Thank you, Mr. Speaker. Mr. Speaker, it is my understanding that a company called Canadian North LNG Corp. engaged with the NWT government on November 9, 2015, and further met with two senior staff officials of the Department of Public Works on January 17, 2017, about a shovel-ready LNG pilot project proposal. The proposal highlighted the use of NWT natural gas supply from Cameron Hills, which is hereby currently shut down due to economic reasons and several options to convert existing diesel power generators to LNG for the Village of Fort Simpson, Hamlet of Fort Liard, and Hamlet of Fort Providence with no upfront capital commitment from the government hereby providing an average of 35-45 per cent savings over and above the current power rate.
I believe this type of project could be a huge part of our NWT Climate Change Strategy.
Mr. Speaker, it is on the public record that the Northwest Territories contains potentially more undeveloped natural gas reserves than anywhere else in North America. Unfortunately, the Northwest Territories is one of the only jurisdictions in North America that currently does not use natural gas for the majority of its energy source, heating, and power generation.
Mr. Speaker, it is my understanding that the Northwest Territories has, for the last 70 years, been consuming carbon-intensive diesel fuel sourced and imported from outside of its jurisdiction and more recently from the USA. As I did a bit of research, I feel comfortable in saying that the Northwest Territories has virtually no oil and gas production, and I have not seen or heard of any potential projects that would use NWT-sourced gas as such.
Mr. Speaker, natural gas is the cleanest-burning fuel, whether in the form of compressed natural gas or liquefied natural gas. Natural gas has been proven an excellent alternative fuel source that significantly improves local air quality and reduces greenhouse gases.
Natural gas power generation emits 21 per cent fewer GHG emissions than comparable gasoline and diesel power generation and further 75 per cent less carbon monoxide, 49 per cent less nitrogen oxides, and 95 per cent lower particulate matter emissions.
Most of the world's major economies have and are further currently converting to natural gas to reduce and replace diesel power generation.
Mr. Speaker, I believe this could be a great help towards our future and I hope Cabinet agrees with me. Later today I will have questions for the Minister of Infrastructure. Thank you, Mr. Speaker.