Mr. Speaker, in recent months we have seen energy prices reach record levels. The continued high demand for energy resources in growing economies such as India and China will likely mean energy prices will remain high for the foreseeable future.

As a result of these worldwide pressures on energy supply and costs, it is imperative that the Northwest Territories address our own energy usage and underlying cause of increased energy costs. In the short term, this means we must do more to reduce consumption and increase energy efficiency. We must also recognize our longer-term goal of identifying more stable and reliable energy sources to mitigate rising energy costs and provide all northerners with affordable energy options.

In the fall of last year, this government and Legislative Assembly implemented the energy conservation action plan to increase public awareness on energy conservation and provide individuals, businesses and government departments with the tools to put meaningful energy conservation measures into practice. This innovative plan, aimed at enhancing existing conservation programs, introduced new conservation initiatives and identified new technologies to help reduce energy costs.

Mr. Speaker, to date, this program has been very successful. We are particularly encouraged by our residents’ interest in and implementation of individual conservation programs and by the way government departments, boards and agencies and non-government organizations are working together in an ongoing and sustained effort to reduce energy usage and strengthen innovation.

Later today, the Minister of Environment and Natural Resources, the Honourable Michael Miltenberger, will provide Members of this Legislative Assembly with an update on the action plan.

Mr. Speaker, given world pressures, it is equally important for the Northwest Territories to look outward when considering issues concerning the supply and demand of energy.

Today, almost all of our territory’s annual energy supply is imported from southern Canada in the form of fossil fuels. Secure, reliable and affordable energy supplies are essential to the long-term interests of this territory.

As a territory, we neither control nor regulate the cost of this energy. As we have seen over the past year, it is subject to sudden and large increases in response to world events and the supply and demand nature of the global economy.

Fortunately, Mr. Speaker, we have significant renewable and non-renewable energy resources, including extensive potential in natural gas and hydroelectricity right in our own backyard. The Mackenzie gas pipeline project is a basin opening project that can bring northern gas to southern markets and has the potential to provide clean, natural gas to many of our communities displacing less environmentally friendly fossil fuels. Our hydroelectric potential is enormous. Projects at the Bear River and the expansion of capacity on the Taltson River also have the potential to displace diesel generated energy in communities and industrial developments.

We must take a long-term view of the development of these energy resources. This means making critical policy choices respecting the development of Northwest Territories energy resources and setting the long-term strategic direction required to ensure affordable and sustainable energy solutions for the benefit of all Northwest Territories residents.

Mr. Speaker, the government has been working on a framework to begin this important discussion. Later today, the Minister of Industry, Tourism and Investment will table an energy discussion paper titled “Energy for the Future” that sets out many of the issues this government and Legislative Assembly will have to consider in this discussion.

Mr. Speaker, this government intends to continue focusing on renewable energy options and the development of policies that encourages conservation, innovation and the development of sustainable, secure energy supplies for all NWT residents. Thank you, Mr. Speaker.

---Applause