The Saskatchewan government is blinking in the licence plate dispute they had with Alberta regarding a policy banning Alberta plates on construction sites in Saskatchewan.
The government made the move in December much to the anger of the Alberta government forcing them to issue an ultimatum saying to drop that practice or face a court battle.
Saskatchewan ignored the midnight deadline, with Alberta Economic Development Minister Deron Bilous informing the New West Partnership trade secretariat of the dispute.
The Saskatchewan government faced up to $5 million in losses if found in violation of the trade agreement.
Saskatchewan officials said the policy was put in place after contractors were being barred from Alberta sites because they didn’t have local plates.
In a letter to Bilous, Saskatchewan Trade Minister Steven Bonk says they will suspend the practice in good faith immediately, but discussions need to continue on this matter including forming a single window resource for contractors from both provinces to contact regarding any issues they may face while doing business in their neighbouring province.