The provincial government, through its Crown-owned utility company, is helping prop up the struggling newsprint mill in Newfoundland and Labrador by buying unnecessary electricity from Corner Brook Pulp and Paper at an inflated rate.

It's power that Newfoundland and Labrador Hydro does not need to supply customers, according to the utility company.

"This contract is not considered part of our long-term resource adequacy planning to meet demand for island customers," a spokesperson for N.L. Hydro …