For years, Quebec has benefited from a lopsided deal with Newfoundland and Labrador that saw it pay just a fraction of the amount it made from electricity produced at the Churchill Falls power station.

Quebec and Newfoundland and Labrador have signed a sweeping new deal to build new energy projects and throw out a decades-old contract that has long been a source of strife and bitterness for Canada's easternmost province.

The Canadian province of Newfoundland and Labrador reached a new electricity supply agreement in principle with Quebec, apparently ending a long-time dispute with a deal that will increase hydroelectric power in the country’s eastern region.