Thank you, Mr. Speaker. Good afternoon. In light of some questions and statements made in this House recently, I would like to take this opportunity to clarify the government's position on the future of the Northwest Territories Power Corporation.

Members will recall a Minister's statement that I made earlier this session. At that time, I advised the House that the government recommended proposed legislation on the continuation of the corporation not proceed at this time. This recommendation was made to allow the parties the opportunity to discuss a number of outstanding issues regarding the continuance of the corporation.

Now, I am pleased to provide further details of the process that the parties have agreed to employ to continue these discussions. All parties have agreed to retain IER Planning Research and Management Services, from Concord, Ontario as the facilitator in the process. The first face-to-face meeting with all the parties is scheduled for June 20th. At that time, the positions of the parties will be reviewed and discussed. In preparation for this meeting, the facilitator will be speaking with representatives of each party individually. It is hoped that common ground will emerge from this and from subsequent meetings in July.

Mr. Speaker, the Government of the Northwest Territories remains fully committed to furthering this process. The support is based on a belief that any future arrangement for the delivery of electrical power to NWT residents must continue to be reliable and at the lowest possible cost. I would also like to respond to two specific issues relating to the Power Corporation raised in the Assembly last week. While these matters are not new to Members, I am concerned that certain statements in this House may once again have confused the issues. I would like to take this opportunity to set the record straight.

Mr. Speaker, the first issue of concern is the claim of cross-subsidization of power rates. This very issue was a focus of extensive Public Utility Board hearings. The conclusions were very clear. Western communities do not subsidize the power rates of communities in the east. Likewise, eastern communities do not subsidize rates paid by communities in the west. I have said this before, and unfortunately, Mr. Speaker, it is apparently necessary to say it again.

The second issue is tied to what happens if a consensus is not reached to continue one Power Corporation. The results of several studies on the impact of dividing the corporation have reached the same conclusions - no matter whether we are talking about a homeowner in Iqaluit or Fort Smith, or a small business operator in Aklavik or Broughton Island - power rates will rise. Unless we can come to a consensus on how to keep the Power Corporation together, we will all pay more. There are obviously some people who continue to doubt this. I want to assure Members of this House and members of the public that I have spent a lot of time examining this issue, and I assure you it is true. If we wind up with two Power Corporations, we will all pay more for electricity.

This is an important issue, Mr. Speaker. I would like to ask Members how they will explain to their constituents the increase in power rates? Higher power rates will slow down and hurt the already fragile economies of both territories. How will we explain that to northerners? Since both governments will pay more for power, how will we explain that there is less money for education, health and other important government services. This will be the case if we cannot agree on a plan to keep the Power Corporation whole and operating at peak efficiency.

Mr. Speaker, I would hope all Members agree that it is essential to avoid such an occurrence. Time is running out on opportunities to provide a workable continuance plan, and idle rhetoric does not assist this process. I ask that all Members provide their support for the facilitation process now underway and encourage all parties to put their best efforts into achieving an acceptable agreement for the continuance of the Power Corporation. Mahsi, Mr. Speaker.

--Applause