Thank you, Mr. Speaker. Mr. Speaker, I rise again with questions to the Minister responsible for FMBS with regard to my Member's statement today as well as my Member's statement yesterday that was made with regards to my concerns of the consumption of fuels and power with the Northwest Territories government. Mr. Speaker, I would like to hear today in the context of reasonability, what is this government doing to monitor fuel and power consumption of our government assets; that would be buildings, cars, etcetera? Thank you, Mr. Speaker.
Debates of Oct. 29th, 2004
This is page numbers 1073 - 1100 of the Hansard for the 15th Assembly, 3rd Session. The original version can be accessed on the Legislative Assembly's website or by contacting the Legislative Assembly Library. The word of the day was going.
Topics
Question 338-15(3): Government Consumption Of Fuels And Power
Item 6: Oral Questions
Page 1078
Question 338-15(3): Government Consumption Of Fuels And Power
Item 6: Oral Questions
Page 1078

The Speaker Paul Delorey
Thank you, Mr. Hawkins. The honourable Minister responsible for FMBS, Mr. Roland.
Return To Question 338-15(3): Government Consumption Of Fuels And Power
Question 338-15(3): Government Consumption Of Fuels And Power
Item 6: Oral Questions
Page 1078

Floyd Roland Inuvik Boot Lake
Thank you, Mr. Speaker. Mr. Speaker, as I stated in response to the Member's questions, overall, each government department has a different role to play. One is to look at their own assets and see if they are making proper use of them. As well, we do have a number of programs that are out there to help support individuals with the impact of the high cost of power, as well as the Seniors' Fuel Subsidy Program. So, Mr. Speaker, there are a number of things that go on, but I could not give the Member a specific example, for example, the Department of Health may be doing around its consumption of heating fuels. There have been initiatives undertaken to try and lower the cost of O and M. As I stated yesterday, through the normal budgetary exercise, as departments come forward, when they come forward for items around forced growth, we send it back to them and ask for further substantiation on some initiatives that are out there and try to ensure that they are making
the best use of the resources that are provided to them. Thank you.
Return To Question 338-15(3): Government Consumption Of Fuels And Power
Question 338-15(3): Government Consumption Of Fuels And Power
Item 6: Oral Questions
Page 1079
Return To Question 338-15(3): Government Consumption Of Fuels And Power
Question 338-15(3): Government Consumption Of Fuels And Power
Item 6: Oral Questions
Page 1079

Robert Hawkins Yellowknife Centre
Thank you, Mr. Speaker. Mr. Speaker, I won't go to the length of yesterday's transcripts, but I will refer to pages 2380, 2381, 2382, and 2383. I will just paraphrase to put it all together. The Minister spoke about departments consulting with RWED, the Department of Housing. He talked about on an annual basis. Some of these problems we can't build into a budget exercise, anticipated costs, operational things are being done. We realize that there are going to be some impacts, but to mitigate them, we have to work forward at the time with real bills. Mr. Speaker, I am basically talking about the fact that we could be doing things. Yesterday I said let's be proactive. Let's get a directive from this department, from this Minister, about turning down the lights. These are things we can do. Engage the Arctic Energy Alliance and say come up with a five-point plan. Thank you, Mr. Speaker.
Return To Question 338-15(3): Government Consumption Of Fuels And Power
Question 338-15(3): Government Consumption Of Fuels And Power
Item 6: Oral Questions
Page 1079

The Speaker Paul Delorey
Thank you, Mr. Hawkins. I didn't hear a question there, Mr. Hawkins. Do you want to rephrase that and ask a question? Mr. Hawkins.
Supplementary To Question 338-15(3): Government Consumption Of Fuels And Power
Question 338-15(3): Government Consumption Of Fuels And Power
Item 6: Oral Questions
Page 1079

Robert Hawkins Yellowknife Centre
Thank you, Mr. Speaker. Could this government engage the Arctic Energy Alliance in getting something like a five-point plan on simple steps we can do, because we need to personalize this problem? We need to pitch in.
Supplementary To Question 338-15(3): Government Consumption Of Fuels And Power
Question 338-15(3): Government Consumption Of Fuels And Power
Item 6: Oral Questions
Page 1079
Supplementary To Question 338-15(3): Government Consumption Of Fuels And Power
Question 338-15(3): Government Consumption Of Fuels And Power
Item 6: Oral Questions
Page 1079

Joe Handley Weledeh
Thank you, Mr. Speaker. That is a question I believe should be more appropriately directed to the Minister of RWED. Thank you, Mr. Speaker.
Supplementary To Question 338-15(3): Government Consumption Of Fuels And Power
Question 338-15(3): Government Consumption Of Fuels And Power
Item 6: Oral Questions
Page 1079

The Speaker Paul Delorey
Thank you, Mr. Handley. Minister of Resources, Wildlife and Economic Development, Mr. Bell.
Further Return To Question 338-15(3): Government Consumption Of Fuels And Power
Question 338-15(3): Government Consumption Of Fuels And Power
Item 6: Oral Questions
Page 1079

Brendan Bell Yellowknife South
Thank you, Mr. Speaker. I think the Member is referring specifically to our ability to reject the costs that it will have internally for our own GNWT assets. We do have a program that the Minister of Finance referred to yesterday, the Energy Conservation Program. This program does provide financial assistance to territorial and community-funded departments, boards, agencies, non-profits, to undertake capital projects that will result in long-term reductions in the usage of electricity, heat, energy, water, et cetera. I think it is a very good program. There are a number of examples that have been funded and are usually funded in partnership.
The organization has to come forward with some equity as well, but in the areas of lighting, space heating, ventilation, and issues to deal with building envelope, the servicing of water, electrical systems, I think there have been many good initiatives. The goal here is to reduce our reliance on fossil fuels and to make sure we are doing things as efficiently as we possibly can. I think the Member has already indicated that we have a very difficult time projecting what the cost of fuel will be. One thing we know for sure is if we can lessen our reliance on it, Mr. Speaker, we are in better shape, and we are aiming to do that. Thank you.
Further Return To Question 338-15(3): Government Consumption Of Fuels And Power
Question 338-15(3): Government Consumption Of Fuels And Power
Item 6: Oral Questions
Page 1079
Supplementary To Question 338-15(3): Government Consumption Of Fuels And Power
Question 338-15(3): Government Consumption Of Fuels And Power
Item 6: Oral Questions
Page 1079

Robert Hawkins Yellowknife Centre
Thank you, Mr. Speaker. If all three Ministers are going to be dealing with this, maybe I will send my next question to the Premier. Mr. Speaker, I am not sure if we just continue to direct it to the Minister of Finance or what. I look for direction, but I will direct it to the Minister of Finance and allow you to redirect it as appropriate. Mr. Speaker, we need to tighten our belts. That doesn't cost money. Mr. Speaker, it has been mentioned that we use the Arctic Energy Alliance and we have been. We fund them through our programs. We can do this. I am not talking about expensive renovations, Mr. Speaker. Can the Minister of FMBS direct all departments to use Arctic Energy Alliance solutions to solve some of these crises? We can tighten our belts. It doesn't cost thousands of dollars; it costs just a little time and effort. Thank you, Mr. Speaker.
Supplementary To Question 338-15(3): Government Consumption Of Fuels And Power
Question 338-15(3): Government Consumption Of Fuels And Power
Item 6: Oral Questions
Page 1079
Further Return To Question 338-15(3): Government Consumption Of Fuels And Power
Question 338-15(3): Government Consumption Of Fuels And Power
Item 6: Oral Questions
Page 1079

Brendan Bell Yellowknife South
Thank you, Mr. Speaker. I appreciate the support for the Arctic Energy Alliance. I think the Member makes a very good point. This is something that is funded by a couple of government departments and by the Power Corporation. I think there has been a lot of good work over the years and a lot of merit in continuing to work with this organization to find solutions, especially in the case of this organization, primarily on demand side issues. As a government, we recognize that we do need an energy plan, both for supply side and demand side issues. We will be moving that agenda forward.
I think the Arctic Energy Alliance can play a key role in this regard. We certainly look forward to the advice of the GED committee on issues that relate to energy and this conservation. Thank you, Mr. Speaker.
Further Return To Question 338-15(3): Government Consumption Of Fuels And Power
Question 338-15(3): Government Consumption Of Fuels And Power
Item 6: Oral Questions
Page 1079
Supplementary To Question 338-15(3): Government Consumption Of Fuels And Power
Question 338-15(3): Government Consumption Of Fuels And Power
Item 6: Oral Questions
Page 1079

Robert Hawkins Yellowknife Centre
Thank you, Mr. Speaker. Mr. Speaker, what is the plan to deal with these increasing power bills and oil bills? Is it just to pay after the fact, or is there any plan to mitigate that potential significant bill that will be increased this year? Thank you, Mr. Speaker.
Supplementary To Question 338-15(3): Government Consumption Of Fuels And Power
Question 338-15(3): Government Consumption Of Fuels And Power
Item 6: Oral Questions
Page 1079
Further Return To Question 338-15(3): Government Consumption Of Fuels And Power
Question 338-15(3): Government Consumption Of Fuels And Power
Item 6: Oral Questions
Page 1079

Brendan Bell Yellowknife South
Thank you, Mr. Speaker. I think the Member knows, from the discussion at committee, that
the Power Corporation, for instance, has been working on issues related to hydro development and other renewable sources of energy. This is around the theme of trying to lessen our reliance on fossil fuels. In some regard, we are hostage in the short term to the crisis of oil. There is not a lot we can do in the very short run to lessen that reliance. I think, as the Member heard yesterday, the Finance Minister has sent out a directive to departments to come forward to make sure that they update the projections because of the cost of oil which is very volatile, but to do their best to come forward with some understanding of the impact that this will have. We will have that discussion in Cabinet. We saw recently $55 a barrel for oil. It has come back a little bit to $50. It dropped some $2 a barrel yesterday with the announcement on something that seems as fickle to us as an indication from China that they will be raising interest rates going forward to cool off their economy somewhat. I think this speaks to how interlinked and interwoven these issues are on a global basis. It's very difficult for us to influence the price of a barrel of oil but, as I've indicated earlier, we can do as much as possible to lessen our reliance. Thank you.
Further Return To Question 338-15(3): Government Consumption Of Fuels And Power
Question 338-15(3): Government Consumption Of Fuels And Power
Item 6: Oral Questions
Page 1080

The Speaker Paul Delorey
Thank you, Mr. Bell. Item 6, oral questions. The honourable Member for Hay River South, Mrs. Groenewegen.
Question 339-15(3): Territorial Power Support Program
Item 6: Oral Questions
Page 1080

Jane Groenewegen Hay River South
Thank you, Mr. Speaker. Mr. Speaker, my questions are for Minister Roland with respect to the Territorial Power Support Program to offset the high cost of power in the communities that are on diesel generated power. Mr. Speaker, this program has been in place for a while now and it is an attempt to level the rates for the small communities. I believe for residential consumers it's to bring the rates down on the first 700 kilowatts of power consumed in a month, and for small business for the first 1,000 kilowatts of power used. Mr. Speaker, I would like to know what the government has done to prepare and anticipate for there being a rise in the cost of this subsidy program in view of anticipated riders because of the high cost of fuel, if the government has built this into their financial plans. Thank you.
Question 339-15(3): Territorial Power Support Program
Item 6: Oral Questions
Page 1080

The Speaker Paul Delorey
Thank you, Mrs. Groenewegen. The honourable Minister responsible for FMBS, Mr. Roland.
Return To Question 339-15(3): Territorial Power Support Program
Question 339-15(3): Territorial Power Support Program
Item 6: Oral Questions
Page 1080

Floyd Roland Inuvik Boot Lake
Thank you, Mr. Speaker. Mr. Speaker, the area of the Territorial Power Support Program, as the Member stated, is to try to even out the cost of providing power to residents of the Northwest Territories, and we have, over the last number of years, been increasing the amount because of the growth and demand -- more houses out there as well as people in the North. We feel, however, initially when we put the plans together that there was no anticipation of such a jump in the price of oil, hopefully it will continue to come down somewhat. A lot of it depends on when fuel was purchased and how that falls out in the next resupply and having that impact, and then we would have to look at making possible further adjustments.
For this year we have estimated that we would be fairly close to the previous year's targets. For example, in 2003-2004 the Territorial Power Support Program cost in the area of $7.2 million. That is something that we are concerned with, in earlier questions yesterday as well as today, about what can we do. It is fairly difficult to try to plan ahead if we are not sure, for example, a rate rider going forward will get approved. So that makes it a bit more difficult to try and project some of those changes. Thank you.
Return To Question 339-15(3): Territorial Power Support Program
Question 339-15(3): Territorial Power Support Program
Item 6: Oral Questions
Page 1080
Supplementary To Question 339-15(3): Territorial Power Support Program
Question 339-15(3): Territorial Power Support Program
Item 6: Oral Questions
Page 1080

Jane Groenewegen Hay River South
Thank you, Mr. Speaker. Mr. Speaker, with regard to the Territorial Power Support Program, as well, because the rate is already set, the consumption of subsidized power is set at 700 and 1,000, as I previously mentioned. Anything exceeding that is going to, if the rate for power goes up, impact residents and businesses quite significantly. I'm wondering if the Minister has given any contemplation to how we might address that. Has the Territorial Power Support Program been reviewed lately to find out if those are realistic levels; 700 and 1,000? When was the last time the Territorial Power Support Program was reviewed for adequacy? Thank you.