. and About town Accountant Dick Johnston claiming Chester Mook looks so tired he likely can't even dream John Boras telling a drama class to stay for the Lethbridge Separate School Board meeting you want to see some real NATO proposal New York Times Service BRUSSELS Britain has presented to other members of the North Atlantic Treaty Organization a new draft for a declaration of NATO principles. It is reportedly more Atlantic-oriented than a draft by France that has been tabled since October. According to diplomatic sources in the British proposal contains no references to a separate European identity inside the alliance. The British presented to the Allies last week is to be discussed formally by the NATO ambassadors here Friday. The members hope to agree on a final version of the declaration when their foreign ministers meet in Ottawa on June 18 and 19. Hearst faces life LOS ANGELES Pa- tricia Hearst faces the possi- bility of life in prison as she is hunted as kidnap suspect rather than kidnap victim. in a further dramatic turn- about since her Feb. 4 kidnap- ping by the Symbionese Liber- ation Army Feb. the 20-year-old co-ed and heiress to a publishing fortune had 19 felony charges lodged against her Wednesday by Los Angeles County District Attorney Joseph Busch faces life imprison- Busch said. our Miss Hearst was acting on her own free he said in outlining the which included four counts of five of assault with a deadly weapon with intent to commit murder and two of kidnapping. They were filed against Miss Hearst and William and Emily Harris. Busch called again on the three to but ex- pressed doubt that they would. Miss Hearst and the a white couple who police say comprise the remnants of the were charged with 18 counts each. OTTAWA The federal government has taken a decision on the controversial Dow-Dome petrochemical and pipeline proposals but is continuing discussions with Alberta on the Prime Minister Trudeau said Wednesday. He told reporters following a cabinet meeting that but we have no Talks would be held with Alberta before any public statement is made on the decision The National Energy Board has recommended with some of applications by Dow Chemical of Canada Ltd. for approval to build an ethane-ethylene plant and pipeline system. Dome and a subsidiary have aske'd the government to approve its plans to build ethane and ethylene pipelines from Alberta to plants in Eastern Canada and the United States. Ethane can be derived from either natural gas or crude oil and an ethane is a base material for a variety of plastics. Premier Peter Lougheed says he expects candidates across the country in the July federal election will take a stand on development of the ipetrochemical industry. And. rejection by the federal government of Alberta's plans for an extensive petrochemical industry in the province could jeopardize Ottawa's participation in development of the Alberta Oil Don intergovernmental affairs says. Mr. Getty made the statement after Donald federal energy minister said Ottawa would use its export-licensing powers to lever Alberta into supplying a petrochemical plant at Ont. Mr. Getty said the Alberta which is determined to build its own petrochemical was but not by the federal attitude. 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