Thank you, Mr. Chairman. I am pleased to bring before the Legislative Assembly the proposed 1992-93 main estimates for the Department of Transportation. These estimates provide the funding required to ensure that our existing transportation infrastructure is maintained to an adequate level of safety and service.

The O and M budget proposed a total expenditure for 1992-93 of about $40 million. This is about half a million less than the main estimates and subsequent approvals for 1991-92. The department's establishment has also been reduced by 9.3 person years.

Despite these reductions, the department has achieved a number of significant objectives during the year thus far.

For the first time, the main estimates for 1992-93 show the $7.8 million in O and M expenditures that the Department of Transportation now spends annually on the 38 territorial airports transferred from the federal government in 1991.

Another important initiative, is the department's highway dust control program. Through this program, over half of the gravel surfaced roads on the territorial highway system are now dust free. Dust control provides better driving visibility, and is an important factor in increasing highway safety.

As a result of the Department of Transportation's efforts, and the cooperation of the Canadian hydrographic service and the Canadian Coastguard, charting of a safe marine access channel through the ice to the community of Pelly Bay has been completed. Marine re-supply of fuel to Pelly Bay could begin as soon as the 1993 shipping season, followed by dry cargo re-supply in 1994. This will have a significant impact on supply costs to the community.

The Departments of Transportation, and Energy, Mines and Petroleum Resources, are participating with the federal government, and several transportation and resource sector companies, in a study of marine shipping possibilities in the Kitikmeot's Coronation Gulf area. This may lead to major economic developments in the region, provide employment and business opportunities, and reduce supply costs for communities in this region.

In summary, the department is pursuing the objectives of the transportation strategy through improvements to the operations of N.W.T. road, air and marine transportation systems which are so important to the social and economic well being of northerners.

Those are my opening remarks, Mr. Chairman.

---Applause