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Exchange of Notes (January 11, 1952) between Canada and the United States of America in which the Governments agreed to co-operate in preparing applications to the I. J. C. for approval of the plans to construct power facilities on the St. Lawrence in connection with the development of all Canadian seaway [1952] CATSer 1 (11 January 1952)

E100421 - CTS 1952 No. 30

EXCHANGE OF NOTES BETWEEN CANADA AND THE UNITED STATES OF AMERICA IN WHICH THE GOVERNMENTS AGREED TO CO-OPERATE IN PREPARING APPLICATIONS TO THE I. J.C. FOR APPROVAL OF THE PLANS TO CONSTRUCT POWER FACILITIES ON THE ST. LAWRENCE IN CONNECTION WITH THE DEVELOPMENT OF AN ALL CANADIAN SEAWAY

I

The Canadian Ambassador to the United States of America to the Secretary of State of the United States of America

CANADIAN EMBASSY

WASHINGTON, January 11, 1952

No. 35

The Honourable Dean Acheson,
Secretary of State of the United States
Washington, D.C.

Sir,

I have the honour to refer to the discussion of the St. Lawrence Seaway and Power Project between the Prime Minister of Canada and the President of the United States which took place in Washington on September 28, 1951.

At that time, the President and the Prime Minister agreed on the vital importance to the security and the economies of both countries of proceeding as rapidly as possible with both the seaway and the power phases of the project. The Prime Minister indicated that the Canadian Government would be willing to construct the seaway as a solely Canadian project if it is not possible to have the joint development undertaken on the basis of the 1941 Agreement. The President agreed to support this Canadian action if an early commencement of the joint development did not prove possible.

The Canadian Parliament has recently passed legislation providing on the one hand, for a power development on the St. Lawrence River, to be undertaken by the Hydro-Electric Power Commission of Ontario and an appropriate agency in the United States, and on the other hand, for the establishment of the St. Lawrence Seaway Authority to construct the seaway either in co-operation with the United States, as provided for in the 1941 Agreement, or as a solely Canadian undertaking. This legislation may now be brought into force at any time by proclamation.

The Canadian Government is prepared to proceed with the construction of the seaway as soon as appropriate arrangements can be made for the construction of the power phase of the St Lawrence project as well. Failing approval of the 1941 Agreement by the Congress, it will be necessary to refer the project to the International Joint Commission for approval. In order to proceed as rapidly as possible with the project, which the President and the Prime Minister have agreed is of vital importance, the co-operation of the United States Government in preparing concurrent applications for approval of the project to the International Joint Commission is requested.

Such a preparatory step would in no way prejudice the possibility of proceeding with the project on the basis of the 1941 Agreement in the event that the Congress should approve that Agreement. On the other hand, it is desirable to seek the approval of the International Joint Commission as soon as practicable in order to avoid any further delay in the event that the Congress does not approve the 1941 Agreement early in the present session.

It is proposed that appropriate officials of our two countries discuss the steps to be taken in proceeding with a reference of applications to the Inter­national Joint Commission for the construction of the project. A series of meetings beginning the middle of this month, either in Washington or in Ottawa, would be most appropriate for this purpose.

Accept, Sir, the renewed assurances of my highest consideration.

H. H. Wrong

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The Secretary of State of the United States of America to the Canadian Ambassador to the United States of America

DEPARTMENT OF STATE

WASHINGTON, January 11, 1952

The Honourable Hume Wrong,
Ambassador of Canada.

Excellency:

I have the honour to acknowledge the receipt of your note of January 11, 1952 concerning the St. Lawrence Seaway and Power Project.

My Government notes with gratification that the Canadian Parliament has passed legislation providing, on the one hand, for the construction of the power phase of the project to be undertaken by the Hydro-Electric Commission of Ontario and an appropriate agency in the United States; and on the other hand, for the establishment of the St. Lawrence Seaway Authority to construct the seaway, either in cooperation with the United States as envisaged in the 1941 Agreement, or as a solely Canadian undertaking.

As you know, the President hopes that the Congress of the United States will approve, at an early date, the 1941 Agreement providing for joint construc­tion of the St. Lawrence Project. Should the Congress, however, not approve the 1941 Agreement at an early date, the Government of the United States is prepared, in order to avoid further delay in the construction of the St. Lawrence Project, to cooperate with the Government of Canada in referring the project to the International Joint commission for approval on the under­standing, as expressed in your note, that your Government is prepared to proceed with the construction of the Seaway as soon as appropriate arrange­ments can be made for the construction of the power phases of the St. Lawrence Project as well.

In order that there may be a minimum of delay in the construction of the project, which the President of the United States and the Prime Minister of Canada have agreed is of vital importance to the security and the economy of both countries, my Government is ready to cooperate with your Government in undertaking such preparatory steps as may be advisable in presenting concurrent applications to the International Joint Commission. On behalf of my Government, I accept your proposal that appropriate officials of our two countries discuss the steps to be taken in proceeding with the reference of such applications. I agree that a series of meetings to be held either in Washington or in Ottawa, or at such other place as may be convenient, would be the most appropriate method for implementing this proposal. Although it is not possible for me now to propose an exact date, I expect that my Govern­ment will be prepared to begin these discussions sometime this month. I shall inform you as soon as my Government is ready to join in the discussions which you have proposed.

Accept, Excellency, the renewed assurances of my highest consideration.

Dean Acheson