This is page numbers 3905 – 3976 of the Hansard for the 17th Assembly, 5th 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 year.

Topics

Committee Motion 14-17(5): Deferral Of Minerals And Petroleum Resources Activity, Defeated
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Robert Bouchard

Thank you, Minister. I’ll go to Deputy Minister Vician.

Committee Motion 14-17(5): Deferral Of Minerals And Petroleum Resources Activity, Defeated
Consideration in Committee of the Whole of Bills and Other Matters

Peter Vician

Thank you, Mr. Chair. Thanks for the question. The purpose of the ongoing work is to look again at other feasibilities and some alternative installations, hydrokinetic installations in the Bear River. By no means are we contemplating this to be the large scale kind of proposal that we’ve seen in previous iterations. The objective here is to identify the right kind of technology that can work with the Bear River in the region that can be integrated into the local grid in Deline.

We’ve had, again, some good discussions with the community on options for alternative technologies. I think many of the Members are familiar with many of the technologies that emerged in North America with regard to hydrokinetic installation. We’ve seen some success. We’ve seen some failure. This, again, continues to be feasibility work and trying to determine the parameters for an installation that could work in that area. We hope to be back to committee and to this House with, obviously, a solution that moves to a hydro solution versus the diesel generation that’s necessary today.

Committee Motion 14-17(5): Deferral Of Minerals And Petroleum Resources Activity, Defeated
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Robert Bouchard

Thank you, Mr. Vician. Mr. Yakeleya.

Committee Motion 14-17(5): Deferral Of Minerals And Petroleum Resources Activity, Defeated
Consideration in Committee of the Whole of Bills and Other Matters

Norman Yakeleya

Norman Yakeleya Sahtu

Thanks for the update. The Bear has a lot of power, hydro power, and moving forward, when you look at a business case for the

people in Deline to look at putting in a hydro plant, they could look at a long-term vision how do we get that revenue, how do we make it pay itself. There’s Tulita, there’s Norman Wells that could possibly be hooked up, or Good Hope. You know, thinking out there, we have oil and gas activity across the river that may be able to use some of that energy. I think it’s no different than us putting money into a hydro grid down south of the lake here to other jurisdictions. I mean, let’s look at our own backyard and see what the Bear River hydro could produce not only for the community but for other communities and possibly for the oil and gas industry. That’s something for out-of-the-box thinking in terms of supporting the hydro initiative in the Great Bear River.

I want to leave that open for the Minister and say it’s not just isolating one community and saying, well, it’s a couple million doesn’t make any sense or whatever, but let’s go beyond that, just as we are thinking about going beyond the lake here. Going down and selling our power south of the lake here and you want to invest in several hundred million dollars. We have a good business case also in the Sahtu region using the Bear River hydro initiative. I want to just leave that with the Minister.

The other point I want to make on the energy is that now we’re using more of the wood pellets in the Northwest Territories and we’re promoting that through an energy initiative, which is a good thing. People like that and people are using that now. They’re starting to warm up to the wood pellet concept. I want to ask: Is the department thinking about, along with the Department of Justice, is there any type of upcoming type of legislation to regulate wood pellets? Because it goes with the markets, the prices are high, the prices are low. Right now there are no regulations on wood pellets. You buy it as the market demands. We need to have some type of regulations on purchasing bags of wood pellets. Even some of our stores now are carrying them. Like, Northern Store is starting to carry wood pellets. We’re going to start an industry here in the Northwest Territories, so we’ve got to keep ahead of this here and protect the consumers. We want to promote wood pellets and just have some regulations and have some good discussion.

Committee Motion 14-17(5): Deferral Of Minerals And Petroleum Resources Activity, Defeated
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Robert Bouchard

Thank you, Mr. Yakeleya. Minister Ramsay.

Committee Motion 14-17(5): Deferral Of Minerals And Petroleum Resources Activity, Defeated
Consideration in Committee of the Whole of Bills and Other Matters

David Ramsay

David Ramsay Kam Lake

Thank you, Mr. Chairman. I agree with the Member. First off, we need to look at opportunities to get communities off of diesel. In the instance of Deline, perhaps it is hydro. In other communities there may be other alternatives, as well, so we just have to keep looking at opportunities.

On the wood pellets, we haven’t heard of any concerns that the Member has raised. I know plans are moving forward for the establishment of a wood

pellet plant located here in the Northwest Territories. If the Member has concerns over consumer protection, that would be through the Department of MACA. They have a division there that looks at protection of consumers. We haven’t heard any of those types of concerns, and if the Member wants to raise those with us, we’d be happy to look into them for him.

Committee Motion 14-17(5): Deferral Of Minerals And Petroleum Resources Activity, Defeated
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Robert Bouchard

Thank you, Minister Ramsay. Next on my list I have Mr. Moses, followed by Mr. Bromley.

Committee Motion 14-17(5): Deferral Of Minerals And Petroleum Resources Activity, Defeated
Consideration in Committee of the Whole of Bills and Other Matters

Alfred Moses

Alfred Moses Inuvik Boot Lake

Thank you, Mr. Chair. First off, I just want to say I appreciate the ongoing support and efforts to try to adjust the gas situation that’s going on in Inuvik, and although I wasn’t there for the commissioning of the LNG there last month or how many weeks ago it was, I still try to keep updated on how things are working and how it’s going. The Minister did mention that although we’re still looking for the meeting to long-term options for addressing heating in Inuvik, that possibility of LNG, which has been identified as the most promising solution to the energy situation that we’re dealing with in Inuvik.

Some of the things that I’ve been hearing is that the LNG is being consumed a lot faster than it was initially set out to be, and maybe if I can just get a commitment from the Minister to get us regular updates on the consumption of this LNG and just give us a little bit of a heads-up in terms of if we don’t have that LNG available to use, then we’ll have to switch back to natural gas and eat up our sources there, so maybe a commitment on how we can get updates on the LNG usage and consumption with the engines in Inuvik. Thank you, Mr. Chair.

Committee Motion 14-17(5): Deferral Of Minerals And Petroleum Resources Activity, Defeated
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Robert Bouchard

Thank you, Mr. Moses. Minister Ramsay.

Committee Motion 14-17(5): Deferral Of Minerals And Petroleum Resources Activity, Defeated
Consideration in Committee of the Whole of Bills and Other Matters

David Ramsay

David Ramsay Kam Lake

Thank you, Mr. Chairman. I should give some thanks to Minister Miltenberger and the Northwest Territories Power Corporation and work that they’ve done in Inuvik, as well as Premier McLeod in chairing MECC, on getting Inuvik the option of LNG. I was there for the commissioning of that facility and I think it was certainly a step in the right direction, again in an effort to get communities away from diesel.

As far as the questions about whether the consumption of LNG has been more than what folks in Inuvik had anticipated, those questions would probably be best answered by the Minister of the Northwest Territories Power Corporation, Mr. Chairman.

Committee Motion 14-17(5): Deferral Of Minerals And Petroleum Resources Activity, Defeated
Consideration in Committee of the Whole of Bills and Other Matters

Alfred Moses

Alfred Moses Inuvik Boot Lake

I just wanted to get confirmation on the consumption and usage of the LNG and whether or not it’s being used at a faster rate than initially proposed when the commissioning happened. I know there was an amount of days that

they said that once it was ready to be used, and hearing that it’s actually being consumed a lot faster than what it was initially intended for. I know there are trial and error runs and we want to try to come up with the best solution, so I just want to know if it’s the same thing that the Minister is hearing.

Committee Motion 14-17(5): Deferral Of Minerals And Petroleum Resources Activity, Defeated
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Robert Bouchard

Thank you, Mr. Moses. Minister Miltenberger.

Committee Motion 14-17(5): Deferral Of Minerals And Petroleum Resources Activity, Defeated
Consideration in Committee of the Whole of Bills and Other Matters

Michael Miltenberger

Michael Miltenberger Thebacha

Thank you, Mr. Chairman. Consumption is up. Whether it’s because it’s not as efficient as they thought it would be, I think the pressure is more on the cold weather and costs are up all over the place just because of the cold and the greater demand, but I can get that detailed information for the Member. Thank you.

Committee Motion 14-17(5): Deferral Of Minerals And Petroleum Resources Activity, Defeated
Consideration in Committee of the Whole of Bills and Other Matters

Alfred Moses

Alfred Moses Inuvik Boot Lake

As stated in the Minister’s opening comments, this is the most promising solution for our energy situation. With those fairly strong remarks, I was wondering if there are any other invested infrastructure possibilities to increase the storage space for this LNG, seeing that the Minister and I’m assuming that the Energy Committee has decided that this is probably our best solution, that if there’s investments looking in the future for a storage facility that can last for a longer period of days. Thank you, Mr. Chair.

Committee Motion 14-17(5): Deferral Of Minerals And Petroleum Resources Activity, Defeated
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Robert Bouchard

Thank you, Mr. Moses. Minister Ramsay.

Committee Motion 14-17(5): Deferral Of Minerals And Petroleum Resources Activity, Defeated
Consideration in Committee of the Whole of Bills and Other Matters

David Ramsay

David Ramsay Kam Lake

Thank you, Mr. Chairman. Part of that $150,000 earmarked for looking at LNG around the territory would include items like storage. It would also include looking at the possibility of getting LNG into other communities that have all-weather road access that are currently on diesel in the Northwest Territories, and that’s something that we continue to look at. Thank you.

Committee Motion 14-17(5): Deferral Of Minerals And Petroleum Resources Activity, Defeated
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Robert Bouchard

Thank you, Minister Ramsay. Next I have on my list Mr. Bromley. It’s the second round, but go ahead, Mr. Bromley.

Committee Motion 14-17(5): Deferral Of Minerals And Petroleum Resources Activity, Defeated
Consideration in Committee of the Whole of Bills and Other Matters

Bob Bromley

Bob Bromley Weledeh

Thank you, Mr. Chair. I lied. I found, in the fine print, one more question.

The last few words on the page there, “the NWT electricity system analysis” is part of the energy budget here. At first blush, one might hope that we’re talking about smart read technology or smart meters, time of day pricing, hybridizing with renewables, things that would actually reduce the cost of living. But I understand, in retrospect, that in fact what we’re talking about is spending money on feasibility studies to connect the grids, especially with the southern grid so we can import dirty, coal-fired energy and perhaps find a naïve customer to buy our expensive electricity.

I would just note, most of these items on this page are electricity items, which accounts for about 4 percent of our energy budget. If we really want to

be efficient and address the cost of living, there are much better ways that we can do it than what is being proposed here.

Just for clarity, can I find out how much we have spent in contracts on feasibility studies for connecting grids in the current year’s budget and what’s being proposed here for spending on those same feasibility studies and what amount we have out in contracts currently? Thank you.

Committee Motion 14-17(5): Deferral Of Minerals And Petroleum Resources Activity, Defeated
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Robert Bouchard

Thank you, Mr. Bromley. Minister Ramsay.

Committee Motion 14-17(5): Deferral Of Minerals And Petroleum Resources Activity, Defeated
Consideration in Committee of the Whole of Bills and Other Matters

David Ramsay

David Ramsay Kam Lake

Thank you, Mr. Chairman. Yes, we could collect that data and get it to the Member. Thank you.

Committee Motion 14-17(5): Deferral Of Minerals And Petroleum Resources Activity, Defeated
Consideration in Committee of the Whole of Bills and Other Matters

Bob Bromley

Bob Bromley Weledeh

That’s all I had. Thank you, Mr. Chair.

Committee Motion 14-17(5): Deferral Of Minerals And Petroleum Resources Activity, Defeated
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Robert Bouchard

Alright. Committee, page 12-21, activity summary, energy, operations expenditure summary, $2.988 million.

Committee Motion 14-17(5): Deferral Of Minerals And Petroleum Resources Activity, Defeated
Consideration in Committee of the Whole of Bills and Other Matters

February 24th, 2014

Some Hon. Members

Agreed.

Committee Motion 14-17(5): Deferral Of Minerals And Petroleum Resources Activity, Defeated
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Robert Bouchard

Agreed. Page 12-22, activity summary, energy, grants and contributions. Mr. Dolynny.

Committee Motion 14-17(5): Deferral Of Minerals And Petroleum Resources Activity, Defeated
Consideration in Committee of the Whole of Bills and Other Matters

Daryl Dolynny

Daryl Dolynny Range Lake

Thank you, Mr. Chair. Just a clarification question on the energy contributions under the $1.6 million. I notice in the description it talks about an Energy Plan charrette. Are we planning to have a follow-up or is that a follow-up to what we had before? Thank you.