Thank you, Mr. Speaker. My question is for the Minister responsible for the NWT Power Corporation. Mr. Speaker, we have heard in the past that the operation of the Sanikiluaq power plant would be transferred from Public Works and Services to the Power Corporation which was expected to happen, we heard during budget discussions, by April 1st of this year. Could the Minister advise if the Power Corporation has taken over operation of the Sanikiluaq power station?
Question 481-12(7): Transfer Of Sanikiluaq Power Station
In the Legislative Assembly on April 27th, 1995. See this topic in context.
Question 481-12(7): Transfer Of Sanikiluaq Power Station
Item 6: Oral Questions
Page 1081
Question 481-12(7): Transfer Of Sanikiluaq Power Station
Item 6: Oral Questions
Page 1081
The Speaker Samuel Gargan
The Minister responsible for the NWT Power Corporation, Ms. Cournoyea.
Return To Question 481-12(7): Transfer Of Sanikiluaq Power Station
Question 481-12(7): Transfer Of Sanikiluaq Power Station
Item 6: Oral Questions
Page 1081
Nellie Cournoyea Nunakput
Mr. Speaker, no, the Power Corporation has not secured the Sanikiluaq power station. Thank you.
Return To Question 481-12(7): Transfer Of Sanikiluaq Power Station
Question 481-12(7): Transfer Of Sanikiluaq Power Station
Item 6: Oral Questions
Page 1081
The Speaker Samuel Gargan
Thank you. Item 6, oral questions. Supplementary, Mr. Dent.
Supplementary To Question 481-12(7): Transfer Of Sanikiluaq Power Station
Question 481-12(7): Transfer Of Sanikiluaq Power Station
Item 6: Oral Questions
Page 1081
Charles Dent Yellowknife Frame Lake
Thank you, Mr. Speaker. Mr. Speaker, we were told earlier that the takeover would probably happen by April 1. Can the Minister advise when it is now expected that the Power Corporation will take over the operation in Sanikiluaq?
Supplementary To Question 481-12(7): Transfer Of Sanikiluaq Power Station
Question 481-12(7): Transfer Of Sanikiluaq Power Station
Item 6: Oral Questions
Page 1081
The Speaker Samuel Gargan
Ms. Cournoyea.
Further Return To Question 481-12(7): Transfer Of Sanikiluaq Power Station
Question 481-12(7): Transfer Of Sanikiluaq Power Station
Item 6: Oral Questions
Page 1082
Nellie Cournoyea Nunakput
Mr. Speaker, the negotiations have been going on over a period of time; however, there is a very large gap between what the Power Corporation feels is a viable amount that would allow the takeover of the power plant and the price that the government feels that they should be reimbursed for their investment. Thank you, Mr. Speaker.
Further Return To Question 481-12(7): Transfer Of Sanikiluaq Power Station
Question 481-12(7): Transfer Of Sanikiluaq Power Station
Item 6: Oral Questions
Page 1082
The Speaker Samuel Gargan
Item 6, oral questions. Supplementary, Mr. Dent.
Supplementary To Question 481-12(7): Transfer Of Sanikiluaq Power Station
Question 481-12(7): Transfer Of Sanikiluaq Power Station
Item 6: Oral Questions
Page 1082
Charles Dent Yellowknife Frame Lake
Thank you, Mr. Speaker. That answer didn't indicate whether or not the Minister really expected that the Power Corporation would take over the operation, and I have noticed that there was a tender out for the power plant operation. It's been put out by Public Works and Services. Does this indicate that it is no longer the plan of this government to transfer the operation in Sanikiluaq to the Power Corporation?
Supplementary To Question 481-12(7): Transfer Of Sanikiluaq Power Station
Question 481-12(7): Transfer Of Sanikiluaq Power Station
Item 6: Oral Questions
Page 1082
The Speaker Samuel Gargan
Ms. Cournoyea.
Further Return To Question 481-12(7): Transfer Of Sanikiluaq Power Station
Question 481-12(7): Transfer Of Sanikiluaq Power Station
Item 6: Oral Questions
Page 1082
Nellie Cournoyea Nunakput
Mr. Speaker, the Power Corporation is still interested in taking over the facility and operating it, owning it and maintaining it. However, the issue is price of assets, and it's still in the interests of the Power Corporation to proceed. However, like I said earlier, there is a wide gap between what the Power Corporation feels is an adequate purchase price and what the government feels is an adequate purchase price. The intent of the Power Corporation is to continue to pursue the takeover of the Sanikiluaq plant. However, until there can be some reconciliation on the margins, the Power Corporation will continue to pursue this; at the same time, I would assume that it is still the responsibility of the Department of Public Works and Services to make sure the power plant continues to operate. Thank you.
Further Return To Question 481-12(7): Transfer Of Sanikiluaq Power Station
Question 481-12(7): Transfer Of Sanikiluaq Power Station
Item 6: Oral Questions
April 26th, 1995
Page 1082
The Speaker Samuel Gargan
Item 6, oral questions. Final supplementary, Mr. Dent.
Supplementary To Question 481-12(7): Transfer Of Sanikiluaq Power Station
Question 481-12(7): Transfer Of Sanikiluaq Power Station
Item 6: Oral Questions
Page 1082
Charles Dent Yellowknife Frame Lake
Thank you, Mr. Speaker. Since the government is the sole owner of the Power Corporation, and since the government, you could say, is the sole owner of Public Works and Services, I am having a real problem seeing what the difficulty is. Why can't the government direct that the transfer take place?
Supplementary To Question 481-12(7): Transfer Of Sanikiluaq Power Station
Question 481-12(7): Transfer Of Sanikiluaq Power Station
Item 6: Oral Questions
Page 1082
The Speaker Samuel Gargan
Ms. Cournoyea.
Further Return To Question 481-12(7): Transfer Of Sanikiluaq Power Station
Question 481-12(7): Transfer Of Sanikiluaq Power Station
Item 6: Oral Questions
Page 1082
Nellie Cournoyea Nunakput
Mr. Speaker, the Power Corporation operates as a company and as a business and has its mandate. They, as a corporation that has to be primarily interested in the ratepayer and what the ratepayer can absorb, make an offer accordingly.
The Power Corporation is also regulated under the Public Utilities Board, which sets some standards on acquisitions and how much can be absorbed over a capital purchase, whether it's new plants or new acquisitions.
So the Power Corporation is operating under its mandate, and I presume that the Department of Public Works and Services, on behalf of the Government of the Northwest Territories, is operating on the basis of the investment that they have put into the Sanikiluaq plant. The matter is in a negotiating process at any time and the interest is there; however, the gap at this point in time appears too wide and it would appear negotiations have to continue so both parties can be treated fairly. Thank you, Mr. Speaker.
Further Return To Question 481-12(7): Transfer Of Sanikiluaq Power Station
Question 481-12(7): Transfer Of Sanikiluaq Power Station
Item 6: Oral Questions
Page 1082
The Speaker Samuel Gargan
Thank you. Item 6, oral questions. Mr. Ballantyne.