Debates of February 19, 2016 (day 2)

Date
February
19
2016
Session
18th Assembly, 2nd Session
Day
2
Members Present
Hon. Glen Abernethy, Mr. Beaulieu, Mr. Blake, Hon. Caroline Cochrane, Ms. Green, Hon. Jackson Lafferty, Hon. Bob McLeod, Hon. Robert McLeod, Mr. McNeely, Hon. Alfred Moses, Mr. Nadli, Mr. Nakimayak, Mr. O’Reilly, Hon. Wally Schumann, Hon. Louis Sebert, Mr. Simpson, Mr. Testart, Mr. Thompson, Mr. Vanthuyne
Topics
Statements
Speaker: MR. SPEAKER

Masi. Oral questions. Final supplementary. Member for Yellowknife North.

Thank you, Mr. Speaker, and I again thank you for the response from the Minister. I have a sense that most folks do want the Canada Winter Games, but the biggest question continues to be how will the City afford their part. City council is giving consideration next week toward the possibility of a hotel levy, which could have considerable ability to support costs for the games. My question to the Minister is: Will the government support working with the City of Yellowknife to possibly enact a hotel levy? Thank you, Mr. Speaker.

The Canada Winter Games 2023 is a fantastic opportunity to showcase the city of Yellowknife and the Northwest Territories to those across the country with the national exposure it will get as far as media coverage goes. As far as a hotel levy, I think there are some amendments that need to be made to municipal legislation that would allow the local municipal governments to, through bylaw, create, collect, and administer levies on hotels. Until that legislation is done there is nothing stopping them from creating a destination-marketing fee that would apply only to the city or to each municipality as they decide to do so. It is a priority of Municipal and Community Affairs, and I think the initial work is going to begin during the life of this Assembly, to give the communities the opportunity to enact one, if that was the community's desire.

Speaker: MR. SPEAKER

Masi. Oral questions. Member for Kam Lake.

Question 20-18(2): Incentives to Support Mineral Exploration

Thank you, Mr. Speaker. Mr. Speaker, we've heard of the slowdown in our economy and the decline in mineral exploration. I'd like to ask the Premier what is being done to reverse the course of the slowdown in exploration and what concrete actions we're moving forward on.

Speaker: MR. SPEAKER

Masi. Honourable Premier.

Thank you, Mr. Speaker. The Government of the Northwest Territories and the Department of Industry, Tourism and Investment have been working very closely with the Chamber of Mines and we have developed a Mineral Development Strategy that encompasses a number of factors. Exploration is the key to finding new projects, new opportunities for development. One of the areas that we are trying to do is to help stimulate exploration and we have a Mining Incentive Program, which we implemented in 2014 and are again funding for 2015. Thank you, Mr. Speaker.

The Mining Incentive Program is very similar to a program they have in Yukon as well. However, the Yukon program is nearly twice as large in available funding and has additional funding for late-stage advancement projects. Will the Premier commit to reviewing the program and possibly expanding it, given the importance of getting exploration back on track in the Northwest Territories?

The Yukon has a similar program and they spend $1.4 million in their Mining Incentive Program. We have identified $400,000 on an annual basis for our Mining Incentive Strategy. It's application-based and this year we received 12 corporate and nine prospector funding applications for a total of $1.1 million. We have to go through a review process to identify which ones we will fund. Certainly recognizing that mining is the largest part of our economy, it represents 40 per cent of our economy, we want to not only maintain what we have but we also want to find new prospects. Our experience with the Mining Incentive Program is that it has already provided for success in a number of claims that have been discovered using these funds, so certainly, I would want to entertain and look at the possibilities of what we can do to improve on the program.

That is exactly why I asked these questions today. We have heard at length of how great the program is and how it is achieving results. Those are the kind of the results we need to move our economy forward and I'm pleased to hear that that the Premier will be looking at expanding the program and the possibility there.

When we have successful programs it becomes a matter of priorities and with the mandate that will be tabled on Monday and once finalized that will allow us to go forward with our business planning. Certainly, this would be an important area for consideration.

Speaker: MR. SPEAKER

Masi. Oral questions. Member for Tu Nedhe-Wiilideh.

Question 21-18(2): Impact of Water Levels on Hydroelectric Power Generation

Thank you, Mr. Speaker. Mr. Speaker, over the last couple of years it has been well publicized that the Power Corporation has received large amounts of money from this Legislature to keep the costs of power down to the residents of the NWT. I'd like to ask the Minister responsible for the Power Corporation if he can tell the House what the water levels look like at Bluefish Dam. Thank you.

Speaker: MR. SPEAKER

Masi. The Minister responsible for NWT Power Corporation.

Yes, Mr. Speaker, the Members of this House will know that in the last couple of years there have been significant contributions, $20 million one year and $27.5 million the last year to offset costs related to low water. I have spoken to senior management at the Power Corporation and they are optimistic that no further funds will be required going forward. Their research indicates that the very low water levels of the last two years were a real anomaly. Going back to 1950, it was the lowest they had seen, and they're optimistic that water levels will be higher this year and going forward, so hopefully, they will not require any more funds from this government. Thank you.

That is good news. Good news for the residents of the Northwest Territories. If the water levels are not as high as anticipated by the Power Corporation, is there an immediate contingency plan that can be used, as opposed to just coming and asking for money? Is there another contingency plan that would address the issue if the water levels are down?

I understand in speaking with senior management that they have not in fact used up all the money from past years so there is some left over. Long-term, to deal with this issue, there will probably need to be a connection with the continental grid, which would be, of course, very expensive. But again, their research indicates that the water levels of the last two years are the lowest since 1950, and they are very optimistic that water levels will be higher this year and there will not be a problem in the next few years.

Beyond a contingency plan and beyond the fact that water levels look good now, there's still potential for water levels to be down again and us being faced with this type of cost. Are there any other alternatives that the Power Corporation is looking at should the water levels go down again? Alternatives to diesel, is what I'm referring to.

The Power Corporation is always looking at alternatives to diesel. We, of course, want to reduce our consumption of diesel energy and so others such as solar and wind are being looked as supplement, so that in the future if there are again low water levels, which is likely in the long term, that that issue can be dealt with not by using more diesel but by using solar, biomass, and other alternative energy sources.

Speaker: MR. SPEAKER

Masi. Oral questions. Member for Frame Lake.

Question 22-18(2): Designation of Oil and Gas Operations Regulator

Thank you, Mr. Speaker. I just noticed that there was a letter that was sent from the Premier to the Standing Committee on Priorities and Planning about Minister Sebert assuming the responsibility for the Office of the Regulator of Oil and Gas Operations. I'm just curious to know, is there a formal instrument and does it have to be published in the Northwest Territories Gazette? Beyond just this letter, is there any other instrument that's required? A decision of Cabinet? How is this designation actually done? Thank you, Mr. Speaker.

Speaker: MR. SPEAKER

Masi. The honourable Premier.

Thank you, Mr. Speaker. It's a decision of Cabinet. Thank you.

I understand, then, that it's a decision of Cabinet. Well, it's public now that it has been discussed in the House, but I presume then that the website is going to be updated to reflect this change. Is this something that appears in the Gazette? Is there any other sort of formal instrument that is required here?

There is a media release that is going out and if there is a requirement for gazetting, then it will be gazetted. There did not seem to be an urgency because there is very little oil and gas activity going on, so all of the required processes would be done in due course.

Consideration in Committee of the Whole of Bills and Other Matters

I now call Committee of the Whole to order. What is the wish of committee? The honourable Member for Tu Nedhe-Wiilideh

Thank you, Mr. Chairman. The committee wishes to report progress.

---Carried

Report of Committee of the Whole

Speaker: MR. SPEAKER

Mr. Chair, may I have the report of the Committee of the Whole?

Mr. Speaker, your committee would like to report progress. I move that the report of the Committee of the Whole be concurred with.

Speaker: MR. SPEAKER

Thank you. Do I have a seconder? Member for Mackenzie Delta. Motion is in order. To the motion. Question has been called. All those in favour? All those opposed?

---Carried

Orders of the Day

Speaker: Mr. Mercer

Orders of the day for Monday, February 22, 2015, at 1:30 p.m.:

Prayer

Ministers’ Statements

Members’ Statements

Returns to Oral Questions

Recognition of Visitors in the Gallery

Acknowledgements

Oral Questions

Written Questions

Returns to Written Questions

Replies to Commissioner’s Opening Address

Petitions

Reports of Standing and Special Committees

Reports of Committees on the Review of Bills

Tabling of Documents

Notices of Motion

Notices of Motion for First Reading of Bills

Motions

Motion 9-18(2), Referral of Tabled Document 1-18(2): Proposed Mandate of the Government of the Northwest Territories, 2016-2019 to Committee of the Whole

First Reading of Bills

Second Reading of Bills

Consideration in Committee of the Whole of Bills and Other Matters

Tabled Document 2-18(2), Interim Estimates, 2016-2017

Tabled Document, 3-18(2), Supplementary Estimates (Infrastructure Expenditures), No. 4, 2015-2016

Tabled Document 4-18(2), Supplementary Estimates (Operations Expenditures), No. 3, 2015-2016

Report of Committee of the Whole

Third Reading of Bills

Orders of the Day

Speaker: MR. SPEAKER

The House stands adjourned until Monday, February 22, 2016 at 1:30 p.m.

---ADJOURNMENT

The House adjourned at 11:55 a.m.