In the Legislative Assembly on December 7th, 1998. See this topic in context.

Member's Statement 227-13(6): Meeting With President Of Northwestel
Item 3: Members' Statements

December 6th, 1998

Page 547

Michael Miltenberger

Michael Miltenberger Thebacha

Thank you, Mr. Speaker. Mr. Speaker, during our last sitting, my colleague from Yellowknife North and I raised some concerns in this House about NorthwesTel's service. Today, we had the opportunity to have lunch with Mr. Boorman, the President of NorthwesTel, our northern telecommunications company, as he referred to it. He gave a compelling overview of the state of telecommunications in the north and some of the huge challenges facing us, if we want to, in fact, keep a northern telecommunications company.

He spoke of competition that is formally going to start in the year 2000, but in actual fact, has started already through the back door of an eroding revenue base, as a result of these kinds of activities, of the tremendous infrastructure that has been built up in the north that no other company would possibly be able to duplicate or maintain. He also recognizes the need to do some improvement of their image with the public and make them aware of the gravity of the situation, as we approach competition in the year 2000, on a formal basis.

The bottom line, he told us very clearly, was if NorthwesTel is not profitable, NorthwesTel will not remain in business. If NorthwesTel does not remain in business, then the services we have come to rely on will be in jeopardy.

Mr. Speaker, they are going to be taking advantage of some opportunities to, in fact, try to adjust that situation and make a more level playing field. They are going for a rate consolidation, and in about six to eight months, they are also going to be looking to CRTC for a telecommunications subsidy, I would assume, sponsored or paid for by the larger telecommunication companies across Canada.

Mr. Boorman also offered to meet with the MLAs to give them a full and detailed briefing of the situation and to solicit the support of this Assembly. Without our support, as the government of the day of one of the major users of that system, the job they will have will be even more difficult.

My colleague, Mr. Erasmus, is committed to, in fact, following up with a letter on behalf of the western MLAs sometime in the new year to arrange such a briefing. I would like to encourage my eastern colleagues, as well, to take advantage of that opportunity. Unless we work together, the system we have invested so much money in, the DCN, and the system NorthwesTel has invested so much money in, will be in jeopardy. It is something that we cannot afford. Thank you, Mr. Speaker.

--Applause

Member's Statement 227-13(6): Meeting With President Of Northwestel
Item 3: Members' Statements

Page 547

The Speaker

Members' statements. Mr. Rabesca.