Thank you very much, Mr. Speaker. Mr. Speaker, today I have questions for the Minister responsible for NTPC about greening I know, it's a shocker about greening our electricity mix without making rates less affordable than they already are.
One of the GNWT's main policy tools to green the electricity mix is net metering. But that policy isn't sustainable for ratepayers or for our 2030 Energy Strategy goals. A 2021 policy review found that by 2030, electricity utilities will be losing up to $2.7 million per year on net metering, and that's without going beyond the 20 percent cap on renewables. That policy review made five recommendations. I'm not aware of what, if any, the GNWT has done in response to the review in the last two years.
So my question for the Minister is, can the Minister tell this House whether she's been briefed on the findings and recommendations of the report and what the department is doing in response? Thank you.
Thank you, Member for Kam Lake. Would the Member for NTPC please stand up.
Again, Mr. Speaker? So I do want to note, Mr. Speaker, in 20202021, Infrastructure commissioned and released three independent studies to be able to look at the policy options to develop more renewable power in remote communities and in the hydro zones while establishing electricity rates and ensuring grid reliability. These studies three things: Assess the maximum limits of renewable power in thermal communities. It also explored how the Northwest Territories could generate additional revenues from excess power. And looked at options to contain rate inflation from the current net metering and selfgeneration policy.
Mr. Speaker, in the 20222025 Energy Action Plan that was just released here in December, the GNWT committed to provide direction to the public utility board to make changes to the current policy framework so that we could support renewable power built without compromising grid reliability and impacting electricity rates. Thank you, Mr. Speaker.
Thank you, Mr. Speaker. Mr. Speaker, the report recommended that within one or two years the GNWT reduce the credit for renewable generation and allow utilities to increase their fixed charges by 5 percent. Is the GNWT considering reducing the credit for renewable generation and will the GNWT consult before making such changes? Thank you.
Thank you, Mr. Speaker. As mentioned, we committed in the new energy action plan to provide direction to the public utility board to make changes to this current policy framework so that we can support renewable power build out without compromising grid reliability and impact electricity rates. I'm sorry, I repeated myself; I think that's really important to say.
Regarding the credit for the renewable energy, it's important to remember that utilities operate within a very complex and regulated environment. The GNWT cannot unilaterally decide to change rates like the one establishing the compensation received for renewable generation. It is up to the public utilities board to decide following a detailed process of investigation and public consultation. Thank you, Mr. Speaker.
Yeah, thank you, Mr. Speaker. Mr. Speaker, I'm aware of Indigenousled renewable energy projects that can't go ahead because of this 20 percent cap that NTPC currently has. While our energy strategy commits us to reduce emissions from diesel power generation in communities by 18 kilotons every year by 2030, we are turning down proposals for renewable projects.
So can the Minister commit to make changes to the policy so that NTPC will work with any business or community that bring forward green energy projects even if they are above the 20 percent cap? Thank you.
Thank you, Mr. Speaker. This is exactly why we're actively looking at this issue and why we made a commitment, not only to assess it but to provide an update direction to the public utility board on this matter. Thank you, Mr. Speaker.
Thank you, Minister. Final supplementary. Member for Kam Lake.
Thank you, Mr. Speaker. I would have liked to have heard a yes, not a I want a yes, just a passionate yes. Thank you, Mr. Speaker.
My last question for the Minister is can the Minister clearly confirm whether our 18-kiloton reduction goal is attainable with only 20 percent renewables in diesel communities? Thank you.
Thank you, Mr. Speaker. Mr. Speaker, achieving the 18-kilowatt kiloton, sorry, big difference here kiloton reduction in the electricity sector is still possible. This will be achieved by a combination of things like the Inuvik Wind Project, the LNG projects, Fort Providence Transmission Line, as well as assuming some of the 20 percent intermittent generation limit. Thank you, Mr. Speaker.
Thank you, Minister. Oral questions. Member for Frame Lake.
