The Innu First Nation of Pessamit has voted to reject a $1.3-billion land-use and reconciliation agreement with the Quebec government and Hydro-Québec. According to referendum results overseen by lawyer Alexis Wawanoloath, 63 per cent of the community voted against the pact, which aimed to settle long-standing disputes over hydroelectric infrastructure on ancestral lands while securing future energy development rights.
Referendum Outcome and Community Response
The referendum, held in the community of 4,300 located near Baie-Comeau, saw 1,287 ballots cast. Official figures released Sunday evening confirmed 809 votes against the deal, 471 in favor, and 7 spoiled ballots. The rejection effectively halts the current iteration of the agreement, which had been authorized by Premier Christine Fréchette’s cabinet just last week.

Community members and observers, including poet and artist Natasha Kanapé Fontaine, had expressed concerns regarding the timeline of the proposal. In a July 10 letter to La Presse, Kanapé Fontaine argued that the band council introduced the complex agreement with insufficient time for residents to review the contents. While Pessamit vice-chief Andy Canapé described the proposal as a path toward “fairness and dignity” for future generations, the final vote indicated that a significant portion of the electorate was not prepared to ratify the terms.
Did you know?
The Pessamit Innu claim that Hydro-Québec has utilized their ancestral territory, known as Nitassinan, without consent for nearly 70 years. The territory currently hosts 16 dams and 13 hydroelectric power stations.
Economic Stakes for Hydro-Québec
For Hydro-Québec, securing agreements with First Nations is a requirement for its $200-billion plan to develop new clean-power generation facilities and improve the reliability of the grid. Former CEO Michael Sabia, who engineered this plan, framed these negotiations as “economic reconciliation.”
The rejected deal would have provided $1.3-billion in guaranteed payments to the Pessamit community. Additionally, the band council estimated the deal could generate $7-billion in economic benefits over several decades. The pact included provisions for future consultation on four specific projects, including a new hydropower station, a transmission line, and wind power developments. It remains unclear whether band leadership, headed by Chief René Simon, will seek to renegotiate the terms or present a revised proposal to the community.
Comparative Progress in Reconciliation Agreements
The rejection in Pessamit contrasts with recent successes for the provincial utility in other regions. Last month, Hydro-Québec struck a reconciliation and collaboration deal with Innu First Nation of Nutashkuan in the Côte-Nord region. Earlier this month, the utility also concluded a pact with the Innu Takuaikan Uashat mak Mani-utenam Council, resolving disputes related to the Romaine Hydroelectric Complex and the Arnaud-Alouette transmission line.
Broader provincial energy ambitions have faced their own hurdles. In May, Newfoundland and Labrador Premier Tony Wakeham signaled a rejection of the memorandum of understanding (MOU) on energy co-operation signed by his predecessor in December 2024. Wakeham stated that his province requires “more value” from power purchase agreements and increased transmission capacity through Quebec, though he remains open to further dialogue rather than abandoning the framework entirely.
Frequently Asked Questions
Why did the Pessamit Innu reject the agreement?
While the band council advocated for the deal as a path to financial autonomy, a majority of voters (63%) rejected it. Some community members, including local voices like Natasha Kanapé Fontaine, cited a lack of sufficient time to review and understand the complex pact before the vote.

What were the financial terms of the proposed deal?
The agreement included $1.3-billion in guaranteed payments to resolve historical land-use disputes. The band council projected up to $7-billion in total economic benefits over several decades through participation in future energy projects.
Does this rejection stop all energy development on the land?
The rejection halts the specific agreement negotiated between the Pessamit band council and the Quebec government. Future development will depend on whether the parties return to the negotiating table or if the current dispute over ancestral territory remains unresolved.
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