Thank you, Mr. Speaker. Today, I would like to speak briefly about the issue of NTPC and how it is a continued concern in the community of Fort Smith. When public hearings were held, presentations were made by myself, the mayor, council and Stand Alone Energies by Mr. Dennis Bevington. Initially, there was resignation to the fact that there would be combined NTPC and that arrangements would be made to try to minimize what the people of Fort Smith saw as a downside to that.
Now that the issue is still at the table and being discussed, the concern is still there and I am getting it from all corners of my constituency. There is concern about the issue of cross-subsidising. My understanding is that 60 percent of the revenue of NTPC is generated out of Yellowknife and south of the lake with a population of about 24,000 and two mines. Yet, none of those 24,000 people have access to this subsidy. The government will say that it is not NTPC that distributes a dividend. It is the government. However, the government owns NTPC and to me, it is a subtle distinction that the people of the west, I know in my constituency, do not appreciate or understand.
There is a concern that in Fort Smith for example, we pay about $600,000 per year as a headquarters' subsidy to run the operations in Hay River. While in Yellowknife, under a different utility they pay about $300,000, even though they have about 12 times the population. It is a disparity that, people once again, do not understand. I believe, I understand the people in Inuvik pay even more than Fort Smith in terms of headquarters' subsidy. There is a concern that the rate increase projected by NTPC, in fact, if you look at it closely, could be challenged. The five percent they talk about is very debatable, given the fact that NTPC did not really suffer any of the cuts during the last two years of deficit reduction and that they have a very healthy administrative structure at the headquarters' level. In fact, like any good corporation they could absorb any sort of downsizing and not have to transfer a rate increase onto the people of the Western Territory. Mr. Speaker, I seek unanimous consent to conclude my statement.