Debates of March 9, 2017 (day 67)

Date
March
9
2017
Session
18th Assembly, 2nd Session
Day
67
Members Present
Hon. Glen Abernethy, Mr. Beaulieu, 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

Question 725-18(2): New Generators for Yellowknife Power Plant

Thank you, Mr. Speaker. Mr. Speaker, last week, I had some questions for the Minister responsible for the Power Corporation with regard to the delayed generators purchased out of California. Today, I am inclined to ask the Minster some questions about the Power Corporation’s procurement policies. I am wondering, to start, if the Minister can indicate: when the Power Corporation receives bids or proposals for goods and services, what steps are taken to ensure that the bidder is reliable and qualified? Thank you, Mr. Speaker.

Speaker: MR. SPEAKER

Masi. Minister responsible for NWT Power Corporation.

Mr. Speaker, the Power Corporation, as most government operations, does have a procurement policy. I can’t speak to what steps were taken to ascertain, in the instant case, the qualities of the bidders. I do know, from what I have read, that they all were well-known bidders in this area, so I assume the Power Corporation took the regular steps in determining that when they reviewed the bids. I don’t have any specific knowledge as to the steps that were taken in this specific case. Thank you, Mr. Speaker.

That leads to my next question. When a bidder proposal is evaluated, sometimes it is not uncommon with government procurement that we could find a bidder to be what we call “non-responsive.” That means that they somehow didn’t fulfill the obligations of the bid. Another aspect that is sometimes brought into question is whether the bidder is what is called “non-responsible” and unlikely to work out. Maybe, in this instance, it is almost too good to be true. What does the Power Corporation do to determine if a bid proposal is responsible or not?

I imagine that evaluation is done at the time any bid is received. They could certainly look at whether it had past history with this bidder, how the potential bidder had done in other bids, and how they had done with other contractors. I have no idea what exact steps were taken in this case, but I imagine those steps would have been taken.

Just to be clear, can the Minister indicate that the Power Corporation does, in fact, follow GNWT procurement policies, or do they have their own procurement policies?

The Northwest Territories Power Corporation does have its own purchasing policy. I don’t imagine it is very different from that of the government.

Speaker: MR. SPEAKER

Masi. Oral questions. Member for Yellowknife North.

Thank you, Mr. Speaker. To that extent, then, there are probably opportunities or times when certain contracts are not going to be put out for public offering. Can the Minister describe if, in fact, the Power Corporation puts all of its contracts and services out for public offering, or are there circumstances where the Power Corporation sole-sources contracts? Thank you, Mr. Speaker.

Thank you, Mr. Speaker. That information is, in fact, contained in the purchasing policy. The determination as to whether it will go out to the broad public or to sole-source is determined by a series of factors, including price. I know there is a sole-source contract awarded that would depend on factors such as emergency and other factors. There is a policy which the Power Corporation follows.

Speaker: MR. SPEAKER

Masi. Oral questions. Member for Sahtu.