OTTAWA Prime Minister Jean Chretien on Thursday cracked open the door to the possibility of Canada exporting water to a thirsty United States, setting up a special committee to examine the controversial issue.

Official Canadian government policy is still is very much opposed to the idea of bulk water exports, and ministers reiterated this on Thursday.

Canada is blessed with countless lakes and rivers, but the idea of selling the water abroad has met deep resistance from politicians and concern from environmental groups.

Alexa McDonough, leader of the leftist New Democratic Party, grilled the government on Thursday on why it would even open up the debate: "Why the flip-flop on something as fundamentally important to Canadians as water?" she asked.

Foreign Minister John Manley replied: "The policy of the government of Canada is to oppose the bulk removal of water from any of our major drainage systems, period."

He pointed to a bill in Parliament that would prohibit the bulk removal of water from the Great Lakes basin and other boundary waters such as the St. Lawrence River.

Opposition to water exports runs especially deep in Ontario, which borders four of the five Great Lakes.

"Water is a precious commodity for us," said Toronto area legislator Sarkis Assadourian. "You can't live life without water, but you can live without wood, let's say. It may be renewable, but why should I take chances?"

A report last year by the U.S.-Canadian International Joint Commission concluded that less than 1 percent of the Great Lakes' water is renewed annually.

The debate on water exports took on added urgency after Newfoundland Premier Roger Grimes -- a liberal like Chretien -- spoke about allowing exports from the province's Gisborne Lake. He said the proceeds would be enough to offer free university education to Newfoundland students.

Chretien is appointing liberal Dennis Mills to head the committee, which starts work in the fall. A Chretien aide said the idea was to examine how to secure Canada's water supply.

"I am totally, utterly opposed (to bulk water exports)," Mills told Reuters. But he said he would listen to all views.

Toronto member of Parliament Joe Volpe said Canada has never had a full, reasoned debate on water but people have increasingly begun to realize its importance.

He pointed to the deaths of seven people last year in Walkerton, Ontario, after water was contaminated by E. Coli bacteria and noted that the level of the Great Lakes last spring was the lowest it had been in decades.

"Last spring was an indication for most people that you can't take a resource for granted," he said.

(Reuter)