Thank you, Mr. Chairman. The committee Members noted that NAV Canada has increased its rates which will affect northern airlines' costs and will invariably be passed to the consumer. Members expressed concern about these increases to airline costs and their effect on the residents of the NWT. The Members requested to be kept up to date on any further fee schedule changes that may occur. The standing committee is also concerned about the air navigation services this private company provides. Unlike our southern counterparts, local flight services are not an alternative to other transportation services, they are essential. The committee wants assurance that the safety of the pilots and passengers are not compromised.

Department officials emphasized the lack of funding available to build a new infrastructure and explained that they are exploring options with the private sector to determine the interest level for joint ventures. Members welcome the idea of joint ventures but emphasized that where a joint venture is approved in relations to transportation, the Minister of Transportation must maintain clear authority. Mr. Chairman, I would like to ask my colleagues to read the other part of the presentation.