Thank you, Mr. Chair. I appreciate those remarks and that information. I think the next question is about biomass and I’m wondering what is the plan for significant replacement of fuel oil heating, particularly in our thermal communities for say with wood pellets or woodchips and I’m talking about for residences, for municipal buildings and so on. I’m not talking about any GNWT facilities. So what’s the plan, the energy planning that’s going on to get biomass replacement of fuel oil heating for residences and municipal buildings particularly in our thermal communities? Thank you.
Thank you, Mr. Bromley. Mr. Minister.
Thank you, Mr. Chair. As part of our energy priority investments, our alternative energy priority investments, we’ve identified biomass as probably one of the biggest and most important parts of this initiative and this is something that we’ve identified significant investments over the three years of the $5 million and we’re working and participating with the Department of ENR on the development of a draft Biomass Strategy. We are also participating in the Biomass Working Group. For your information, or you may already be aware, this group includes representation from the Government of the Northwest Territories departments, the Arctic Energy Alliance and the federal government. I don’t want to get into the details at this point because the strategy is scheduled to be released in the next few weeks, but I’d like to reassure the Member that there is a component in the Biomass Strategy which includes working with the private sector and further development of the biomass market in the Northwest Territories and ITI will be participating in these actions. Thank you, Mr. Chair.
I appreciate those remarks. Again, I think there probably are some important opportunities for communities here. Is there a plan to involve them or the Association of Municipalities or something like this in a meaningful way at some point soon in the planning? Again, because I think these are important opportunities that the communities should be brought into as soon as possible just to help build the capacity there in the uptake. Thank you.
That is my understanding, and working with ENR we’ll be working closely with the NWT Association of Communities and engaging communities. I’d like to point out that our expectation is because of the fact that our government has had tremendous success in promoting the use of biomass in the Northwest Territories and you can see it in the large number of government buildings that are using wood pellets. So I expect that we’ll have similar success with communities, although because of the fact that there’s biomass available in every community in the Northwest Territories except maybe in the Nunakput region perhaps. Thank you, Mr. Chair.
Just to add to the Minister’s comments, the fact that it’s cheaper we’re saving money on every front there. So I’m sure that will be attractive to communities. So my last question is just of the $5 million over three years, how much is planning for this year in the budget? It’s not obvious to me. It may be here, but I just haven’t caught it yet. Thank you.
The Government of the Northwest Territories has identified $2 million this year. It’s located in the budget of ENR. So that’s where it’s identified right now, Mr. Chair. Thank you.
Just in follow-up to that, is there a planned expenditure with ITI next year, then? When does ITI start spending some money on, I presume it would be ITI working with the private enterprise and so on getting the uptake? Thank you.
Our expectation is that the money would be available from existing ITI funding programs. If there was a requirement for additional funding, we would have to look at the $2 million that’s available from... We’d have to work with ENR for any incremental requirements.
Thank you, Mr. McLeod. Anything further, Mr. Bromley?
No, I guess not, Mr. Chairman. Just a comment that I think we’re still hoping to get a briefing on this and maybe that will answer some of the other questions. I don’t want to take up more time.
Thank you, Mr. Bromley. Thank you, Mr. McLeod. Thanks, committee. We’re on page 12-21, Industry, Tourism and Investment, activity summary, energy, operations expenditure summary, $5.731 million.
Agreed.
Page 12-22, Industry, Tourism and Investment, activity summary, grants and contributions, contributions, $5.225 million. Mr. Yakeleya.
Just on the Taltson River hydro electrical for this, I know there are some discussions here on the project. I just want to ask the Minister about this project here. Certainly businesswise it’s a good business opportunity for the mines and you don’t have to tell me what the benefits of it are, I just want to know about the start-up of the project. You had listed some numbers and it’s a joint initiative by other proponents to look at this hydro development. Are we foreseeing anything on issues that will be run into like we’re seeing with the Deh Cho Bridge Project? Cost overruns, I mean, you’re looking at hydro and the Deh Cho Bridge. They’re megaprojects that we haven’t yet secured, or have we secured power agreements with the mines? Are we going ahead? Have we heard the environmental issues? Politically are we looking at serving the mines rather than the communities? This is something I want to make sure that when I bring it to my region that I have some information here.
Thank you, Mr. Yakeleya. Mr. McLeod.
Thank you, Mr. Chairman. As the chair of the Ministerial Energy Coordinating Committee, if I could pass the question on to the Premier who is responsible for the Power Corporation if I may, Mr. Chairman.
Thank you, Mr. McLeod. Mr. Premier.
Thank you, Mr. Chairman. The question about the Taltson River hydroelectric facility, the project, as it is right now, has gone through its environmental work, the regulatory piece. In fact, they’re looking at the transmission line and adjustment there. The work around the partnership agreement as well as the power purchase agreements is ongoing. The work that is involved in this, as Members are aware, is taking quite some time to come up with the project as it is. We have entered in and are working on a partnership with, as Members are aware, Deze with the NWT Metis and the Akaitcho, as well as our energy piece through the Hydro Corporation. We’ve done a lot of work on there not only on the feasibility, but also the environmental, the hydrology, and a lot of the work beforehand, as Members are aware through the expenditures. Now we’re getting down to the point where we are getting closer to the power purchase agreements. One of the difficulties there with having a power purchase agreement in place is that depending on the final outcome of the regulatory process is if there are adjustments that need to be made, then we would have to make adjustments to the potential project which then could affect power purchase agreements. So we need, it’s almost a parallel process. Once we get the final results of the regulatory, then we’ll have a much clearer understanding of our positions that we can work out with industry on that. To date things have come along much better and we’re hoping that we’ll be able to have a deal ready very close to the timing that, for example, a decision would be made on the next potential mine in the Northwest Territories. For the estimations for the cost estimates a lot of work has been done in that area and has been part of our process through the environmental work and regulatory process.
Thank you, Premier Roland. Mr. Yakeleya.
Thank you, Mr. Chairman. Thank you, Mr. Premier. I ask this question in all sincerity regarding this project. I do support the business case. You are having aboriginal landowners be a part of it. You don’t have to sell me on the greenhouse and thousands of trucks that go up the winter road. You are looking at a business case here. A lot of people say we’re more focused on the diamond mines than reducing costs or lowering costs to our communities. That’s the political world. It does make a business case.
There are power purchase agreements that need to be negotiated. Mr. Premier has indicated they are close. To date I haven’t seen one. Yet we’re still proceeding on a good-faith basis, just like with the bridge. Now we’re coming to cost overruns to the tune of $200 million on the bridge. I have to ask these questions. I have to ask these about the Taltson project.
There is potential for other mines that are going to be opening up to have the agreement. They are talking about Peace River having a nuclear plant. Certainly they want to see it up here in the Northwest Territories. This is an opportunity to hook up to the grid in Alberta. This is something we’re approving, we’re okaying, but we have to know for sure about the Taltson that we have some agreements in place. I think the Premier said they were close to some. But we’ve been hearing this for a long time. What’s securing us to say yes, we feel comfortable? That’s what I’m getting at. That’s why I ask this question. I need to ask it to have a good sleep tonight.
Thank you, Mr. Yakeleya. Any comments, Mr. McLeod?
Yes, thank you, Mr. Chairman. I think those are all very important questions. I think that with the environmental assessment the rationale and logic is that there’s a very tight business case. It will be a function of the power purchase agreements and how the financing would be arranged. I think that it will all hinge on the environmental assessment and negotiations with the diamond mines. That’s where the regulated/unregulated difference is and I think that hydro power is a very important part of reducing our greenhouse gas emissions.
Again, Mr. Chairman, I know the importance of hydro energy as a valuable asset to the communities. To help the communities, you see it in the prices of electricity paid where there’s hydro going into the communities versus the thermal communities. You don’t have to sell me on that. The hydro communities have this infrastructure given to them as a gift from the federal government. They set up mines here and we’re taking it over. I think for myself I want to say that I do support the Deze Energy Corporation. It involves some really good people in there to put the project together. It’s helping to reduce the greenhouse emissions. It’s cutting the loads of trucks into the mines with fuel for the mines. That will help with the wildlife in that area. There is good potential for people in Lutselk’e, Fort Smith, Fort Resolution and Hay River to look at this here. I’m not going to go into that area. I want to know about security to say yes. We have a project that the money that we’re approving is going to get a good return on it, hopefully, that we can have these types of discussions in the future when we look at mini-hydro projects in the Sahtu or any other region to go ahead with this initiative. Thank you.
As the Premier said, it will all hinge on completion of the environmental assessment process, the negotiation of power purchase agreements, the financing and arrangements with the partners in the Deze Corporation. So we’re optimistic about the whole project and, certainly, every step of the way we have to do the due diligence for a successful project. Thank you.
Thank you, Minister McLeod. Committee, we’re on page 12-22, activity summary, Industry, Tourism and Investment, energy, grants and contributions, contributions, $5.225 million.
Agreed.
Page 12-23, information item, Industry, Tourism and Investment, energy, active positions. Questions?
Agreed.
Page 12-25, activity summary, Industry, Tourism and Investment, tourism and parks, operations expenditure summary, $11.344 million. Mr. Yakeleya.
Thank you, Mr. Chair. Just on the tourism and parks, I want to ask the Minister, in terms of parks, when I was looking at his magazine that the Minister put out, very nice in terms of explaining the whole parks strategy in the Northwest Territories. It looked at the various different regions and the number of parks that they have. The one, only one park that they have in the Sahtu is the McKinley. I think that was featured in the article, and the other regions have many other parks. So I want to ask if there’s a strategy to have parks in the Sahtu increased maybe to two or three, because we have one right now. It’s in Norman Wells. I’d certainly like to look at other parks in the other communities that are equivalent to other parks that they are having right now in the other regions.
Thank you, Mr. Yakeleya. Minister McLeod.
Thank you, Mr. Chair. In the Sahtu region, we’re working very hard to see the introduction of one of the largest and most beautiful parks in the Northwest Territories, the CANOL Trail Park, and we certainly want to work with the Sahtu region to get the federal government to speed up its remediation of the land before it can be transferred so that we can have the area designated as a territorial park. I think no one knows better than the Member, who has walked every step of the way of the CANOL Trail. I think it will be a major attraction for tourism not only in the Sahtu but in the Northwest Territories. Thank you.
Mr. Chairman, I can’t add any more to what the Minister has said about the CANOL Trail. He’s certainly bang on, on that assessment there. I want to ask the Minister, in terms of… Because this park will be awhile before we know, hopefully, that it can be designated within our lifetime in terms of having it designated by this government here. I want to ask about anything in between now and that designation in terms of… We had one park, McKinley Park in Norman Wells. I would like to ask if the Minister is in his strategy looking at other parks in, say, Tulita, Fort Good Hope, Deline or even Colville, that can be designated as a park like McKinley that has some attention by the GNWT. There are various parks in the South Slave, North Slave, up in the Mackenzie Delta. There are some pretty good parks that they operate. I just wish we could have a little more in the Sahtu, rather than just one that has some attention by this government. Thank you.
So far all our efforts in the Sahtu have been to try to advance the CANOL Trail Park and even to the extent where we’re working with the community of Tulita so that they can get benefit from some of the cleanup, remedial work that the federal government is doing.
As far as other parks in the communities such as Fort Good Hope, I think we would be prepared to look at it and if there were any obvious possibilities, we would put it into our planning process. Thank you.
Mr. Chair, I’m going through this park in detail because I want to make sure that I have some clear answers from the Minister in terms of the parks here. I certainly appreciate the Minister’s comments to look at other parks in our region.
I really wanted to also say probably to the Minister that we appreciate the work that he’s doing in terms of having this CANOL Trail designated. It’s world-class and a beautiful park. I just hope and wish that someday the Ministers can actually walk on the trail there and experience it themselves.
I want to say that I’m hoping that the Minister can make some time to have some discussions with us in the Sahtu to talk about parks and see where we could have some facilities like other regions that have parks, that have some beautiful facilities. We could have that also in the Sahtu. There is going to be lots of time and effort to actually designate the CANOL Heritage Trail into a park that we want to have. Right now it’s in the jurisdiction of the federal government and, actually, they put in quite a few dollars to start the cleanup with the wires of the CANOL Trail. I know our government is working hard to access money but the feds are the ones that came up and actually put up some money. We’re working hard with the government to see some more work done on it. He has my support there. That’s what I’m asking the Minister.
We would certainly appreciate the Member’s support and all the Members’ support to get the federal government to speed up the cleanup of the land so we can turn it into a territorial park. We’re also spending up to $50,000 on signage for the trail. I know the Member is inviting some of the Ministers to go on a constituency tour with him, so I’d be prepared to do that and talk about parks with the communities. Thank you.
Thank you, Minister McLeod. I believe that’s it, Mr. Yakeleya. Thank you, committee. We are on page 12-25, activity summary, Industry, Tourism and Investment, tourism and parks, operations expenditure summary, $11.344 million.
Agreed.
Page 12-26, activity summary, Industry, Tourism and Investment, tourism and parks, grants and contributions, contributions, $4.436 million.
Agreed.
Thank you, committee. Page 12-27, information item, Industry, Tourism and Investment, tourism and parks, active positions, 12-27.
Agreed.
Thank you, committee. Page 12-29, activity summary, Industry, Tourism and Investment, economic diversification and business support, operations expenditure summary. Mr. Yakeleya.
Thank you. I can feel the excitement by Members here in terms of going through this detail. Mr. Chair, I want to thank the Minister for the Trapper Training Program that we have in our region in terms of helping out with our people there. I want to say that certainly this government does support the traditional economy and that we certainly appreciate the work that he’s done. So I just wanted to make a comment in regard to our appreciation on behalf of all the good trappers in the Sahtu that access this program.
Thank you, Mr. Yakeleya. Mr. Minister.
Thank you and we’re pleased in the Sahtu region. That’s probably where we had the biggest area of growth with the introduction of young trappers into the program. Thank you, Mr. Chair.
Thank you, Mr. Minister. Mr. Yakeleya, good? Thank you. Page 12-29, Mr. Bromley.
Thank you, Mr. Chair. I just wanted to follow up on my enthusiasm for fun jive, being a fun guy.
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It’s late, it’s late.
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I’m wondering if, well, first of all, I was very pleased to learn that there is a history of the department being interested in that program and I’m wondering if any of the ITI staff visited the harvest that was going on in Behchoko this year to attempt to collect any information and come up with an estimate of harvest and what the value would be worth and those sorts of things to help with the planning on that important opportunity for economic diversification and business support. Thank you.
Thank you, Mr. Bromley. Mr. Minister.
