Michael Miltenberger

Thank you, Mr. Chairman. I have with me Margaret Melhorn, deputy minister of Finance; and Mr. Jamie Koe, acting director of policy and planning. Thank you.

Thank you, Mr. Chairman. Mr. Chairman, I am pleased to present the Department of Finance’s main estimates for the 2010-11 fiscal year.

The department’s 2010-11 Main Estimates propose O and M expenditures of $76.528 million. This represents an increase of $1.658 million or 2 percent from the 2009-10 Main Estimates.

In October 2009 the Department of Finance released its Strategic Action Plan 2009-2012, which provides multiyear direction for the department. The plan includes strategic initiatives flowing from two overarching strategic priorities, these being fiscal sustainability and modern...

When we contemplated the commercial subsidy, the structure of the commercial subsidy hadn’t been determined either. We had discussions about what would that money best be put towards. Would it be best put towards incentives to encourage stores to be more energy efficient as opposed to just a subsidy? I agree with the Member that subsidies on their own, as we’ve seen with the Territorial Power Support Subsidy, for example, it grows and I think the Member and I are interested in doing the same thing. The final determination of what these funds will be targeted for will be determined, I would...

When this fund was initially contemplated and initiated and presented, it was presented to do a number of things. It was presented to minimize our reliance on fossil fuels, it was intended to reduce our greenhouse gas emissions, it was intended to help especially the smaller, high-cost communities to decrease their cost of living through reducing the power. This $3 million a year for three years was initially contemplated as an interim measure as we sorted out the way forward in terms of whatever system changes could be made, the time it would take to set up the structure to implement things...

This money is part of the $60 million that was put towards looking at alternative energy; some of the structural reforms. I would suggest that we’ve committed to coming forward with a plan in May. I think government’s response that the money should be reflected in the budget as it was initially intended and then when we look at May and see what comes out of that discussion collectively of where we go and how those funds could best be put to use.

Thank you, Mr. Chairman. This increase is tied to the $3 million that was slated to be added, the $3 million a year for three years, to the commercial subsidy program. How it would be finally put to use will depend on the outcome of the electrical rate review, or the government’s response and what’s finally agreed to as the Legislature going forward to a restructured rate system. So the money is here reflecting that increase that came out of the $60 million.

Thank you, Mr. Chairman. The policies regarding sole-source contracts are set out in policy and the Premier has already indicated there’s a willingness to review those if there are any discussions required or amendments required. The Petroleum Products Act will be a much needed modernization and will have to link into some of the things we are doing, for example, with tax shifting, with the work we intend to do with revisiting and updating our Greenhouse Gas Strategy to make sure that going forward we have an act that reflects the current thinking and demands and pressures of the 21st Century...

As a matter of course and practice we are always reviewing our fiscal situation and the Members are aware of some of the challenges that are out there. We’ve had our discussions and we’ve laid out some of the potential scenarios and we’re going to continue to do that. I’m confident that regardless of what challenges arise before us, that we’ll be able to make the right collective decisions to make sure that we maintain the level of service that our constituents now have. Thank you.

Thank you, Mr. Chairman. The intention is to table the document either this Friday or coming Monday, March 1st. Thank you.

Yes, Mr. Chairman.