Good afternoon, Colleagues. Ministers' statements. Minister of Public Works and Services.

Thank you, Mr. Speaker. Mr. Speaker, it has been just over one year since the Government of the Northwest Territories’ energy functions were consolidated in the Department of Public Works and Services. Today I would like to update Members on some of the work that this division is doing. The Government of the Northwest Territories has made commitments in its mandate to improve access to energy efficient products and to investigate and implement renewable and alternative energy solutions. Public Works and Services efforts in this area included the installation of energy efficient LED streetlights in communities across the NWT in partnership with the Northwest Territories Power Corporation, and the completion of solar projects in Fort Liard, Fort Simpson, Colville Lake, and Wrigley. The department also undertook wind monitoring and project feasibility work for a potential wind development in Inuvik. Building on the success with liquefied natural gas in Inuvik, we have also done feasibility work of using LNG in Fort Simpson. Since 2014, the Inuvik LNG installation has saved NTPC $1.7 million in fuel costs.

Mr. Speaker, making better use of our existing hydroelectric resources is another one of the commitments in the Government of the Northwest Territories mandate. Our commitment includes exploring options to respond to low water in the North Slave system, which we have done with the recently completed North Slave resiliency study.

As a result of record low water levels experienced in the North Slave hydro system, Public Works and Services engaged Manitoba Hydro International to review our system and provide recommendations on how best to manage low water conditions. The study established that we can expect hydro generated electricity to be available about 90 per cent of the time for at least the next 20 years. It also found that without a new large industrial power customer, such as a mine, alternative generation such as wind or solar, would go unused most of the time and would add unnecessary expenses to customers’ bills through the rate increases.

Recommendations in this study include improving hydrology monitoring on the North Slave hydro system, examining options for aging infrastructure and to consider options to offset rate shock caused by low water, such as a low water fund. Over the coming year, Public Works and Services will work with other departments and agencies to implement these recommendations. The department also continued to deliver those energy products and programs which have proven successful year over year. These include:

● Installing six biomass boiler installations, bringing the total of Government of the Northwest Territories wood pellet boiler projects to 28; and

● Completion of 26 energy efficiency projects on various government facilities throughout the NWT which will reduce the equivalent of 8,800 tonnes of greenhouse gas emissions and save the government $267,000 each year.

Mr. Speaker, the implementation of the Capital Asset Retrofit Program in 2007, energy conservation and efficiency improvements, and the adoption of biomass heating technology for many of our facilities, has resulted in annual savings of $1.8 million. It is anticipated that in the coming year, annual savings will exceed $2 million and annual greenhouse gas reductions will exceed 10,000 tonnes.Looking ahead, the Department of Public Works and Services will direct $3.8 million in the coming year to energy retrofits and alternative energy products, including LED lighting, building retrofits, biomass, and solar across the NWT. As well, five biomass boilers are included in the new construction projects across the NWT including the Stanton Territorial Hospital.

In response to our mandate commitment to increase incentives and improve access to energy efficient products, the department will continue to work closely with and support the work of the Arctic Energy Alliance. The department will provide $3.5 million in funding to the alliance this year to ensure that residents, businesses and community governments can access the services and incentives that will help them manage their own energy use. We plan to build on all of these successes by developing a long-term vision for energy through a new energy plan, which will address affordability, reliability, environmental impacts and the economic development potential of energy within the Northwest Territories. Today, I will table the 2015-16 Energy Conservation Initiatives Report. This annual report outlines how the Department of Public Works and Services is meeting our government’s mandate priorities in the areas of energy efficiency, alternative and renewable energy use, and support to residents to invest in and to adopt energy practices aimed at reducing the cost of living and mitigating the impacts of our energy use on the environment. Thank you, Mr. Speaker.

Masi. Ministers' statements. Minister of NWT Power Corporation.

Mr. Speaker, I would like to provide Members with an update on recent changes made with respect to the Northwest Territories Power Corporation. On May 24, 2016, I appointed six deputy ministers to the board of the corporation. The reasons for taking this action have been documented in the media, but I would like to briefly reiterate these reasons and provide Members and the public with some information on next steps.

First, and most importantly, this change to the board of directors will save rate payers $1 million per year. In the face of continued cost pressures, power rates for consumers have also continued to rise. Four years of rate increases have been followed by an application from the corporation for further rate increases of 4.8 per cent this year followed by four per cent in 2017-18 and four per cent in 2018-19. Retaining the previous board would have meant even larger rate increases for NWT consumers and this was one way the government could cut costs. As well, it should be noted that the nature of the corporation and its relationship with the government is changing. It has been the recipient of substantial GNWT subsidies in recent years. The Auditor General has recognized these changes and directed that the corporation be reclassified from a government business enterprise to an other government organization. The corporation must now adhere to public sector accounting standards. Given these changes, I believe it is time that the GNWT consider the most appropriate future governance model for the corporation.

Mr. Speaker, I would like to take this opportunity to thank the former board for their service and to emphasize that this change was in no way related to the performance of the board.

I would also like to underscore the corporation is a valuable and critical partner in our territory’s efforts to reduce the use of diesel and develop renewable and alternative forms of energy. When one of the Ikhil gas wells in Inuvik watered out, the corporation’s timely use of liquefied natural gas resulted in savings of $1.7 million since 2014. The development of the cutting edge Colville Lake solar-diesel-battery hybrid system opened last month was also led by the corporation. These are just two examples of the corporation’s leadership in developing alternative energy for the NWT. Mr. Speaker, the new board is in place and operating. As Minister, I intend to issue direction to the board to continue to look at ways to further mitigate rising electricity costs. They will review the responsibilities of the board as reflected in current legislation and guidelines; develop options regarding the future governance model for the Corporation; and develop an accountability framework that considers greater accountability to all Members of the Legislative Assembly.Mr. Speaker, this work will feed into the development of a new energy plan, one of the commitments in the GNWT mandate. This plan will present a long-term vision for our approach to energy in the Northwest Territories and the role of the corporation will be a critical piece of this vision. Thank you, Mr. Speaker.

Masi. Ministers' statements. Minister of Environmental and Natural Resources.

Mr. Speaker, climate change continues to be one of the most serious environmental, economic, and political challenges of our time and it is an important issue to the residents of the Northwest Territories. In the mandate, the Government of the Northwest Territories, or GNWT, has committed to develop a territorial climate change strategy that takes northern energy demands and the cost of living into account. It will reflect commitments to reduce greenhouse gas emissions and explore carbon pricing systems and how to capture local alternatives such as hydro, biomass, wind, and solar. Work to develop that strategy has begun, led by the Department of Environment and Natural Resources, in collaboration with GNWT departments and other organizations. In 1998, the GNWT recognized the need to make an appropriate contribution to reducing greenhouse gas emissions and commit to working with the federal and provincial governments to reduce Canada’s emissions. The first step towards this commitment was the release of the first Northwest Territories Greenhouse Gas Strategy in 2001. The focus of that strategy identified the need to coordinate our actions to begin to control greenhouse gas emissions and make sure a northern perspective was part of Canada’s national climate change implementation strategy. The most recent strategy, in effect from 2011 to 2015, identified actions that the GNWT, industry and communities could take to stabilize territorial emissions to at or below 2005 levels. Actions in this strategy have been closely linked with actions implemented under the Northwest Territories Energy Plan.

Mr. Speaker, we know these actions must continue to be linked to other GNWT strategies and plans. Like other jurisdictions around the globe, the Northwest Territories is faced with the need to transform our economy so it will reduce dependency on fossil fuels. Risks to economic, social, and cultural values in our communities will intensify if climate change continues to affect our ability to maintain our traditional pursuits and lifestyle. Melting permafrost requires more maintenance to our infrastructure and changes to our construction practices to ensure new infrastructure is more resilient to the effects of climate change. Winter roads are hard to maintain and travelling on the land is becoming more difficult and sometimes dangerous. Forest fire regimes are changing and there are shifts in plant and animal habitats and distribution.

Last December, the nations of the world met in Paris and adopted a new global agreement to address climate change. The Northwest Territories, which had just had an election, was represented by a delegation of senior officials. In March 2016, Prime Minister Trudeau invited the Premiers of Canada to a First Ministers Meeting and Premier Bob McLeod joined them for this important discussion. This meeting resulted in the Vancouver Declaration. The declaration recognizes that all provinces, territories and the federal government are responsible for taking action on climate change. The declaration also set in place an agreement among governments to develop a pan-Canadian framework for clean growth and to address climate change. First Ministers committed to transition to a low carbon economy by adopting a broad range of domestic measures, including consideration of carbon pricing mechanisms, adapted to each province's and territory's specific circumstances, in particular the realities of Canada's Indigenous peoples and Arctic and sub-Arctic regions. Four federal-provincial-territorial working groups were established to begin implementation work and the Northwest Territories is participating in all four groups. The report to the working group will be made public in September and provided to the First Ministers in October.

Mr. Speaker, we know this is an important issue in the Northwest Territories. We will be engaging with MLAs, Aboriginal governments, stakeholders, and NWT residents to hear their views and gather input on a Northwest Territories Climate Change Strategic Framework and the pan-Canadian framework. I expect to announce plans on this engagement shortly. I look forward to hearing Members’ thoughts on the best approach to this important issue. Thank you, Mr. Speaker.

Masi. Ministers' statements. Honourable Premier.

Mr. Speaker, the Government of the Northwest Territories has made a commitment in its mandate to create a new three-year Energy Action Plan, building on previous investments made over the past three years and the outcomes of the energy plan review. As you have heard from the Minister of Public Works and Services, the Government of the Northwest Territories has accomplished a great deal in the areas of energy conservation and efficiency, and in implementing alternative and renewable energy solutions in recent years.

The NWT is an acknowledged leader in installed biomass heating and ranks second in the country in installed solar capacity per person. We have completed innovative projects, such as the Colville Lake solar-battery-diesel project, which has already resulted in periods where the community has operated without running its generators. As reflected in the proposed budget this year, we are working to advance the development of a wind turbine project in Inuvik, as well as an innovative project to install solar in combination with a variable speed generator in Aklavik. We plan to continue this success by developing a vision for energy that addresses affordability, reliability, environmental impacts, and the economic development potential of energy in the Northwest Territories. This plan will consider the future approach to the electricity system and the governance of the Northwest Territories Power Corporation. The plan will also consider how to expand the use of alternative and renewable energy, such as wind, solar, biomass, geothermal, and hydroelectricity development, as well as address the heating and transportation sectors.

We will start developing this new energy plan by releasing a public discussion document in July that will outline our proposed approach. Over the summer and fall, we will be asking the public, community and Aboriginal governments, other stakeholders, and Members of the Legislative Assembly for their views on our proposed approach. The government intends to table a new energy plan early in 2017.

The Government of the Northwest Territories has held two energy charrettes over the past four years and gathered a great deal of information and input from community representatives, other stakeholders, and experts from across Canada. We have heard that affordability is the number one concern in communities, and that there are no simple solutions to the energy issues we face in the Northwest Territories. Addressing our tremendous challenges will require some innovative thinking and big ideas. For example, the Northwest Territories has tremendous hydroelectricity potential. Could some of this potential be developed in partnership with Aboriginal governments to supply southern provinces with renewable power? Alberta and Saskatchewan still rely on coal-fired generation, and perhaps Northwest Territories hydro could contribute towards national climate change goals. The Government of the Northwest Territories will pursue opportunities to leverage the Government of Canada’s new infrastructure plan to fund green infrastructure in the NWT. With federal government help, we can support green growth and address the cost of living in the NWT. Based on what we have previously heard from Northerners, the discussion paper released in July will raise some proposed solutions. Further input will be critical to the success of this new Energy Plan and I encourage Northerners to provide comments to help ensure that we get it right.

This energy plan will clearly be linked to the Climate Change Strategic Framework. The framework will address a span of actions from adaptation to the impacts of climate change to mitigating the impacts of our energy use on the environment. Mitigating the impacts of our energy use means continued growth and the use of local and renewable sources of energy in our communities, actions that will be detailed in the energy plan. Opportunities for joint discussions with communities will be coordinated and I encourage all residents to participate in the development of the strategic framework and the energy plan. With your help, we can ensure that we have a supply of secure, affordable, and sustainable energy that meets the needs of current and future generations. Thank you, Mr. Speaker.

Masi. Ministers' statements. Item 3, Members' statements. Member for Yellowknife North.

Masi. Members' statements. Member for Yellowknife Centre.

Mr. Speaker, we have heard debate this week about possible solutions to homelessness in Yellowknife and how they are going to be paid for. I welcome the announcement by the Minister responsible for Homelessness of additional money for homelessness initiatives both for semi-independent units located within existing shelters and independent units under the Housing First model. Either way, more people who are now homeless will be housed and that's the goal here. I want to talk about expectations Yellowknifers may have about making homelessness go away. It's not going to go away. This new investment will give people who are now homeless options to obtain housing. This is strictly voluntary. If they don't want housing, they don't have to have it. If they want to live outside or couch surf and continue sleeping at emergency shelters, that is their choice. I expect a good uptake on the new housing options, in the range of 80 per cent, according to City research, but not everyone will want to participate. The other reason homelessness is not going to go away is because of migration from the communities to Yellowknife. Any of my colleagues here in this House could walk downtown and identify constituents who are homeless here. A major driver of migration is the inadequacy of housing available in the small communities. People come here because there is more housing here, whether shelters, transitional housing, public housing, or market rentals.

Another driver of migration is access to services that are only offered in Yellowknife, such as specialized medical treatment or greater support for disabled children. Other reasons people come, in no particular order: to take a job, to be reunited with family members, and to have easier access to alcohol. No surprises there. Migration seems to be increasing, Mr. Speaker, at least anecdotally, and more migrants are homeless. As the City of Yellowknife has reported, "the costs of this demographic shift, including intrinsic costs, are borne by the City." That's in spite of the fact they have no mandate or budget for this burden, except for federal government Housing First money. There is no question that, again quoting from the report, "there are insufficient resources for housing and health services for those migrating from other communities." Mr. Speaker, I request consent to conclude my statement. Thank you, Mr. Speaker.

---Unanimous consent granted

Thank you, colleagues. Thank you, Mr. Speaker. The federal and territorial governments are set to reverse this trend by funding additional housing for people who are homeless. This is good news for the many people waiting for homes, for the City of Yellowknife, and for Yellowknife residents. This collaboration is the way forward for finding real solutions to this long-term problem. Thank you, Mr. Speaker.

Masi. Members' statements. Member for Tu Nedhe-Wiilideh.

Marci cho

. Mr. Speaker. Mr. Speaker, everybody's talking about the houses on this side here with the Housing Minister. We're going to be asking the Minister of Housing. I too will continue with the NWT Housing Corporation. Mr. Speaker, the NWT Housing Corporation has the ability to touch on every aspect of our mandate. It can impact the economy by providing communities with local housing projects that will see five or six people in the communities trained and working on renovating homes. These projects can also look at employing the 18 to 30 year-old group as youth employment rates are very low. We all know that having employment and a good house goes a long way to addressing the wellbeing of communities and its people. In other words, employ people and put them in good housing, you'll have healthier populations than people without jobs and in poor housing. Mr. Speaker, even in the area of governance, when you show the people in our communities that we care enough to make sure our citizens are living in suitable and adequate homes, we will see that leadership becomes a lot easier to deal with.

A chief told me that, when we signed on to a devolution agreement, he thought the government was going to be a partner moving forward. He said, "that is not what has happened." Mr. Speaker, the communities look at the government in the holistic sense and not department by department. It is important that we know that. I think the NWT Housing Corporation could do very well with the communities by developing good communication and it also can work with each community in developing a housing development plan, specific to that community. This housing development plan could have real targets in reducing core need for that community. This housing development plan could be the blueprint for what the NWT Housing Corporation to address core need in every community. I'll have questions for the Minister of Housing at the appropriate time. Marsi cho, Mr. Speaker.

Members' statements. Member for Kam Lake.

Mr. Speaker, this budget offers quite a few things Members of this House can get behind. One aspect in particular is investing $16.6 million in new federal funding for affordable housing projects with the intent of providing residents of the NWT with an increased number of households that are not only contemporary in all relevant safety standards, but more importantly, and all too rarely seen in the North, affordable. This is by all means a noble measure of this government to tackle the cost of living and will benefit a number of families in Yellowknife and in all our communities, but, Mr. Speaker, today I want to advocate for a taxpayer that almost seems forgotten in this budget and one that is weighed down by the cost of living more than most, the renter.

Mr. Speaker, with the cost of fuel, power, food and other amenities being drastically higher than our neighbours in the South, the cost of living in our communities is so out of control to the point that this Assembly has made it a priority in our mandate. I commend this government for attempting to accomplish this for those families that will benefit from the earlier-mentioned budget measures, but our renters are also in a difficult position and I do not clearly see what this government is doing to address this.

In our capital city, a two bedroom apartment can be priced anywhere from $1,400 to $1,900, and a three to four-bedroom townhouse runs from $1,900 to $2,500. While in Fort St. John, a northern city of similar size to the South, a one to two-bedroom apartment starts at $500 and goes to $1,000, while a three-bedroom townhouse is in the range of $1,150, Mr. Speaker. This comparison, in my opinion, is staggering and acts as a deterrent from people across the country to even consider residing in our great territory.

Mr. Speaker, there are solutions to this problem though, and made-in-the-north solutions at that, for the Yukon has just recently made great strides in addressing them. They have awarded two Yukon developers capital funding to support the construction and operation of affordable renting housing projects in Whitehorse and Dawson City. One developer will receive $500,000 to construct urban micro-apartments in Whitehorse. In Dawson City, Chief Isaac lncorporated will receive $450,000 for a 14-unit development. Mr. Speaker, I seek unanimous consent to conclude my statement.

---Unanimous consent granted

Thank you, Mr. Speaker. Thank you to my colleagues as well. This is a clear example of a northern government recognizing the problem and addressing it in a way that partners with private sector and Indigenous governments, but it also does so in a transparent method that this Assembly expects to see of this government. So I ask, Mr. Speaker, if the Yukon is doing something to tackle the issue of affordable rental units, what is our government doing to solve our problem here in the Northwest Territories? For if it can be accomplished in our neighbouring territory; it most certainly can be accomplished here at home in the Northwest Territories. Thank you, Mr. Speaker.

Members' statements. Member for Sahtu.

Today I rise in the House here to discuss the self-government initiatives undertaken within the Sahtu region, more importantly and more specifically we, the first government, here will see the first community-based and self-government initiative this fiscal year in a few months to come: the Deline self-government agreement. I would like to congratulate the previous government and the previous parties to that initiative and later I'll have questions to the responsible minister on pre-implementation planning which is important to any agreement on the implementation side of things. Mr. Speaker, I'll have questions to the other remaining communities on their self-government initiatives. Thank you, Mr. Speaker.

Masi. Members' statements. Member for Mackenzie Delta.

Thank you, Mr. Speaker. Mr. Speaker, over the next couple years we have a total of 12 units coming into the Mackenzie Delta. In Aklavik, we have two duplex modular homes, Fort McPherson we have three duplex modular homes there as well, and in Tsiigehtchic, we have one duplex that we're still awaiting from last year. Mr. Speaker, that's great we're having 12 units coming into our riding, but, the issue is that these are modular homes being shipped in. Mr. Speaker, it's always been a practice within our riding through the Delta that we have stick-built in the communities. We have 25 per cent employment rate in our communities, small communities, throughout the NWT. Mr. Speaker, I never worked out the total amount of employment that we're losing here, but it's in the neighbourhood of at least 20 positions. People are not going to have that opportunity to work for somewhere. Sometimes it takes maybe five to six months to build these units, but Mr. Speaker, we're losing that employment in our communities and that's a big issue through my riding.

We have contractors in Aklavik and Fort McPherson that are losing out here, not to mention all the people that they employ to build these units. I realize the Housing Corporation feels they're saving money, but, they're also taking away from our riding that employs our people throughout our small communities. I'll have questions for the Minister later today. Thank you.

Masi. Members' statements. Member for Deh Cho.