Thank you, Mr. Speaker. I am pleased to make the following statement on behalf of my colleague, the Minister responsible for the NWT Power Corporation, who is in Fort McPherson today to sign an important new energy agreement with the Gwich'in Development Corporation.
This afternoon, the Minister, along with the Member for Mackenzie Delta, representatives of the Power Corporation and the Gwich'in Tribal Council, are signing the papers which will set this in motion. It is hoped that the agreement will set the pattern for others like it across the North.
Customers on the new system will be able to buy the heat at rates competitive to what they now pay for heating fuel.
The direct advantage will be reduced heating costs and lower expenses for maintenance.
The Power Corporation will benefit from new revenues from a valuable resource which is a by-product of electrical generation. This will help stabilize power rates for customers.
Mr. Speaker, Members will recall the fire early this year that destroyed Fort McPherson's school. This new district heating system will cut replacement costs by avoiding the need for new boilers in the new school.
Those communities that already have power plants located close to larger buildings are especially well suited to take advantage of district heating systems. There are several communities which have been using the Power Corporation's heat, free of charge, since the late 1970s. But the Power Corporation recognizes that by treating this heat as a valuable resource rather than a by-product, considerable benefits can be created for more communities and for power users across the North.
Those benefits include recapturing more of the value of the fuel, thereby offsetting the corporation's operating expense and stabilizing rates for power customers. It means significantly reducing pollutants by reducing the burning of heating fuel and will create new local business opportunities.
Mr. Speaker, I congratulate the Power Corporation and the Gwich'in on the signing of their new joint venture.
It is an excellent combination of reducing costs, taking advantage of existing resources and benefitting the environment. Thank you, Mr. Speaker.