This is a response to a question asked by Mr. Koe on December 12th. To respond to the Member's question in brief, the answer is no, no other communities are affected by the proposed rate increase.

Unlike most municipal water/sewage services in the NWT, the Inuvik utilidor system is operated by the NWT Power Corporation on behalf of the GNWT, the federal government and the town. So under the present operating arrangement the Minister of MACA approves water/sewer rates for Inuvik.

Just prior to leaving office, my predecessor, the Hon. Tom Butters, approved a rate increase for private users from 20 cents to 22 cents per litre. This generally equates to an increase from $50 to $55 for private residences. This rate is significantly less than the current economic rate of 52 cents per litre. The object is to bring the rates paid by private residential users in Inuvik into line with the subsidized rates charged in hamlets and the subsidized rates charged in the tax based municipalities of Iqaluit and Norman Wells.

While the proposed rate increase was discussed at a recent meeting of the Inuvik Town Council, the NWT Power Corporation has not yet officially notified residents. Corporation officials have advised the department that the rate increase will come into effect April 1, 1992, and will be advising their consumers accordingly.