Thank you, Mr. Speaker. I want to follow up on the questions that have been asked in the House today by my colleagues with regard to the Northwest Territories Power Corporation, but I want to direct my question to the Minister Responsible for the FMBS, because the FMBS oversees the Power Subsidy Program. People talk about levelized rates, and I know that the PUB has commented in the past on the issue of one-rate zone, or levelized rates, suggesting that it is completely within the proper mandate of this government to be the social engineers of power rates in the Northwest Territories. To that end, we have something called the Territorial Power Subsidy Program, and this allows everyone to pay the same rate in the Northwest Territories as Yellowknife, up to 700 kilowatts per hour.
When was the last time this program was reviewed? Mr. Speaker, it seems to me that if it is colder and darker with longer cold seasons farther north, why would it be 700 kilowatt hours across the board when you know full well that somebody living in the southern part of the Northwest Territories in a small community is going to require far less support than a person living in the high Arctic?
Thank you, Mrs. Groenewegen. The honourable Member Responsible for FMBS, Mr. Roland.
Thank you, Mr. Speaker. The program itself hasn’t been reviewed for quite some time. In fact, the Member is right: everyone above the Yellowknife rate would pay the first…. We would provide the Territorial Power Support Program for everyone up to the first 700 kilowatt hours. We are concerned and want to look at this. That’s why the Energy Coordinating Committee will be looking at this power support program, its structure and how it’s used in the Northwest Territories.
Mr. Speaker, does the Premier consider it would be sensible to pro-rate the power subsidy based on the part of the territory you’re living in, in terms of your demand and your consumption of this utility?
Mrs. Groenewegen, you might be asking the Premier for an opinion, but I’ll allow the Minister to answer. Mr. Roland.
Thank you, Mr. Speaker. The Territorial Power Support Program has grown substantially over the last number of years. Questions about energy and its supply and how we provide this subsidy program need to be reviewed. For the most part, on average, when we do a comparison, most households can live within the 700 kilowatt hours, and that is something we also take into consideration when we set the program parameters.
Again, it will be one of the areas as we proceed forward on the energy file: reviewing this program and seeing how it best works in the Northwest Territories. At the existing pace, we’re going to quickly run out of options as we proceed, and we’ll have to be finding more money to keep topping up the program. We do need to come forward with a comprehensive plan on how we will proceed on energy and energy use in the Northwest Territories.
Mr. Speaker, to the issue of finding money to top up the program: right now, where do the funds come from for the territorial support program?
Mr. Speaker, part of it is a request we make of the corporation. We request a dividend on an annual basis, and then we top it up from general revenue for the rest of the program. In fact, in the last few years of the budget it has been $3.5 million from the Power Corporation. The rest has been from general revenues of the Government of the Northwest Territories.
Thank you, Mr. Roland. Final supplementary, Mrs. Groenewegen.
Thank you, Mr. Speaker. I’d like to ask if the amount of the contribution to the territorial support program through a dividend from the NWT Power Corporation has been declining in recent years. At one time didn’t the NWT Power Corporation’s dividend completely finance the territorial support program?
Mr. Speaker, at one time, in fact, the dividends used to pay for the Territorial Power Support Program when it was less than 4 and a half million dollars. It used to be that the amount covered it off 100 per cent. It now covers less than 50 per cent. We reduced the dividend to 3 and a half million dollars, and we have to fill up the rest. For example, we’re looking at just under $10 million to cover off that program during this fiscal year.
Thank you, Mr. Roland. The honourable Member for Inuvik Twin Lakes, Mr. McLeod.
