Thank you, Mr. Speaker. Mr. Speaker, yesterday I expressed my concern about the process that was undertaken in making application to the PUB for a territorial-wide flat rate for power. The revenue raising methods of the Power Corporation need to be harmonized with the social considerations which go into the subsidy program, which falls within the mandate of the GNWT.
I believe it is possible for this government to consider economic impacts of higher costs, remote diesel dependent power generation in smaller communities, without necessarily going to a single-rate zone. We have that opportunity through making adjustments to our Power Subsidy Program.
If the commercial power subsidy is not addressing prohibitive costs for small communities, then I am fully in support of finding ways to channel support in that direction. If the 700 kilowatt hours per month which is presently subsidized for communities paying a higher rate than Yellowknife is no longer adequate, then I would support that discussion as well.
Hopefully some of these issues might be reflected in the Energy Strategy, which we are looking forward to seeing. A single-rate zone is not the only way to bring fairness to the way in which the price of power is set. A PUB opinion expressed in 1985 stated the following:
The board believes it is the responsibility of the GNWT to set policies with respect to matters of social engineering. The board appreciates that it must consider the broad public interest in formulating its decisions. However, the board does not believe it should decide the extent to which one group of ratepayers should or should not subsidize the cost of power consumed by another group of ratepayers.
It is the view of the board that if unaffordable power rates in diesel communities are to be subsidized by ratepayers in hydro communities or lower-cost diesel communities, this can only be achieved by way of policy direction from the GNWT, keeping in mind the existing subsidy program.
Mr. Speaker, I am looking forward to seeing the release of the Energy Strategy and the discussion amongst ourselves as representatives of every region of this Territory as to how we can devise a subsidy that recognizes the needs and economic aspirations of all communities. Until we have had the opportunity to have that discussion, I believe that a multi-million dollar presentation by the Power Corporation combined with the multi-million dollar response that would ensue from affected parties on a single-rate zone is premature.
On behalf of the commercial and residential consumers of power in my community, I thank the government for allowing that discussion to take place and I assure Members who represent higher cost areas that I will be supportive and attentive to the needs of their communities and their residents as well in that discussion. Thank you, Mr. Speaker.