Thank you, Mr. Roland. Good afternoon. Today is Literacy Day. The purpose of Literacy Action Day is to raise awareness of local and territorial issues and to reaffirm our support for literacy regardless of form in the Northwest Territories. Literacy is not only about reading and writing, but also about effective communication. Reading and writing is not only about reading what is on paper, but also on rock or a piece of wood. This would have been said if I was doing it in my own language, but we are communicating now. To get my message across sometimes we have to use the services of the interpreter translation staff. Their job is very important when it comes to communication. Sadly enough, the Northwest Territories has the lowest rate of literacy in Canada. The good news is that indigenous languages are alive and well in the Northwest Territories. We have the highest rate of indigenous language practice in Canada, perhaps even in the world.

Literacy is communication. Communication is needed for survival, whether you are saying a prayer or piloting a plane in a life-threatening situation. Sometimes saying one thing in one language may mean another thing in another. For example, in this House, I would address a Member according to the name of his constituency or by his last name. In the aboriginal culture, it is most respectful when we define the person by his first name.

Literacy skills are important. I would like to encourage all aboriginal organizations, business and labour groups and Members to include literacy as their activity, not only for today, but for the rest of their lives. Mahsi cho.

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Orders of the day. Item 2, Ministers' statements. Mr. Morin.

Thank you, Mr. Speaker. The north is blessed with an abundance of resources including oil and gas, gold, base metals and diamonds. However, as fortunate as we are to have such riches, northerners have mixed feelings about our nonrenewable resources. For example, we worry that these resources will be taken from us, without real benefits to the north. We worry that mining companies will come and prosper and then leave us with a mess to clean up.

Mr. Speaker, we have reason to worry about these things because this has happened before, but as a result of our past experiences, we cannot and we will not allow these situations to be repeated. The fact is these resources represent our greatest potential for economic development, the jobs and revenues that we need to become more self-reliant, both for today and our future generations. We must welcome the investment and the expertise of oil, mining and exploration companies who want to work in partnership with us to share in the benefits.

Mr. Speaker, we will soon join an exclusive club of producers of one of the most valuable commodities on earth, diamonds. The diamond industry is unique and it is highly profitable. BHP Diamonds should recover the capital costs associated with Ekati Mine within the first five to seven years of operation. The company will go on to generate over $14 billion in income during the 25-year life of the mine. We estimate its profit over the same time period will be over $4 billion. Mr. Speaker, this is revenue that will be generated from our resources.

What do we think is fair to the north? First, we must ensure our land and environment are protected. Second, we expect some of the jobs and business opportunities for northerners from construction and operation of this mine. Third, we want a fair share of taxes and royalties. Finally, we want opportunities to participate in the value-added industries that are fed by this resource. Is this asking too much?

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I do not think so, Mr. Speaker. Let us look where we stand with our first diamond mine. Mr. Speaker, the GNWT, Canada and BHP have negotiated an environmental agreement which we believe provides unprecedented commitments to protect our environment. The socio-economic agreement between the GNWT and BHP complements the impact benefit agreements between BHP and affected aboriginal groups. It is designed to ensure residents of the Northwest Territories will receive training, employment and business opportunities from the construction and operation of Ekati Mine. These arrangements will help us to meet our first two objectives of protecting our environment and providing northern job opportunities. What about the revenues?

Mr. Speaker, under current arrangements, the federal government will have a net fiscal benefit of over $4 billion over the life of the mine. The NWT will receive only $400 million from this mine in net tax revenue, less than ten percent of the federal revenues. Due to current inequities in the federal royalty and fiscal arrangements, our average annual revenues of $17 million will be less than we will spend on infrastructure and social programs in support of this mine. One option is to add new taxes to these mines. We have thought long and hard about doing that. However, Mr. Speaker, this government has decided it would prefer to work with the federal government to achieve a fair share of the current taxes and royalties. We are doing just that.

This government would also prefer to work with the industry to achieve benefits through value-added opportunities. Our government is participating in a federal-territorial task force, which we hope will shape future Canadian policies on the diamond industry. We have consistently taken positions that the diamond valuation should take place in a northern community, off the mine site. In doing this, we recognize that BHP Diamonds may incur a small incremental cost. However, government valuation occurs offsite in every major diamond mining jurisdiction. The NWT and Canada should accept no less, Mr. Speaker. We have been told, we northerners do not have the skills to get involved in this industry, that we should be content with our role as a mining colony for multinational corporations. Mr. Speaker, this is completely unacceptable.

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The key to developing a diamond cutting and polishing industry is access to a constant reliable supply of diamonds at a fair market price. Let me be very clear on this. We are not asking the mining industry to subsidize development of a new northern industry. BHP Diamonds has stated publicly that it would prefer to sell diamonds in the north, provided they get a fair price under normal commercial terms.

Our wish is to work directly with them to achieve that objective and make a small fraction of the raw resources available for northern use. The supply of rough diamonds will be used to assist the development of a value-added diamond industry in the Northwest Territories. A small but direct involvement of this government in the diamond industry will also provide us with valuable inside information on diamond markets, information we need to protect the interests of the north.

We look forward to working with BHP Diamonds and future diamond producers to ensure northerners share in many benefits from the discovery and mining of NWT diamonds. Mr. Speaker, these are our resources and our future. There are some people who would say, we are asking too much, but I say, we can accept nothing less, Mr. Speaker.

--Applause

Thank you. Ministers' statements. Mr. Todd.

Thank you, Mr. Speaker.

Recently, Mr. Speaker, the government decided to speak out openly and factually about pay equity. It is now recognized that a negotiated solution will only be possible if the government provides factual information that puts an end to speculation and corrects perceptions that were based on misleading information.

The government believes it is possible to find common ground that will bring about a negotiated solution to the pay equity complaint. Mr. Speaker, I ask everyone to consider that the government, the union, employees and the people of the NWT have the following common interests. Everyone would like to see men and women paid the same for doing work of equal value.

--Applause

Everyone would like to see a negotiated solution. No one likes this issue to drag on for another ten years, Mr. Speaker. No one wants to solve one inequity by creating greater inequities for other residents. Mr. Speaker, there are ways to find solutions that meet all these interests. I have stated many times that I believe the only way to resolve disagreement is through negotiations. Our best hope for a negotiated solution is to put aside the emotions, rhetoric and concentrate on the facts and on finding reasonable solutions.

Until recently, the government believed that the Canadian Human Rights Act did not apply to the pay equity complaint. Until recently, the government did not have the results of a reliable job evaluation system to determine the extent of any pay equity problem.

Before the new Hay Job Evaluation System was implemented, all we had were evaluations on a sample of jobs from a study done in the early 1990s. These evaluations were inadequate to identify any specific pay equity problem. These evaluations did indicate, however, there was a potential pay equity problem. Efforts to address these potential problems were made at previous rounds of collective bargaining by the restructuring of rates of pay.

Recently, the federal court ruled that the Canadian Human Rights Act applies where there is a complaint against the government. The government has just completed the evaluation of all positions using a bias-free job evaluation system. These evaluation results show that even with the restructuring that has taken place, the rates of pay in the collective agreement do not provide for equal pay for work of equal value. This means that the government cannot knowingly ignore the legal obligations set out in the Canadian Human Rights Act by signing a new collective agreement with rates of pay that may be discriminatory against its female employees.

Mr. Speaker, the UNW is faced with the same dilemma since the Canadian Human Rights Act applies equally to the union as the representative of unionized employees. The UNW cannot knowingly sign a collective agreement that contains rates of pay which may be discriminatory against its female members.

This means that the government and the UNW must find a solution to the pay equity problem before they can sign off a collective agreement. Rates of pay must be based on a bias-free job evaluation system as set out under the Canadian Human Rights guidelines.

Mr. Speaker, I am hopeful and optimistic that a negotiated solution to pay equity will be achieved within the April 1, 1998 deadline the parties have set for themselves. Thank you, Mr. Speaker.

--Applause

Thank you. Ministers' statements. Mr. Arlooktoo.

Thank you, Mr. Speaker. Mr. Speaker, I am very pleased to rise today to speak about the social housing rent scale. As Members may recall, this government put a halt on raising rents last year for tenants in social housing.

The moratorium on rent increases was to allow work to begin on integrating the social housing and income support programs. A number of important opportunities on the two programs to work more closely together have now been identified.

Some of these opportunities include:

- Developing an appeal process to look at cases where rent increases may be causing true hardship for families.

- Establishing a consistent cost of living indicator, which can be used in both social housing rent calculations and the income support program.

- Developing consistent definitions of income between the two programs

- Developing a process where social housing construction and maintenance can be used as one of the income support program's productive choices

In order to allow government attention to focus on developing these opportunities for the benefit of both future governments, it has been decided there will be no further rent increases to social housing tenants prior to division. I am also pleased to announce an extension to the Rent Rebate Program.

--Applause

My colleague, the Honourable Charles Dent, and I look forward to the opportunity to further integrate two of the government's most important social programs. This is absolutely essential. The work, to be jointly done by the NWT Housing Corporation and the Department of Education, Culture and Employment, will set a vital framework for future social program implementation for the two new governments in 1999.

Mr. Speaker, when the social housing rent scale was put into effect in 1995, it was intended to bring rents in line across the NWT in all communities. The rent scale has had the desired effect in urging more families to consider the home ownership options offered by the NWT Housing Corporation. The Corporation now gets well over 1,000 home ownership applications annually.

Mr. Speaker, I believe the government's decision to defer further rent increases until this vital work is completed, demonstrates that we have heard the messages being given by the communities, tenants and many of my fellow MLAs that housing and income support programs need to work more closely together to benefit our citizens. Thank you, Mr. Speaker.

--Applause

Thank you. Ministers' statements. Before we go on to Members' statements, I wish to recognize some people in the gallery.

The Honourable Leonard Derkach, Minister of Rural Development; the Honourable David Newman, Minister of Northern Affairs, Energy and Mines; Mayor Spence of the town of Churchill and Mayor Comaskey, from the city of Thompson, Manitoba, with their delegation of public servants. Welcome to the Assembly.

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Before we proceed with Members' statements, some Members have been commenting that I am hiding something. Just in case I turn redder than I am now, I want to remind the Members that today is half the day of the rest of my life.

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Item 3, Members' statements. Mr. Evaloarjuk.

Thank you, Mr. Evaloarjuk. It is very much appreciated. Members' statements. Mr. Erasmus.

Thank you, Mr. Speaker. I rise today to provide an update on the world championship dog races in The Pas, Manitoba. We have several NWT dog mushers who are participating there. This is just hot off the press. It occurred earlier today. Richard Beck came in third. Richard is the defending world champion, six times I might add, and the only person to have won this championship six times. He is a constituent of Yellowknife North. In fourth place was Frank Kelly of Yellowknife; in fifth place was Raymond Beck of Hay River; in sixth place Grant Beck from Yellowknife; in seventh place Sam Perrino of Yellowknife; ninth was Danny Beck from Hay River; 11th was Ernie Campbell from Yellowknife; 12th, Joe Hickes from Baker Lake; 13th, Heather Beck of Yellowknife; 14th, Arthur Beck of Hay River and 19th, Henry Landry from Kakisa. Mr. Speaker, this race goes on for a couple of more days. I would like to wish all the best to the NWT mushers. Thank you.

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Thank you. Members' statements. Mr. Miltenberger.

Thank you. Members' statements. Mr. Krutko.

Thank you. Members' statements. Mr. Roland.

Members' statements. Mr. Rabesca.

Thank you, Mr. Speaker. Mr. Speaker, today I rise to mention a very interesting and beneficial idea that a community in my riding is investigating. The community of Wha Ti is currently investigating the cost effectiveness and the practicality of alternate energy sources for electricity.

It is my understanding the community has met with a company out of Vancouver, which manufacturers low cost turbines that a person anchors into a river bed and ties to the shore. This turbine, apparently, will produce the electricity and is environmentally safe. There are also no apparent ill effects caused to the fish or river, as this turbine only spins at the speed of the current, which allows fish to swim through the turbine.

Mr. Speaker, in this day conservation in all forms is the common practice and I applaud Wha Ti in pursuing alternatives to reduce the high cost of diesel generation for their residents and to also save the environment in doing so. Mr. Speaker, I wish the community the best of luck in this venture and am certain our Power Corporation will provide any assistance they can to ensure this will help the residents. Thank you, Mr. Speaker.

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Members' statements. Mr. Barnabas.

Thank you, Mr. Speaker. I will speak in Inuktitut. (Translation) Mr. Speaker, I rise today to talk about birth registration. I have just assisted two of my communities in registering a child's name.

One of the constituents I represent is in their early thirties and the other is in their late twenties. There was a problem that arose with regard to Revenue Canada. When they were filing their income tax returns, if they wanted to travel outside of Canada, they would not be able to get a passport.

I would like to send a message to the new parents today to strongly encourage them to register their children's name with their proper certification so that situations like this will not happen again.

Mr. Speaker, we have to have proper registration ahead of time, so that we will be issued passports when they are needed. When requesting passports you also have to make sure there were no criminal activities involved in the beginning. These types of issues have to be included. (Translation ends)

In conclusion, I would like to thank the Department of Health and Social Services, Vital Statistics Bureau for all of their help in addressing the problems of my constituents. Their professional approach in dealing with the concerns of my constituents is appreciated. Thank you, Mr. Speaker.

--Applause

Thank you. Members' statements. Mr. Steen.

Thank you. Members' statements. Mr. Ootes.