Thank you, Mr. Speaker. Energy is now a new activity within the Public Works and Services department which combines fuel service functions of the former petroleum products division. Fuel services manages the purchases, transportation and storage of petroleum products in NWT communities not serviced by the private sector. As such, these fuel services also established the credit, invoicing, collection and financial planning for these communities.
In essence, the consolidation of the energy functions within the GNWT Public Works and Services department was to have the goal of effective and efficient government, or so they say.
Recently, to reduce the administrative cost and increase petroleum products accuracy and control, improvements to the point of sale in communities were established to enhance security of GNWT assets and improve loss prevention measures. Again, I repeat, these GNWT fuel services only operate in NWT communities not serviced by the private sector.
The private sector, it appears, is on a program of self-reporting, much like how we deal with our control of tobacco products in the NWT. Be that as
it may, I find on one hand the GNWT appears to have proper inventory control and taxation of their own petroleum products and, dangerously, on the other hand, leave the policing of inventory control and taxation at the mercy of a loophole to all other sectors. This loophole is a self-reporting of taxes on petroleum products.
For years now I’ve brought before the House the concerns of self-reporting tobacco tax credit memos. While the GNWT, recognizing there may be now a problem, and in attempting to reach over to pick up these nickels, has inadvertently stepped over the dimes of opportunity in the proper collection of self-reporting of petroleum tax revenues.
How big of an issue do we have? Unfortunately, we may never know. Of course, the GNWT has the opportunity to close this door of all self-reporting taxation, but unfortunately, they prefer to roll the dice year after year with our money. Thank you.