Thank you, Mr. Speaker. Mr. Speaker, it has been just over one year since the Government of the Northwest Territories’ energy functions were consolidated in the Department of Public Works and Services. Today I would like to update Members on some of the work that this division is doing. The Government of the Northwest Territories has made commitments in its mandate to improve access to energy efficient products and to investigate and implement renewable and alternative energy solutions. Public Works and Services efforts in this area included the installation of energy efficient LED streetlights in communities across the NWT in partnership with the Northwest Territories Power Corporation, and the completion of solar projects in Fort Liard, Fort Simpson, Colville Lake, and Wrigley. The department also undertook wind monitoring and project feasibility work for a potential wind development in Inuvik. Building on the success with liquefied natural gas in Inuvik, we have also done feasibility work of using LNG in Fort Simpson. Since 2014, the Inuvik LNG installation has saved NTPC $1.7 million in fuel costs.
Mr. Speaker, making better use of our existing hydroelectric resources is another one of the commitments in the Government of the Northwest Territories mandate. Our commitment includes exploring options to respond to low water in the North Slave system, which we have done with the recently completed North Slave resiliency study.
As a result of record low water levels experienced in the North Slave hydro system, Public Works and Services engaged Manitoba Hydro International to review our system and provide recommendations on how best to manage low water conditions. The study established that we can expect hydro-generated electricity to be available about 90 per cent of the time for at least the next 20 years. It also found that without a new large industrial power customer, such as a mine, alternative generation such as wind or solar would go unused most of the time and would add unnecessary expenses to customers’ bills through the rate increases.
Recommendations in this study include improving hydrology monitoring on the North Slave hydro system, examining options for aging infrastructure, and to consider options to offset rate shock caused by low water, such as a low water fund. Over the coming year, Public Works and Services will work with other departments and agencies to implement these recommendations. The department also continued to deliver those energy products and programs which have proven successful year over year. These include:
Installing six biomass boiler installations, bringing the total of Government of the Northwest Territories wood pellet boiler projects to 28; and
Completion of 26 energy efficiency projects on various government facilities throughout the NWT which will reduce the equivalent of 8,800 tonnes of greenhouse gas emissions and save the government $267,000 each year.
Mr. Speaker, the implementation of the Capital Asset Retrofit Program in 2007, energy conservation and efficiency improvements, and the adoption of biomass heating technology for many of our facilities, has resulted in annual savings of $1.8 million. It is anticipated that in the coming year, annual savings will exceed $2 million and annual greenhouse gas reductions will exceed 10,000 tonnes. Looking ahead, the Department of Public Works and Services will direct $3.8 million in the coming year to energy retrofits and alternative energy products, including LED lighting, building retrofits, biomass, and solar across the NWT. As well, five biomass boilers are included in the new construction projects across the NWT including the Stanton Territorial Hospital.
In response to our mandate commitment to increase incentives and improve access to energy efficient products, the department will continue to work closely with and support the work of the Arctic Energy Alliance. The department will provide $3.5 million in funding to the alliance this year to ensure that residents, businesses, and community governments can access the services and incentives that will help them manage their own energy use. We plan to build on all of these successes by developing a long-term vision for energy through a new energy plan, which will address affordability, reliability, environmental impacts, and the economic development potential of energy within the Northwest Territories. Today, I will table the 2015-16 Energy Conservation Initiatives Report. This annual report outlines how the Department of Public Works and Services is meeting our government’s mandate priorities in the areas of energy efficiency, alternative and renewable energy use, and support to residents to invest in and to adopt energy practices aimed at reducing the cost of living and mitigating the impacts of our energy use on the environment. Thank you, Mr. Speaker.
Masi. Ministers' statements. Minister of NWT Power Corporation.
