Thank you, Mr. Bell. Oral questions. The honourable Member for Kam Lake, Mr. Ramsay.

Thank you, Mr. Speaker. Mr. Speaker, I'll go back to my Member's statement from earlier to get my questions for the Minister responsible for the Northwest Territories Power Corporation. I want to start off by saying I do believe the government has a responsibility to the people it represents to get the best possible rates in our communities and, Mr. Speaker, that's not evident today. I spoke earlier of two examples: Trout Lake and Nahanni, 20, 25 percent difference in the rates there; one serviced by Northland Utilities, the other by the NTPC. In the Dogrib region, in Monfwi, the community of Wekweeti serviced by Northland Utilities, Whati is serviced by the Northwest Territories Power Corporation; 25 percent difference. Mr. Speaker, I would like to ask the Minister responsible for the Power Corporation how it is possible, or if he can explain how it is possible, that comparable communities in the Northwest Territories have that great of an extent of a difference in power rates. Mahsi.

Thank you, Mr. Ramsay. The honourable Minister responsible for the NWT Power Corporation, Mr. Krutko.

Thank you, Mr. Speaker. Mr. Speaker, as we all know, we do have two utility companies in the Northwest Territories. I think you have to also realize the cost to operate the Northwest Territories Power Corporation, which covers more communities in the Northwest Territories and also it has a larger workforce. It also has a unionized workforce. We also have a system where we have regional offices in different locations throughout the Northwest Territories, so you have a larger overhead cost to administer the Northwest Territories Power Corporation than they do with Northland Utilities.

Thank you, Mr. Krutko. Supplementary, Mr. Ramsay.

Thank you, Mr. Speaker. Mr. Speaker, that gets me to the bottom line, and the bottom line is delivering the best possible power rates in our communities. If the Minister is suggesting that because they have regional offices and larger overhead, that doesn't bode very well for the residents in the communities who are paying exorbitant power rates. I would like to ask the Minister if he could provide this House, or go through a process that would supply this House, with evidence about why the communities are, like I mentioned, Nahanni Butte and Whati, why are they paying 20 or 25 percent higher power rates? Can he supply the House with that type of information?

Thank you, Mr. Ramsay. Mr. Krutko.

Thank you, Mr. Speaker. Mr. Speaker, as we all know, every community is based on a postage stamp power rate which is based on the cost to produce that power in that community, what infrastructure has been put in that community, have there been upgrades, has the Power Corporation made a capital investment by a new power plant or put in a new piece of equipment. All that is assessed when they go through the PUB process. So the actual cost to operate the Power Corporation by community is given to the Public Utilities Board and they make the decision on exactly how much that pot cost to produce the power in that community and what can the customer pay for. So at the end of the day, it's the PUB that makes the final decision on what costs are based in each community in the Northwest Territories. Thank you.

Thank you, Mr. Krutko. Supplementary, Mr. Ramsay.

Thank you, Mr. Speaker. Mr. Speaker, my statement, I think people should start thinking about this. I believe there are other communities out there in the Northwest Territories who would see a reduction in their power rates if power was distributed in those communities by Northland Utilities. The examples are there. I gave them to the Minister today. What other communities in the Northwest Territories can we look at taking and putting with Northland Utilities so that residents pay a lower power rate? Thank you.

Thank you, Mr. Ramsay. Mr. Krutko.

Thank you, Mr. Speaker. Mr. Speaker, again, I would just like to reiterate exactly what I just said. Every community is different, based on what it cost to produce that power and what it cost each resident to pay for that power. Also, we can't lose sight that a majority of these communities we are talking about are subsidized up to 700 kilowatts per resident, which is subsidizing the majority of their high energy communities. Again, at the end of the day, we have to make a policy decision on exactly how we can find a fair system for all residents in the communities in the Northwest Territories. It has to be a policy directive given by this Legislature.

Thank you, Mr. Krutko. Final, short supplementary, Mr. Ramsay.

Thank you, Mr. Speaker. Mr. Speaker, the Minister talks of a fair system. I would suggest that a fair system would be an investigation of power rates that residents are paying in the communities. I would like the Minister to make a commitment today that he will investigate this. It shouldn't be allowed to happen; why comparable communities pay that much of a difference in power rates. Thank you, Mr. Speaker.

Thank you, Mr. Ramsay. Mr. Krutko.

Thank you, Mr. Speaker. Mr. Speaker, that process is basically going on right now, which is a rate application that's been put forth to the Public Utilities Board. We've gone through their first phase and basically they are going through the second phase which is already in place. They have interventions off in two communities, municipalities, individuals, that want to have an opportunity to talk about the issue of rates and what they pay in those communities. So we do have a process in place. It is ongoing and it's the Public Utilities Board process where there is an application presently in front of them. Thank you.

Thank you, Mr. Krutko. Oral questions. The honourable Member for Great Slave, Mr. Braden.

Thank you, Mr. Speaker. Mr. Speaker, my questions this afternoon are for Mr. Bell as the Minister for Industry, Tourism and Investment and as the Minister responsible for signing off the socio-economic agreement for the Mackenzie gas pipeline project. Mr. Speaker, one of the legacy visions that the people of the North have had for this mega project is that we will see some residual and long-term benefits from extracting this resource from the NWT. One of them, of course, is to supply natural gas to communities along the route or, for that matter, any community that might be a viable customer for Mackenzie Delta or Mackenzie Valley gas. Mr. Speaker, could the Minister advise to what extent does the socio-economic agreement, the recently signed SEA, address the potential legacy of the Mackenzie Valley pipeline?

Thank you, Mr. Braden. The honourable Minister of Industry, Tourism and Investment, Mr. Bell.

Thank you, Mr. Speaker. I am happy to say that the project proponent has agreed to essentially make gas available up and down the pipeline right-of-way to any community that's interested. Some communities may be interested for utility purposes. Others may have viable commercial propositions that they are pursing. It could be forestry, we don't know. The bottom line is the proponents have made a commitment to make that available and that is something we hope to be able to take advantage of. Thank you.

Thank you, Mr. Bell. Supplementary, Mr. Braden.

Thank you, Mr. Speaker. I guess I would like to pursue this a little further. It's good news, but what does "make available" mean? Are there going to be charges or tariffs that these communities will have to make investments? I just want to find out to what extent is the pipeline project going to work with us to make it happen, Mr. Speaker.

Thank you, Mr. Braden. Mr. Bell.

Thank you, Mr. Speaker. Mr. Speaker, they've agreed to apply reduced tolls to NWT customers so we won't pay the full cost of transportation that southern customers will. We think that's only fair. It doesn't have as far to go.

In terms of the conversion and actually having communities have access to the gas, they have agreed to provide valves along the way. The National Energy Board will be the determining voice in terms of what exactly the pipeline will have to pay for and what communities will have to pay for if they want to convert. What a valve means exactly, where the cut-off point is between what the pipeline will pay and what communities will pay is still to be determined and the National Energy Board will provide us some guidance and advice on that. Thank you.