Good afternoon. Item 2, Ministers' statements. The honourable Member for Mackenzie Delta, Mr. Nerysoo.

Thank you, Madam Speaker. Madam Speaker, I am pleased to announced that this is Education Week in the Northwest Territories. This year's theme is "technology in the classroom."

We've all heard about the electronic super-highway and how it will shape communications in the coming years. The development of this highway has implications for education in the Northwest Territories and the world.

First, if the Northwest Territories is going to keep up with the rapid pace of technological change now and in the future, it is essential that our students learn how to use new technologies as they emerge.

Secondly, the electronic highway is potentially an excellent teaching tool, enabling Northwest Territories students to access information from a wide range of sources, and to communicate and collaborate on projects with other students in the rest of Canada and throughout the world.

For example, a few days ago students at Samuel Hearne School in Inuvik, Ecole St. Joseph School in Yellowknife and a school in Hillsboro, California were linked by computer to participate in a unique pilot project. They were testing the capabilities of communications technology for an international expedition which will take place next year. Students and staff in the three schools worked with computers, scanners and a computer tablet to learn more about the international Arctic project from the expedition team which was working out of Ecole St. Joseph School.

Next year, this team of international explorers and scientists will conduct a major expedition to increase understanding of the Arctic and its role in the global environment. They will use an international computer network to interact daily with students in grades four through 12 in classrooms around the world.

The team is currently on a practice expedition into the central Arctic, and their progress reports are posted regularly on the North of 60 electronic bulletin board system and internet.

Northwest Territories schools will follow this project on a daily basis through the bulletin board system, which my department established last year. Their participation in the international Arctic project teleconference was made possible through the cooperation of NorthwesTel, which contributed a good deal of the equipment and staff expertise.

To ensure all students in the Northwest Territories have access to the bulletin board system, Education, Culture and Employment has provided all schools with a computer and a high-speed modem. Schools in every community and the department can exchange messages, transfer files and access data banks and distance learning materials. During Education Week, schools will participate in a number of projects using the north of 60 system.

The department is also developing a distance education strategy which will provide communities in the Northwest Territories access to an electronic information and distance learning system.

All communities will be electronically linked and connected to national and international information networks. The department will provide programming for these networks using television, radio, libraries and computers.

Through consolidation of programs, a new information networks division was established in the department which brings together staff with expertise in this area. Information networks coordinates Government of the Northwest Territories participation in Television Northern Canada supports regional, community and private broadcasters; and, provides library services in partnership with communities, library boards and school boards. It also produces, acquires and distributes learning resources for school-based and distance education programs.

Madam Speaker, my department is already working in partnership with other government departments and agencies, aboriginal broadcasters and the private sector on the development and use of new communications networks.

To ensure that the distance education strategy is developed with input from all of these partners, as well as the residents of the Northwest Territories, the department has contracted the Inuit Broadcasting Corporation to plan a symposium on distance learning and new communications technologies. The symposium will be held this summer on TVNC, so it will be broadcast in communities from Labrador to Yukon. Presenters at the TVNC uplink sites in Yellowknife, Iqaluit and Whitehorse will facilitate discussions, while people from all communities will be able to phone in with comments and suggestions.

Madam Speaker, access to electronic sources of information will play an increasingly important role in the development of the Northwest Territories in the coming years. Education, Culture and Employment, with the cooperation of our partners, is developing an interactive networking system for the use and benefit of all residents of the Northwest Territories. I am pleased that the theme of Education Week reflects and promotes this innovative direction. Thank you, Madam Speaker.

---Applause

Thank you. Item 2, Ministers' statements. Item 3, Members' statements. The honourable Member for Yellowknife Centre, Mr. Lewis.

Thank you, Madam Speaker. On the weekend, Madam Speaker, I attended a conference at the Yellowknife Inn which was sponsored by the Yellowknife Association of Community Living. This association attempts to find ways in which mentally handicapped adults can integrate themselves into our society, and there were people from all over Newfoundland, from Manitoulin Island, Toronto and various other places in southern Canada. But, more especially, there were very large delegations from northern communities. From Tuktoyaktuk there were half a dozen people who came, from Rae-Edzo there were at least half a dozen people, from Cambridge Bay, Fort Smith and many other communities right throughout the Northwest Territories to try to find ways in which people, in fact, who have handicaps, can find ways of living on their own independently, with their own small place and look after themselves, and also to help them to find ways in which they can provide some kind of satisfactory work, preferably, in the long run -- and this was part of the vision -- in the place that they would like to call home.

I would like to, on behalf of the association, thank, especially, the Department of Social Services that sponsored a banquet on Saturday night. The highlight of this banquet was the fact that people were forced to get together, but also to listen to some wonderful northern entertainers. I had not heard this young lady sing before, but there is a young lady in Yellowknife by the name of Amber Lemouel who I had heard a lot about. She is 15 years old and has a voice that will tear your heart out. For those people who are looking for a young singer who has obvious vocal talents, this is the person they should be looking to, I believe, as someone who has a good career in front of her. Thank you very much, Madam Speaker.

---Applause

Thank you. Item 3, Members' statements. The honourable Member for Amittuq, Mr. Allooloo.

Thank you, Madam Speaker. I rise today to speak on the lack of reasonable policy by the Department of Education in dealing with the issue of NWT students attending high school in the south.

In my constituency, there is one student whose parents decided was too advanced to take the general high school courses as offered in Pond Inlet. The only option given to this student to receive the advanced high school courses was for him to attend high school in Iqaluit. Madam Speaker, his parents did not want to send their son there because of all the social problems and the low rate of graduation by the aboriginal students.

Madam Speaker, this family has enrolled their son in a school in Ottawa at considerable expense to themselves. When they asked the Department of Education for help, they were told that there was no policy covering this, and ultimately it was the divisional board's responsibility to deal with this situation. The Baffin divisional board says that it is the Department of Education's responsibility to provide direction in this matter.

Madam Speaker, I'll be pursuing this matter during question period. Thank you, Madam Speaker.

Thank you. Item 3, Members' statements. The honourable Member for Baffin South, Mr. Pudlat.

(Translation) I will be making a statement today regarding problems with transportation services for a person with special needs in my constituency. Concerns have been brought to my attention from both Cape Dorset and Sanikiluaq regarding this issue. In both of these communities, there are a number of young people with either physical or mental handicaps who require assistance while going to school or other places in the community. I have been asked to bring up this issue by both parents and care givers.

I understand that in Cape Dorset, there has been some effort to provide rides to people with wheelchairs in regular vehicles, but this has proven very cumbersome and impractical without a proper wheelchair lift. They would like assistance from the government for obtaining a properly equipped vehicle. Madam Speaker, I am also informed that in Sanikiluaq, there is no formal arrangement for providing transportation assistance for those with special needs in that community. Parents have to do their best by using snowmobiles in the winter or all-terrain vehicles in the summer, which causes a lot of hardship to them.

During question period today, I will be asking the government for information on what programs are presently available to help these people and to find out if we are, in fact, doing everything we can to assist those with special needs in improving their mobility. Thank you, Madam Speaker.

Thank you. Item 3, Members' statements. The honourable Member for Yellowknife North, Mr. Ballantyne.

Thank you, Madam Speaker. I thought today I would bring Members up to date on the results of the Kids' Help Phone bowl-a-thon which took place on Friday night. Members will recall that Mr. Morin, Mr. Dent and myself canvassed Members for support for this particular event. The Kids' Help Phone bowl-a-thon was held in cooperation with the Yellowknife five pin bowler's association and the Bank of Montreal and they raised close to $25,000 for a national Kids' Help Phone line.

For the record, that phone number is 1-800-668-6868. I think it's a very important service that is being provided across the country to kids in trouble. Your MLA's team consisted of Captain Charles "Pinball" Dent, Donnie "Crash" Morin, my eight year old daughter Alexandra "Hawkeye" Ballantyne, and myself.

---Laughter

What was your score?

Thanks to the generosity of Members, we raised over $1,000 for this cause.

---Applause

The actual details I can share with Members. My daughter's best game was 107. She did very well with an unorthodox two-handed technique. Charles Dent was really the star. He had the best score of anybody. He bowled 277 with five consecutive strikes, a cult hero among certain people in this town. Donnie and I went head to head and at the very end, due to bad luck on my part, Donnie won 204 to 200 when I missed the head pin in the last frame. But, we have a rematch for next year. I would, again, like to thank all Members, members of our staff and even the media who supported this very worthwhile cause. Thank you, very much.

---Applause

Thank you. Item 3, Members' statements. The honourable Member for Kitikmeot, Mr. Ng.

Thank you, Madam Speaker. During the past year, my constituents have raised concerns regarding the possible privatization of the NWT Power Corporation. Madam Premier has stated that she intends to bring forward a proposal on privatization for discussion before the end of this session. Madam Speaker, I, along with many of my colleagues, have also raised and discussed many concerns which must be addressed by the government prior to any consideration of our support to sell off the Power Corporation.

Some of these concerns and issues include the status of the rate subsidy program, how a continuation of the program can be ensured, and the justification for disposition of the NWT Power Corporation, why it is necessary, besides generating a one-time revenue from the sale which will be used to offset other fiscal requirements of the government on a short-term basis. The current NWT Power Corporation operation is profitable, generating a positive return to our government which is used to finance a rate subsidy program to assist higher cost communities while also paying back the long-term debt.

Madam Speaker, if operated efficiently, this GNWT asset will be one worth holding on to, unlike other privatization initiatives undertaken to save our government money. The other issues which must be addressed as to what effect privatization of the Power Corporation will have include the status of the current employees, power rates as a result of the corporation becoming a taxable entity, affirmative action initiatives, buy north initiatives, and the current responsiveness and accountability of the Power Corporation to the public through the GNWT and the Legislative Assembly.

Madam Speaker, the government is aware of these issues. I certainly hope they will be addressed in the proposal coming forward for discussion. At this time, I will not even consider supporting privatization of the Power Corporation until I am assured that these issues are dealt with to my satisfaction, to that of my colleagues, and most importantly, to the satisfaction of my constituents and all northerners who will be directly affected by the initiative.

Madam Speaker, I believe that privatization of the Power Corporation is a government initiative that lacks any political support from Members of this Assembly. If this is the case, I hope it's demise will be quick in order that our government can focus on matters which our constituents fully support, such as providing housing, education, training, and developing employment and income-earning opportunities. Mahsi cho.

---Applause

Thank you. Item 3, Members' statements. The honourable Member for Iqaluit, Mr. Patterson.

Thank you, Madam Speaker. Madam Speaker, this week two major made-for-TV film productions are commencing production in the Northwest Territories: Frostfire, in Yellowknife, which some Members know about, and The

Trial at Fortitude Bay, in Iqaluit. Madam Speaker, these productions, I'm sure Members appreciate, provide sizeable economic benefits to the communities in which they shoot.

The Trial at Fortitude Bay, like Map of the Human Heart and Agaguk and other recent productions filmed in Iqaluit and many others filmed there over the years, will employ Inuit as actors at generous wages, many more local people as extras, as set builders, people who rent their snowmobiles and Komatiks, their vehicles, provide caribou clothing and artifacts. This is a well established industry in the Northwest Territories. Madam Speaker, so is the Canadian film industry.

Most provinces, and even the Yukon Territory, have film development corporations or policies to provide the financial incentives these productions sometimes need to make the shoot viable in their jurisdiction. I believe a program of this kind is now even more important for the Northwest Territories, since other provinces, and even the Yukon, have programs to offer incentives. I know for example that Churchill, Manitoba, with the support of the Manitoba Film Development Corporation, was actively bidding with the production consortium of the Trial at Fortitude Bay for the opportunity to have the economic benefits of shooting outdoor scenes on location in Churchill.

I would like to thank the Honourable John Todd, his deputy and his regional superintendent for some financial assistance that was provided to help tip the balance so the Trial at Fortitude Bay could be filmed in Iqaluit and in the Northwest Territories. We need a proper policy, proper programs and a more orderly approach to attracting these important benefits to the north. Thank you.

---Applause

Thank you. Item 3, Members' statements. The honourable Member for Aivilik, Mr. Arvaluk.

(Translation) Thank you, Madam Speaker. I would like to inform the House of a meeting that will be held in Rankin Inlet from March 22 to March 24 this week. Starting tomorrow, the youth of the Keewatin region will assemble at the Nanuq Inn in Rankin in the first-ever youth conference of its kind to be held in the Keewatin region. For the information of Members and the public in the Northwest Territories, I will list out some of the topics to be discussed from the agenda: youth coordinator support; Nunavut Tunngavik Incorporated code of conduct; youth, the forgotten beneficiaries; finding solutions for our future; elders' traditions; social issues such as peer pressure and self-esteem; suicide; drugs and alcohol; and, there are many other issues to be dealt with which I did not mention. Madam Speaker, the youth of today face great challenges and we, the adults of today, must remind ourselves constantly that whatever we do becomes our legacy and falls into the lap of the youth when they become adults, good or bad. (End of translation)

Madam Speaker, I seek unanimous consent to conclude my statement.

The honourable Member is seeking unanimous consent. Are there any nays? There are no nays. Please proceed, Mr. Arvaluk.

Thank you, Madam Speaker and colleagues. (Translation) I would like to remind the participants of the Keewatin inaugural youth conference not to be overwhelmed by all the issues that they face. Although the issues before them are serious and may seem daunting, remember to enjoy yourselves. Madam Speaker, I would ask Members of this House to join me in congratulating and wishing the youth conference participants best wishes in the Keewatin region. Thank you.

---Applause

Thank you. Item 3, Members' statements. The honourable Member for North Slave, Mr. Zoe.

Thank you. Item 3, Members' statements. The honourable Member for Natilikmiot, Mr. Ningark.

Thank you, Madam Speaker. On Friday, March 18, I asked the Minister of Social Services about a mother having to carry a deceased child in a coffin at the airport. This morning I received a transcript of the 7:30 CBC news. I would like to commend Mary Broussard and I quote from the transcript, "We immediately realized that it will be in our best interest to convene a meeting with the people who are involved. That would include Social Services, the airlines and we also spoke to the Status of Women and we will come together and talk about it and put procedures in place to ensure such an incident doesn't occur again in the future." I think Ms. Broussard deserves to be recognized publicly in the House and I hope this will not happen again. Again, I am thankful for the quick action upon this very sad issue. Thank you.

---Applause

Thank you. Item 3, Members' statements. The honourable Member for Kivallivik, Mr. Arngna'naaq.

Thank you, Madam Speaker. I would like to remind Inuit in the city of Yellowknife that there is an election being held today for the Nunavut Tunngavik Incorporated president. The election booths are at the Yellowknife Inn in annex "B." They were open at 10:00 am this morning and they will be closing at 7:00 pm. I would encourage all Inuit to go and make their vote count. There should be six names that they should be able to select from. Thank you, Madam Speaker.

---Applause

Thank you. Item 3, Members' statements. Item 4, returns to oral questions. Item 5, oral questions. The honourable Member for Baffin South, Mr. Pudlat.

(Translation) Thank you, Madam Speaker. My question is directed to the Premier. The recently published details of the agreement between the Makivik Corporation and Hydro Quebec over the Great Whale project, looks like it is a money deal as opposed to a deal that will look after the interests of all Inuit in the Hudson Bay. Can the Premier tell us what this government is doing to protect the interests of Sanikiluaq? Thank you.

Thank you. Madam Premier.

Madam Speaker, I have not seen the details of that agreement. I know there was discussion, so I will take that as notice and report back to the Member. Thank you.

Thank you. Item 5, oral questions. The honourable Member for Yellowknife Centre, Mr. Lewis.

Thank you, Madam Speaker. My question is to Mr. Kakfwi. On Friday, the members of the Constitutional Development Steering Committee met with the Minister of DIAND, Mr. Irwin, for about half an hour, between 5:15 and 5:45 pm, and tried to get some idea of the federal government's commitment to helping establish some aboriginal rights in the Northwest Territories, and also in helping us with our constitutional development and the renewal of our act. He indicated some support for this process, but he didn't indicate what kind or how far. I would like to ask the Minister, in subsequent conversations with the Minister, could he tell us what exactly the federal government will do to assist with this process in the Northwest Territories?

Thank you. Minister of Intergovernmental and Aboriginal Affairs, Mr. Kakfwi.

Thank you. Supplementary, Mr. Lewis.

Thank you very much. During this visit, the Minister has already given us an indication he is prepared to also sit down with treaty groups, Treaties 8 and 11, and also to come up with some arrangement for the Metis. I would like to ask the Minister, does this indicate to him that he expects the territorial government will be involved with aboriginal institutions, or will there also be money from the federal government to do that?

Thank you. Minister of Intergovernmental and Aboriginal Affairs, Mr. Kakfwi.

Thank you. Supplementary, Mr. Lewis.

Since our government is committed to working with this process -- and it's to be commended for doing that -- I would like to ask the Minister, in these areas where there may be other arrangements, will this have any impact on the

community transfer initiative that this government is engaged in to give powers to communities even while this other process is going on?

Thank you. Minister of Intergovernmental and Aboriginal Affairs, Mr. Kakfwi.

Thank you. Final supplementary, Mr. Lewis.

Since the funds for programs for the residents of the Northwest Territories sit within the budget of the Government of the Northwest Territories, what would be the process to ensure that those funds, when the arrangements are made, could be handled on a bilateral basis since we already handle those funds?

Thank you. Minister of Intergovernmental and Aboriginal Affairs, Mr. Kakfwi.

Thank you. Item 5, oral questions. The honourable Member for Aivilik, Mr. Arvaluk.

Thank you, Madam Speaker. My question is for the Minister of Aboriginal Affairs or perhaps Renewable Resources, they are responsible for environmental matters. I guess it is very handy it is the same Minister. Madam Speaker, I want to know if the Minister has heard about this deal between the Makivik Corporation and Hydro Quebec?

Thank you. Minister responsible for Intergovernmental and Aboriginal Affairs, Mr. Kakfwi.

Thank you. Item 5, oral questions. Supplementary, Mr. Arvaluk.

Thank you, Madam Speaker. Will he be tabling the hard material or anything like that, so that all Members can have information about this deal?

Minister of Intergovernmental Affairs, Mr. Kakfwi.

Thank you. Supplementary, Mr. Arvaluk.

Thank you, Madam Speaker. I also have a newspaper clipping. I had hoped the Minister would have a little bit more detail and information than I have. However, my question concerns the preamble by my colleague, Mr. Pudluk, in his question to the Leader, is the Minister prepared to do something to protect the interests of the residents of Sanikiluaq and the Hudson Bay communities?

Mr. Arvaluk, Madam Premier took the particular question as notice, the one your friend Mr. Pudlat had posed. I regard your question as similar to the one he posed. Would you like to attempt to rephrase your question?

Thank you, Madam Speaker. The basic tenet of this agreement between Makivik Corporation and Hydro Quebec, according to the paper, is Makivik Corporation has agreed not to impede the completion of the Great Whale River Hydro Project in any way, shape or form. When the project has finally reached the environmental review hearing stage, is the Minister prepared to take part in these hearings and represent the interest of the people of Sanikiluaq and the Hudson Bay communities?

---Applause

Thank you. Minister of Intergovernmental Affairs, Mr. Kakfwi.

Thank you. Item 5, oral questions. The honourable Member for Amittuq, Mr. Allooloo.

Thank you, Madam Speaker. I would like to ask the Minister of the Environment a question. My colleague was saying that there seems to be a cash deal between Hydro Quebec and the Inuit of Makivik of northern Quebec. According to press reports, this was a $500 million deal over a 50 year period. The first year, Makivik would receive about $30 million. If, at some point during the environmental review process, it appears that all the questions are not answered -- the answers that people of Sanikiluaq and the Keewatin people are seeking, about whether there is going to be environmental damage because of the Hydro Quebec project -- is the government willing to take legal action if it seems Hydro Quebec will proceed with the project? Thank you.

Thank you. Mr. Allooloo, I have some problems with the question you are posing. It appears to be somewhat hypothetical and that is not allowed under our rules. I would like to ask if you could rephrase your question? The honourable Member for Amittuq, Mr. Allooloo.

Thank you, Madam Speaker. I would like to ask the Member of the Environment, if the Hydro Quebec project is going to proceed without answering all the concerns of the residents of Sanikiluaq, is the government willing to represent the people of the Northwest Territories and take legal action? Thank you.

Thank you. Minister of Renewable Resources, Mr. Kakfwi.

Thank you. Item 5, oral questions. Supplementary, Mr. Allooloo.

Thank you, Madam Speaker. The Cree residents of the James Bay area have great misgivings about this project and do not appear to be even contemplating entering into an agreement with Hydro Quebec. Would this government consider entering into a joint defence agreement with the Cree to stop the project if it was thought to be environmentally dangerous? Thank you.

Minister of Renewable Resources, Mr. Kakfwi.

Thank you. The chair also had trouble with the "ifs." I would like to caution Members that questions posed to the government are questions with regard to knowledge within their responsibility. Questions should not be in any way on a hypothetical basis. Therefore, I would like to caution Members in formulating their questions posed to the government. The honourable Member for Amittuq, supplementary.

Thank you, Madam Speaker. Thank you for that advice. As all Members know, it is in the knowledge, I believe, of the Minister that the Cree residents of the Hudson Bay have always opposed the James Bay project because they know that their hunting grounds and their traditional grounds would be flooded. They have been opposing this project very vigorously. I wonder if the government would consider joining their forces to defend the people of the Northwest Territories, especially Sanikiluaq and Hudson Bay communities. Thank you.

Thank you. Minister of Renewable Resources, Mr. Kakfwi.

Item 5, oral questions. The honourable Member for Yellowknife North, Mr. Ballantyne.

Thank you, Madam Speaker. I have a question for the Minister of Justice. Last week, the Canadian Centre for Justice issued three reports concerning violence against women. One report compared sexual assaults across the country. Quebec was the lowest with 64 per 100,000. Newfoundland was the highest province at 229 per 100,000. The Northwest Territories was a shocking 895 per 100,000. I think we recognize that the statistical base may have some effect on those statistics. Reporting success in provinces might have some effect. But, my first question to the Minister, has the Minister had an opportunity to see these reports?

Thank you. Minister of Justice, Mr. Kakfwi.

Thank you. Supplementary, Mr. Ballantyne.

Thank you, Madam Speaker. Supplementary to the Minister. Would the Minister make these reports available to Members, and with those reports a commentary by the department explaining some of those statistics and putting them in some context? Thank you, Madam Speaker.

Thank you. Minister of Justice, Mr. Kakfwi.

Thank you. Item 5, oral questions. Supplementary, Mr. Ballantyne.

Supplementary, Madam Speaker. I thank the Minister for that. I think this report and other reports really highlight the seriousness of the problem here in the Northwest Territories. All Members supported the Minister and the government's initiative on zero tolerance for violence in the territories. What I would like to know is, what is the Minister's next step? We have a number of initiatives happening in the bureaucracy, but this is going to take some very strong

leadership at the political level. What does the Minister see now as the most important thing that the Minister can do to deal with this?

Thank you. Minister of Justice, Mr. Kakfwi.

Thank you. Final supplementary, Mr. Ballantyne.

My final supplementary, Madam Speaker. I appreciate that consultation is going on. The Minister is aware that there are countless reports and studies that have been done. I think that we have reached the point where we have to come up with a very concrete plan. The question I will pose to the Minister is, before this House rises, can we expect a comprehensive statement from the Minister as to a specific approach that the Minister and the government will follow to follow up on the zero tolerance policy, with potential budgets attached? Thank you, Madam Speaker.

Thank you. Minister of Justice, Mr. Kakfwi.

Thank you. Item 5, oral questions. The honourable Member for Iqaluit, Mr. Patterson.

Thank you, Madam Speaker. My question is for the Minister responsible for the NWT Power Corporation, the Premier. Madam Speaker, the Government of Yukon acquired the Yukon assets of the Northern Canada Power Commission at about the same time as the GNWT purchased the NWT assets of NCPC. The Union of Northern Workers has recently asserted that the sale of, I believe it is called the Yukon Electrical Corporation, to private interests in Yukon provides an example of how power subsidies will disappear if NWT Power is privatized. Although I have taken note of the UNW views, I would like to ask the Minister for the NWT Power Corporation, in her view, what lessons does the Yukon experience have for us in the Northwest Territories? Thank you.

Thank you. Madam Premier.

Madam Speaker, often times, when one goes before the other, the types of mistakes that are made or the decisions that are made are not to the benefit of any given decision, and these learning experiences are good for everybody. It is difficult for me to answer because I have read a lot of articles that have been put out by others than the Power Corporation itself. My plan is to present, to this House, a comprehensive paper on many of those elements such as the questions that were raised earlier by the honourable Member for Kitikmeot.

First of all, there is a misunderstanding that the Yukon Power Corporation has been privatized. It has not been privatized. What has been done is to move the power corporation under the Yukon Energy Corporation which is all owned by the Yukon government. Yukon Energy then, which is owned by the Yukon government, owns the assets of the corporation, but their present arrangement is that they are contracted out to the Yukon Electrical Company, which is a company that is owned by Alberta Power. So the Yukon Energy Corporation, their power corporation, has contracted out the management of the electrical company or the power corporation to Alberta Power. So this is a present arrangement.

At the time of the transfer, the employees retained their salaries and their seniority, and the employees' pensions were transferred to a new private pension plan. The new pension plan was approved by the federal Treasury Board, and no funds were permitted to be transferred until the Treasury Board was satisfied that the new pension plan was, at least, equivalent to the public service superannuation plan. This has covered all the employees prior to transfer.

Like I said, the Yukon Energy Corporation really is a subsidiary company of the Yukon Development Corporation. I guess one of the things done when they put the power corporation under the Yukon Energy Corporation was that about $15 million to $20 million that the power corporation had made went into other economic development initiatives, such as, I think, the Watson Lake sawmill. So they were able to move the profits from the power corporation into other economic development opportunities. But the dollars that were used, plus the profits in excess of the loan payments made to pay off the YTG debt for the purchase of the assets, are annual dividends required to pay the power subsidy program. So they are doing a number of things, and they can move that around because it is under an energy corporation, unlike the Power Corporation, not being housed under any other development corporation.

So I guess one of the things that we would have to learn from that is whether we would want to move in that direction or not, or deal with exactly what is going to be done with the sale of the corporation, if it should happen, at that time. But I think there are a lot of questions that get raised out of this type of arrangement about whether it is good for us or not. I would hope that all the questions that have been raised in the general public and in the experiences of the Yukon would take into account where we take our next step. Thank you.

Thank you. Supplementary, Mr. Patterson.

Thank you, Madam Speaker. I appreciate that detailed information about precisely what happened in Yukon. I guess I would like to ask the Minister, and I think the public needs to know what is being proposed by the Government of the Northwest Territories and the NWT Power Corporation. As I understand it, in Yukon, the government retained ownership of the power corporation through a holding company, the Yukon Energy Corporation, but it basically subcontracted the management of the electrical company to a private concern, and this, I think, has been described as privatization by the UNW. I would like to ask the Minister for the Power Corporation, if this model, where you would subcontract the management to a private company, is what is being proposed for the NWT Power Corporation? Thank you.

Thank you. Madam Premier.

Madam Speaker, I believe that is one detail that really hasn't been taken into consideration or even really been discussed that much. At this point in time, according to the Abbott report, the Power Corporation is to stay intact. It already has all its employees who are situated in various communities.

In the Yukon, because Alberta Power is a very large institution -- I would say it is so large, you can call it an institution -- they really didn't have any need to build up some of the higher technical engineering capabilities that we have in Hay River. They would just import them from their more senior companies. Any area of expertise would just be drawn from a very large firm and brought into the Yukon.

At this point in time, we have the people who we require for planning. It is maybe not a large component, but for the day to day operations. What should be understood as well, is that in the Yukon, it is mainly a hydro energy corporation. There are very few communities on diesel. They have an ability, in a better way than we do, to have lower-cost power generation.

I know from discussions that Yukon Energy has to a certain degree, like the Northwest Territories Power Corporation, improved the level of service since the transfer. They have also invested quite a significant amount of dollars to improve the plants and also to install some new upgraded equipment. But, unlike the Northwest Territories Power Corporation -- and this relates to how a company operates -- the investment and new capital plan has been difficult for them because the cash flow and working capital has been depleted by using funds for other purposes. At this point in time, it's not anticipated that the employees or the work would be sub-contracted and neither, at this time, with the Abbot Report, would there be the flexibility to use the Power Corporation's profits within an energy corporation for purposes other than power generation. Thank you.

Thank you. Supplementary, Mr. Patterson.

Do I understand, Madam Speaker, that if the Yukon Power Corporation got into trouble, it was because the government had basically raided the profits from the corporation to put into ill-advised economic projects? Does that describe the situation in the Yukon? Thank you.

Mr. Patterson, I would ask you to rephrase your question. Your question is based on a hypothetical situation, as you said, "if the Yukon Power Corporation got into trouble." Can you somehow rephrase your question, stating that whether it got into trouble, or whether it did not get into trouble? The honourable Member for Iqaluit, Mr. Patterson.

Thank you, Madam Speaker. My understanding is that the Yukon electrical corporation, which inherited the assets of NCPC did get into financial difficulties. I understand from the Minister that money was taken from the profits of that corporation and put into various economic development ventures, such as a controversial sawmill in Watson Lake. Is that description of the situation, where profits were basically taken and used in ill-advised ways, describe what happened in the Yukon? Thank you.

Thank you. Madam Premier.

Madam Speaker, I don't have the intelligence of the situation to determine whether their investments were ill-advised or not. I know that there was $15 to $20 million taken out of the corporation to redirect to other economic developments other than energy development. Some of these investments have not worked out. But the Yukon government made a conscious decision to put the Power Corporation under the umbrella of the Yukon Development Corporation which gave them the flexibility to make decisions about what to do with dollars that were available from the Power Corporation, if there were any available.

That was their decision. I believe that some of the issues surrounding that have been considered negative, and perhaps taking away from the proper development of energy resources in the Yukon Territory. I think that these events can only lead us to make better decisions about where we go from here. We can learn from mistakes and profit from good decisions. The issue is somewhat like what the honourable Member is outlining. There have been concerns about how they pay their dividends and the power subsidy program, which is somewhat less than ours, because they are somewhat short of cash.

These are all areas I think we can learn from. We haven't made those decisions or decided to go in that direction, but I think whatever we do, we should do things for the benefit of Northwest Territories residents. Thank you.

Thank you. Item 5, oral questions. The honourable Member for Kitikmeot, Mr. Ng.

Thank you, Madam Speaker. My question is again for the Minister responsible for the NWT Power Corporation. Our government has policies which encourage their staff and businesses doing work on behalf of the government to use local business resources, such as taxis, hotels, and those kinds of businesses. I would like to ask the Minister if the NWT Power Corporation has similar policies for their staff and contractors engaged in work on behalf of the corporation, to use these same services in the communities? Thank you.

Thank you. Madam Premier.

Madam Speaker, to my knowledge, as much as possible, the use of local businesses and services has been the policy of the Power Corporation. I know of a lot of instances where the type of work they do is difficult for NWT residents or residents to take advantage of, because of the particular area of expertise that is required. However, to my knowledge, staff and workers of the company are dedicated to, as much as possible, support the basic principles of the NWT government in using northern businesses and operators. Thank you.

Supplementary, Mr. Ng.

Thank you, Madam Speaker. I would like to ask the Minister if she could give an example of some of the policies that the Power Corporation currently has to support local enterprises. Thank you.

Thank you. Madam Premier.

Madam Speaker, I would be pleased circulate a series of those policies. Thank you.

Thank you. Supplementary, Mr. Ng.