Thank you, Mr. Speaker. Mr. Speaker, yesterday we learned through a CBC news report that the NWT Power Corporation has contracted for four generators worth about two and a half million dollars with an American company. At the time, in mid-2015, Virdi Power of California indicated delivery in six months. According to the Minister, the company received a $1 million deposit from the NWT Power Corporation.
It is now 18 months later, Mr. Speaker, and only some of the components have been delivered. The Power Corporation can't provide details on which components have been received.
There have been 25 visits to the company by a consultant checking in on behalf of the Power Corporation, including one less than two weeks ago. The report indicates that some of the units are still in the stages of being painted and sheet metal siding installed, but in the areas of major component assembly -- installation of conduit, lights, and receptacles; installing major components; and load testing -- there is no progress.
Virdi Power indicated that a delay was caused by a record storm that flooded the shop. Mr. Speaker, that storm was two weeks ago today. These generators are over a year behind schedule.
Mr. Speaker, as an MLA who has been concerned with the ever-rising increases for power, this situation makes me uneasy in a number of ways.
Why did we go to a company in California when two other bidders on this project, reputable companies in Canada, also submitted bids? When a much smaller, lesser-known company bids significantly, didn't that raise some red flags for the Power Corporation?
These generators were purchased in order to replace aging generators already at the Jackfish Power Plant. The new generators are a year past the delivery date, and the Minister acknowledged that the Power Corporation has had additional expenses for rental generators. One can only wonder if there have been yet more costs to the NWT taxpayer in repairs, upkeep, and maintenance. Mr. Speaker, I seek unanimous consent to conclude my statement at this time. Thank you, Mr. Speaker.
---Unanimous consent granted
Thank you, Mr. Speaker, and thank you, colleagues. Mr. Speaker, if I ordered a piece of equipment for my business and it was promised in six months but had not shown up for a year and a half later, you can bet that I would be all over that supplier, I would have gotten my money back, and I would never have ordered from that supplier again.
The Power Corporation is working with the company and says it has negotiated compensation that is fair. Mr. Speaker, one thing is for sure. This circumstance is not inspiring confidence in the ratepayers of the North. Mr. Speaker, I will have questions at the appropriate time. Thank you, Mr. Speaker
Masi. Members' statements. Member for Hay River North.
