Debates of October 21, 2008 (day 45)
Prayer
Ministers’ Statements
Minister’s Statement 114-16(2) Refocusing Government Strategic Initiatives
Mr. Speaker, today I would like to provide the Assembly with an update on the work of the Refocusing Government Strategic Initiative Committee. This committee has been tasked by Cabinet with advancing a number of this Assembly’s priorities related to the operations of government, including improving service delivery to small communities, managing the cost of government and examining how we can change the structure of government to deliver better results.
One of the Assembly’s priorities is to complete a thorough analysis of the efficiency, effectiveness and value of current government operations. To accomplish this, we have established a program review office in the Department of Executive. This office will lead a number of activities designed to manage expenditure growth, make our programs and services more effective and improve the government’s success in reporting on results.
The office is up and running and has begun to identify priority areas for targeted program review. This work will proceed in partnership with departments to ensure that we get solid, credible program information combined with objective analysis and program evaluation expertise.
The program review office will also ensure that the government has policies in place to ensure that the departments conduct regular monitoring and evaluation of all programs and services and that we use the results of these evaluations to support tough decisions about allocation of government resources.
To begin this work, we are taking a close look at some of the program areas that represent the greatest proportion of our expenditures — health programs, schools, and adult education and training — to see if there is potential for improved efficiency or savings. We’re also looking at program areas that have been identified as priorities by the Assembly, including youth and economic development programs, to ensure we are getting value for our investments.
Mr. Speaker, another key component of the work to increase efficiency of government operations is to reduce the number of boards and agencies that have been set up to deliver government programs and services. This is not a new challenge for this Assembly. There have been a number of reviews on this topic, including extensive work done during the 15th Assembly, and all have recommended that the number of boards and agencies needs to be reduced.
Altogether well over 100 boards and agencies are involved in the delivery of government services. As a first step we are looking at streamlining and structuring operations of boards in three key program areas: health and social services, education and housing. Today there are 70 boards at the regional and community level involved in governance in these areas. These boards were created with the best of intentions to ensure that there is local and regional input into decision-making.
This proliferation of boards has actually created barriers to service delivery. Roles and responsibilities are confused, meaning there is often no clear accountability. There’s duplication and overlap in administration, resulting in fewer resources available for programs. Clients must deal with two or three agencies to obtain services when they would benefit from an integrated approach. The level and quality of services delivered differs from region to region, and it is a continual challenge to find enough people to fill all the board positions.
We are proposing to reduce the number of government boards for these programs from 70 to seven by establishing six regional service boards to oversee and coordinate all program delivery for health and social services, education and housing, and one coordinating committee including board Chairs and the appropriate Ministers. Based on the very successful model of the Tlicho Community Services Agency, these regional boards will be built on greater efficiency and a more client focused, service oriented approach. They will be structured to be congruent with emerging aboriginal self-government boundaries and will support the eventual transfer of program responsibilities to these governments.
There will still be an opportunity for communities to have input into programs and services at the local level through community education committees or interagency committees. How communities choose to do this will be different from region to region.
We recognize that there are challenges. In Yellowknife, for example, there are three existing education boards with very broad mandates, and the Yellowknife Health and Social Services Authority serves a larger population than any other regional authority. We will have to take the time to assess how to implement reform in this complex situation. In other regions we should be able to move more quickly to implementation.
Mr. Speaker, we understand that there is a strong desire on the part of existing boards to provide input as we move forward. We will still be seeking the views and ideas of current board members and administrators and other key stakeholders on how to proceed. But be very clear: we are not consulting on whether board reform is needed. We are determined to move forward with this long overdue initiative with a view to implementation in the 2010–2011 fiscal year.
There’s a lot of work to do to meet this target. Work is underway to define the functions and responsibilities of the new regional service boards. Further work will need to be done to streamline and integrate financial and administrative systems. There will be a need for legislative amendments and significant human resource challenges, as well as further analysis of the potential costs and savings associated with implementation.
We have been working in cooperation with all the departments to roll out this proposal. We have begun consultations with the chief executive officers of health and social services authorities and the district education authorities. We intend to meet with all authorities in the near future.
Mr. Speaker, I look forward to having the Chairs of the Social Programs Committee and the Economic Development Infrastructure Committee join us at the Refocusing Government committee table. Their perspective will add great value to this important work.
Thank you, Mr. Miltenberger. The honourable Minister of Transportation, Mr. Michael McLeod.
Minister’s Statement 115-16(2) National Students Against Impaired and Distracted Driving Day
Mr. Speaker, today, October 21, is National Students Against Impaired and Distracted Driving Day, NSAIDD. It is also the tenth anniversary of this national day that focuses attention, especially among teens and young drivers, on the serious consequences of driving while impaired or distracted. More than 500,000 students across Canada, including the Northwest Territories, are actively engaged in reducing impaired and distracted driving on this day of awareness. It’s encouraging to see that many young people are advocating safe and healthy lifestyle choices and responsible decision-making.
Regrettably, impaired driving continues to be a serious problem in the Northwest Territories and in other parts of Canada. Despite years of intensive public education, more severe penalties and increased law enforcement, impaired driving continues to take the lives of Northerners. In the Northwest Territories seven people lost their lives due to collisions involving alcohol over the past five years. Another 86 people were injured. These collisions could have been prevented.
With the increasing use of technology such as cellular phones and text messaging, driver distraction is now an integral component of public information and messaging campaigns of this national driving awareness day. It is also a focus of our own Drive Alive! program, and for good reason. With the difficulties related to regulating and enforcing distracted driving, public information and awareness will be a key to reducing distracted driving. Some studies have shown that use of cellphones while driving slows reaction times to an extent similar to being intoxicated. I am very encouraged that messages regarding the effects of distracted driving have been included in this national day of awareness, especially in light of the positive role that public awareness has played in reducing impaired driving.
Yes, great progress has been made to reduce the incidence of impaired driving in Canada. In the past 20 years, as a result of the work of groups such as NSAIDD, MADD and SADD, there has been a steady decline in the number of collisions and injuries involving alcohol. I want to acknowledge the great work these groups have been doing in fighting impaired driving in the Northwest Territories.
I know Members of this House will join me in applauding the attitude and actions of these young adults who are promoting safer driving choices and participating in the National Students Against Impaired and Distracted Driving Day across Canada. They have made a real difference and will continue to do so. I encourage all Members to join the voices of our young people and spread the importance of making responsible choices when it comes to driving.
First, speak up. Say no to getting into a vehicle with a driver who is impaired. Speak up when others in your vehicle are distracting the driver or when the driver is fatigued or driving recklessly. Then speak out. Take a stand against the great harm that impaired and distracted driving does in our territory and in your community.
Thank you, Mr. McLeod. The honourable Minister of Environment and Natural Resources, Mr. Miltenberger.
Minister’s Statement 116-16(2) Waste Reduction and Recovery Program Expansion
Mr. Speaker, reducing consumption and recycling waste products is a way for all of us to help reduce the impact we have on the environment. It means we use fewer natural resources, use less energy to make new products, reduce greenhouse gas emissions and save money.
Individually, the people of the Northwest Territories can make positive choices to help reduce their impact on the environment, but they look to government to take initiative in developing programs to recover and recycle products and materials rather than put them into landfills. When given the opportunity, people willingly participate in recycling programs. The Beverage Container Program, with a recovery rate of 81 per cent last year, is a good example of how successful recycling programs can be. At the appropriate time today I will be tabling the Beverage Container Program Annual Report 2007–2008.
During January of 2008 the Department of Environment and Natural Resources developed and distributed a discussion paper on expanding the Waste Reduction and Recovery program. Based on what we heard, ENR is preparing a five year action plan outlining both short and long term goals for the program. Details will be outlined in the departmental business plan, but it is our intention to add electronics, milk containers, paper and cardboard to the list of products we recover and recycle. Longer term plans envision tires, lead acid batteries and fuel drums being added to this list.
Recently we have seen various communities across Canada take steps towards limiting the use of single use retail bags. The GNWT has the same goal. The department will initiate a program aimed at reducing and eventually eliminating the use of these bags within two years. As mentioned earlier, details will be outlined in the departmental business plan and will include education, alternatives and environmental levies in this area.
It is clear that waste reduction and recycling is important to the people of the Northwest Territories. Expanding this program will not only help greatly extend the lives of local landfills but will also maintain and improve the quality of our environment.
Members’ Statements
Member’s Statement on Cost of Living Reduction Strategies
Thank you, Mr. Speaker. I’d like to use my Member’s statement today to comment on some of the remarks I’ve heard the Premier make over the last little while.
In his sessional statement at the beginning of this month the Premier mentioned that we must manage government expenditures. Thank goodness that’s still a focus. We absolutely must pursue the goal of matching expenditures to our revenue.
The Premier went on to mention some actions the government might take to manage our expenditures — identifying areas for financial improvement and reinvesting our dollars wisely, for example. I agree that both are completely necessary. In our current economic climate it’s mandatory that the target of all of our investments is that of reducing the cost of living.
As to managing expenditures, I unfortunately have little faith that the cuts we anticipate in the upcoming operations budget for ’09–10 will in fact be thought out and researched. Once bitten, twice shy, unfortunately. And in my view NWT residents were badly bitten by the cuts made in the budget we passed last June.
There’s also a need for the government to review existing policies. They must be viewed through a different lens and amended to enable residents, not create roadblocks to their efforts to gain independence. As the strategic initiative committee goes about its business of refocusing government, I hope that the revamping of policy will be front and centre of its agenda.
A couple of times I’ve heard the Premier speak of regionalization in the NWT but with no accompanying explanation. I wonder just what this means and how it will be beneficial to the NWT and our constituents.
To my last point, Mr. Speaker. The Premier has stated that subsidies lower the cost of living for us. I cannot agree. Subsidies make life affordable but don’t actually lower the price of commodities like gas or milk. Nor do they change the actual expense of an accommodation unit. Subsidies stifle our people and keep them reliant on someone else instead of themselves. We need to work towards elimination of all the subsidies the government provides. We need to find a way to make people independent, providing for themselves and leading productive, satisfying lives.
Thank you, Ms. Bisaro. The honourable Member for Tu Nedhe, Mr. Beaulieu.
Member’s Statement on Heavy Equipment Maintenance Budgets
Mahsi cho, Mr. Speaker. [English translation not provided.]
Today I’d like to talk about replacing heavy equipment in Fort Resolution and Lutselk’e. It has been brought to my attention that heavy equipment in Fort Resolution and Lutselk’e are being replaced much earlier than they should be due to improper maintenance. This causes communities to use their budgets to replace expensive pieces of equipment well before the equipment should be replaced.
Under the ideal situation — I’m no expert — I believe that heavy equipment should last roughly 20 years. However, due to a lack of maintenance some of these assets are being replaced well before their time. Ideally, equipment should be retrofitted once at midlife and replaced when they should be.
Mr. Speaker, this is an expensive burden on communities and the government when some equipment costs in the range of $250,000. Part of the problem is unlimited O&M budgets to maintain heavy equipment. For example, to hire qualified mechanics and have them perform regular, scheduled maintenance is a challenge for smaller communities like Fort Resolution and Lutselk’e. Many times the community must hire mechanics from outside the community. In the case of Lutselk’e they also have to cover the cost of travel, accommodation and freight. This quickly depletes the maintenance budget, so the communities find themselves in a catch-22.
With inadequate maintenance budgets heavy equipment is not properly maintained, resulting in replacement much sooner than necessary, and this contributes to budgetary issues. With adequate maintenance budgets, Mr. Speaker, communities can maintain their heavy equipment assets properly, resulting in a longer operating life and safer pieces of equipment. In the long run we’ll effectively save substantial dollars for both the communities and the GNWT.
Mr. Speaker, the department needs to do more to assist these communities so they’re able to properly maintain heavy equipment, and the communities can use their valuable budgets on other, more important items as opposed to replacing equipment well before its time.
Later on today I’ll have questions for the appropriate Minister.
Thank you, Mr. Beaulieu. The honourable Member for Sahtu, Mr. Yakeleya.
Member’s Statement on Sahtu Regional Wellness Health Centre
Thank you, Mr. Speaker. Last week I was privy to the exchange between Hon. Minister Lee and my colleague Mr. Hawkins on a health care issue in downtown Yellowknife.
It says in Hansard that Ms. Lee, the honourable Minister, has stated that we’re pouring millions and millions into downtown services, that one of the richest parts of the health care service is going to downtown Yellowknife.
I was shocked to hear this, because my region has been looking for a long time at areas that we could fill to bring up standards by other communities in terms of health care services. The Sahtu has been asking for a regional wellness health centre like any other health centre in Inuvik, Fort Simpson, Hay River, Fort Smith or Yellowknife. We’ve been asking for this.
Actually, I’ve been doing some research. In 2005 I talked about health care in the Sahtu. In 2007 I had a statement that talked about a regional wellness centre in the Sahtu. Again in 2008 I’m bringing this issue up in terms of having a regional wellness health centre in the Sahtu. My people have faced many challenges, and we’d like to see if we can enjoy the benefits that other regions have in terms of care for our people.
You know, the weather plays a very important role in terms of medevacking, transferring people to Inuvik or Yellowknife. In terms of the travel, they have to get them on a flight, and sometimes they are unable to make it, like in other small communities. Mr. Speaker, the people in the Sahtu have been asking for a regional wellness health centre, and I haven’t seen it yet in the capital books.
I understand that some of the regions have waited years and years to get additional services in their region. We are waiting for a regional wellness centre. If you go into Tulita, for example, our health centre is busting at the seams. It’s embarrassing when you have an eye clinic in Tulita that has boxes and chairs sitting in front of you — a proper eye clinic. Or the dental services in our region as well as Tulita…. The hallways are crowded. We have a short time. You go into Colville Lake. People have to wonder if they’re playing…. And if it is, the doctor looks at his clock and says: oh, I’ve got to be there by 5 o’clock. That’s deplorable in our region.
I’ll be asking the Minister at the appropriate time what she can do to indicate that she can start pouring millions into our health care system in the Sahtu. We have a health board. We are ready to go, and we are ready to work with her. We need a regional health centre.
Thank you, Mr. Yakeleya. The honourable Member for Nunakput, Mr. Jacobson.
Member’s Statement on 90th Birthday Greetings to Persis Gruben
Thank you, Mr. Speaker. We were so busy yesterday we didn’t do Members’ statements, so today I’d like to bring up birthday greetings for Ms. Persis Gruben in Tuktoyaktuk. It was her 90th birthday yesterday.
I’d like to apologize that I couldn’t deliver my special birthday greeting in person. They had a big feast in the home last night, and I was only given the highlights of it last night. On this special day reaching this age in your life is a great milestone, and we’re so grateful that you’re still active and healthy.
We are very fortunate to have an elder like you in our community of Tuk. I can only imagine the changes you have seen in the North and the Government of the Northwest Territories throughout your lifetime. Through your wisdom and knowledge I’ll continue to represent the Nunakput riding with the grace and wisdom shown by your encouraging influence.
On behalf of the government of the Northwest Territories and my family I wish you health and happiness on your 90th birthday, Ms. Persis Gruben.
Thank you, Mr. Jacobson. The honourable Member for Kam Lake, Mr. Ramsay.
Member’s Statement on Absence of Premier Roland at Council of the Federation Meeting
Thank you, Mr. Speaker. I’m going to speak today about the Premiers’ conference that was held recently in Montreal. There is one Premier out of the 13 provincial and territorial leaders who was absent from that meeting. That was our Premier, Mr. Roland.
The Premiers were meeting to discuss the global economic crisis and how the provinces and territories will be impacted by these volatile economic times. More important is the fact that the federal government will be a key player in fiscal issues pertaining to the provinces and territories. The backdrop to this meeting is the global financial crisis that the International Monetary Fund estimates will result in global financial losses of more than $1 trillion. The potential credit crunch threatens a global recession that will result in the slowest economic growth in 17 years, according to the Bank of Canada.
There is a growing concern that the federal government will have to run deficits in the coming years. Just last year a more generous equalization formula was brought in by the Conservative government. There is a fear among the Premiers that like the Chrétien government in the 1990s, the current government may entertain cuts to transfers to the provinces and territories as a way to balance budgets.
With these very compelling reasons our Premier should have been at the table with the other Premiers. The Northwest Territories fought long and hard to get a seat at the national table. When a meeting like this is called, we need to be there. In his sessional statement the Premier states, “There is a lot of confusion and uncertainty out there, and NWT residents and businesses will be affected.” Why, then, would our Premier, who is elected to represent all the residents of the Northwest Territories, choose to be absent?
With his comments to the CBC yesterday it would appear that the Premier was more interested in capital projects in his riding than the interests of the territory as a whole. I would like to remind the Premier that he has given the role of Finance Minister to Mr. Miltenberger, who also happens to be the very capable Deputy Premier, and he has a very solid Minister of Public Works and Services. The capital appropriation would have been dealt with accordingly. It’s hard to be taken seriously at the national level when you don’t show up to the meetings.
I’ll have questions for the Premier at the appropriate time. Mahsi.
Thank you, Mr. Ramsay. The honourable Member for Weledeh, Mr. Bromley.
Member’s Statement on GNWT Energy Priorities Framework
Thank you, Mr. Speaker. I am encouraged to see this government bring some focused attention to our energy issues in its recent Energy Priorities Framework. In particular, I see us beginning to act in ways that recognize the need to reduce energy costs through common sense activities like conservation, efficiency and switching to local and renewable sources.
The framework is full of excellent recommendations. I suggest that our people take a look at this. I see it is open for comments, and the government is obviously wanting feedback on it. I encourage people to do so.
However, significant gaps remain in this framework. Possibly the largest is transportation. Transportation is probably one of the largest sources of our rising cost of living. It’s fossil fuel intensive, and its greenhouse gas emissions are very high; there is no attention paid to it at all. Mr. Speaker, I think we need some real progressive work in this area. How are we going to move to a low greenhouse gas intensive way of getting around and transporting our goods and services?
Another one is the expertise. We don’t talk about expertise needed to implement a lot of these things, especially in our communities. We need some Aurora College programs that really get access, some technical and trades level expertise. We need an awards and recognition level to build this expertise in our communities.
People and business will willingly adopt many of these things if we have the feasibility studies, the payback times and the monitoring and demonstration to show them the things that actually work. Natural gas is recommended here, and I want to put up a big yellow flag on natural gas. Although it is a cleaner burning fuel, you have to burn a lot more of it. It is a fossil fuel that is rising steadily in cost just as the other fossil fuels are. So we need to be very cautions there. If we can, let’s leap right to a renewable energy source that will be provided locally and provide our local economies with some stimulus.
The industry is not really talked about, Mr. Speaker. We need some carbon neutral development here. We have the political and moral authority. Let’s get the critical approach going that we really require here.
Perhaps I could ask for unanimous consent to conclude my statement.
Unanimous consent granted.
Thank you, Mr. Speaker, and thank you, colleagues. I think possibly the biggest thing we can do here is a thorough and complete review and possibly restructuring of the Northwest Territories Power Corporation. I think this is something we all know at heart. All our residents and constituents have been talking to us about this. We have some real opportunities here. People can start generating and delivering their own energy needs and contributing it to the grid through net metering and so on. We need some real progressive grassroots work there, so let’s get that done.
Thank you, Mr. Bromley. The honourable Member for Nahendeh, Mr. Menicoche.
Member’s Statement on Rocky Island Barge Fuel Spill
Mr. Speaker, an NTCL barge, which was being moved by a tug, hit a shoal at Wrigley Rock in the Mackenzie River early in the morning of Tuesday, August 25, 2008. The barge was loaded with diesel fuel and building supplies. The tugboat is operated by Horizon North Logistics Inc.
The Horizon North representative reported that the crew discovered a hairline fracture at the waterline when they were checking the barge after the incident. The crew deployed containment booms and contacted the necessary authorities. The crew transferred the fuel from the leaking compartment into another compartment on the barge. The Horizon North representatives suggested fog and wind as the likely cause of the incident. Transport Canada is investigating the accident. The Coast Guard led the response to the oil spill and has worked with Horizon North to limit the amount of diesel fuel released.
The barge contained 577,000 litres in total, with 85,000 litres in the affected compartment. The Coast Guard representative reported that diesel fuel evaporates and dissipates quickly when released into the environment. Approximately 60 per cent of the spill would have evaporated within 24 hours, and the water quality was and has been monitored at that point.
Mr. Speaker, as we all know, any amount of fuel spilled into our rivers is too much. Local constituents have suggested to me that the federal agencies were slow in responding and have minimized the importance of the incident. Northerners expect that federal regulators can learn from these events and improve their response time and action so that they can be ready for large scale development and pipeline activity.
Mr. Speaker, at the appropriate time I will be asking the Minister responsible questions on this incident. Mahsi cho.
Thank you, Mr. Menicoche. The honourable Member for Hay River South, Mrs. Groenewegen.
Member’s Statement on Inuvik Schools Replacement Project
Thank you, Mr. Speaker. I want to take this opportunity to summarize for the record what we have learned about the process for the acquisition of a few replacement schools in Inuvik.
No one will dispute that the Inuvik schools were old and in need of being replaced. The process that ensued, however, raises questions for me about the role of Ministers and Premiers in performing their duties as Cabinet Ministers in relation to their work as representatives of their constituencies.
We don’t expect Minister’s constituencies to be passed over for enhanced program services or infrastructure, but neither would I expect that they would get any preferential treatment by the Cabinet. Every Cabinet Minister of this government owes a duty of fairness to all communities, regions and constituencies in the NWT.
The government was approached with the idea of a negotiated contract for what has become known as the super school in Inuvik. The negotiated contract was supported by community leaders, including the local MLAs, as evidenced by letters of support. From there we are told, and I accept, that the Member for Inuvik Boot Lake removed himself from Cabinet deliberations. Former Premier Joe Handley signed off the Cabinet record of decision. In conjunction with that, however, at least two more records of decisions from the Financial Management Board were signed off by the Chair, also the Member for Inuvik Boot Lake.
The thing that still remains unclear for me is how it would be Cabinet policy for the Member signing a letter of support to be removed from discussing a project but could subsequently chair deliberations and ultimately sign off on the ensuing decision.
I’m not pleased with the length that I had to go doing questioning to get this amount of information. This is a public government, and it is spending public funds and making decisions that need to be transparent and accountable and publicly defendable. I’m limited in the answers I can get in this House.
Mr. Speaker, now that this process has revealed this seeming lack of clarity in the policy of Cabinet and the process, I am going to be referring my questions regarding this process to someone who can get the answers to ensure that Cabinet policies remove any appearance or perception of conflict when Members of Cabinet are performing their duties in relation to their own constituency. I think this will be beneficial for everyone and will not allow Members to hide behind superficial answers like the ones I received initially, professing non-participation, only to find out that both financial appropriations were signed off….
Mrs. Groenewegen, time for your Member’s statement has expired.
Thank you, Mr. Speaker. I would like to seek unanimous consent to conclude my statement.
Unanimous consent granted.
Thank you, Mr. Speaker. Thanks, colleagues. I am sorry; I am not feeling well today and not doing as good a job of communicating as I should be. As I said, I believe that we can get answers to these questions and we can bring clarity to these policies. I think it will be to the benefit of everyone, and that is what I intend to do.
Thank you, Mrs. Groenewegen. The honourable Member for Great Slave, Mr. Abernethy.
Member’s Statement on Board Reform Exercise
Thank you, Mr. Speaker. I would also like to thank the Minister responsible for the Refocusing Government Strategic Initiative Committee for his comments today on reducing the number of boards and agencies in the NWT.
I believe that over 70 boards and agencies providing services for around 42,000 people might be a little on the excessive side. I agree that something needs to be done. I believe that reducing the number of agencies could result in administrative efficiencies as well as an improved holistic focus of services to people of the NWT.
Having said this, I do have some concerns. Today I am not convinced that rolling all the health authorities into regional authorities is the right answer, especially when it comes to the mobility of health professionals like nurses. Also, how do we roll a territorial authority like Stanton Territory Health Authority into a regional model?
I’m happy to see that the Minister recognizes some of these challenges. I look forward to participating as an elected Member of this Legislative Assembly in finding solutions and setting directions. I’d also like to thank the Minister and the Premier for including the Chairs of EDI and Social Programs on the Refocusing Government committee. This is an important and difficult initiative with long term effects. Let’s work together and get it right in the best interest of all Northerners.
Thank you, Mr. Abernethy. The honourable Member for Mackenzie Delta, Mr. Krutko.
Member’s Statement on Fuel Price Regulation and Consumer Protection Measures
Thank you, Mr. Speaker. We’ve been seeing the decrease in the markets in fuel prices; it’s now below $80 a barrel. Yet in our communities we continue to pay exorbitant amounts for fuel. In Aklavik they’re paying, right now, $1.76 a litre, and it supposedly went up by 3 cents. If anything, you’d think it would have come down.
As the government we also have a responsibility to protect our consumers to ensure there’s not price gouging and to realize that there has been emerging a decline in the price of fuel and the effects it does have in regard to our economy: power rates, operating and maintaining a home, being able to run your vehicles and operating your equipment.
Mr. Speaker, I think it’s important that this government does consider looking at the possibility of bringing in legislation that will be able to control, monitor and also, in some cases, restrict these types of increases from taking place. On one hand, they tell you the market is based on the world economy, yet when a barrel of fuel drops to less than $80 a barrel, we continue to see fuel prices going up. I believe there is something wrong with that picture.
I think, Mr. Speaker, it’s important that we as a government protect the residents of the Northwest Territories from outside sources by way of our dependency on fuel from other parts of the Northwest Territories. It will be a tough year for people in the Northwest Territories. I believe we bought our fuel at the high end in regard to this summer’s resupply for fuel for power plants for communities to maintain our homes and our communities.
Thank you, Mr. Krutko. The honourable Member for Yellowknife Centre, Mr. Hawkins.
Member’s Statement on Diesel Fuel Shortage in Western Canada
Thank you Mr. Speaker. There is a serious shortage of diesel fuel across western Canada. Many drivers are nervous about the supply and whether it will dry up altogether. Most certainly the question out there today is how effective is the resupply going to be in the North, both the supply as well as the price. Those are important questions. In a recent news broadcast a spokesman from Petro-Canada said the shortage is due to an unexpected high demand this month from wholesalers. In addition, problems at several Alberta refineries have combined with diesel fuel in short supply. Two refineries have temporarily shut down diesel production. A third refinery is not producing at full capacity. What we have here is a perfect storm of problems, because this uncertainty is real.
Mr. Speaker, last weekend I went to Edmonton, and in a polite fashion, while I was filling up my vehicle, I asked the store clerk: how are things going? He said miserable, because they had no diesel fuel to offer anyone, and he said the supply chain is broken and is getting worse. It wasn’t at one gas station alone I heard this problem. I heard it at others.
I fear the situation could have negative effects on all Northerners. A slowdown in trucking deliveries could lead to shortages of products on our store shelves. That could be food. That could be gas to fill our tanks. Mr. Speaker, that could be home heating fuel to warm ourselves in this coming cold winter. Let us not forget that Christmas is coming, and I certainly hope merchandise won’t be shorted on our shelves.
This problem has existed for a couple of months now, and all indications are that it is not fully resolved and should not be resolved until approximately November. Some fill-up stations in the South are rationing the amount of fuel that they can sell to certain customers. Mr. Speaker, I fear that this may come here, and I certainly hope it does not. Some diesel fuel supplies from Eastern Canada are being delivered west so that this situation can be eased due to the shortage.
I will have questions for the Minister of Public Works later today to ask him what he is doing about the situation and how well aware he is of the situation. I want to make sure his department is on top of the situation. Thank you, Mr. Speaker.
Thank you, Mr. Hawkins. Item 4, returns to oral questions. Item 5, recognition of visitors in the gallery.
Recognition of Visitors in the Gallery
Colleagues, I would like draw your attention to the presence in the visitors’ gallery of Mr. Dan Kardash, formerly a resident of Hay River. Dan lived in Hay River for many years. He was a schoolteacher and a successful businessman. Beside him is his son Mr. Brian Kardash, who happens to be husband to our very own Patricia Russell. Welcome to the House, gentlemen.
The honourable Member for Tu Nedhe, Mr. Beaulieu.