Mahsi, Mr. Speaker. The annual budgets of the Government of the Northwest Territories are basically covering two major areas: number one, operations and maintenance; number two, capital spending for upgrades of our continuous infrastructure. Our capital spending helps provide investment certainty for the businesses that operate within our territory, as well as investors.
The Government of the Northwest Territories continues to face many challenges with aging infrastructure, aging assets, building new infrastructure, modernizing our regulatory systems, unforeseen expenditures resulting from the impacts of climate change, and we need to maintain public confidence in our delivery of programs and services.
The principle of government, Mr. Speaker, outside of normal day-to-day operations is to develop resources using responsible practices. These include a sound regulatory system, regime, modernizing legislation, public engagement, and, most importantly, working with the Indigenous landowners. Only with our vision for prosperity in the Northwest Territories, prudent and proper targets for our work, independence, and sound investment will we achieve our destiny.
Encouraging and expanding industry's presence in the North is achievable if we have a fair regulatory climate and effective land-access systems. Industry's presence creates royalties and corporate income taxes as well as meaningful jobs. Corporations also provide meaningful benefits directly to the communities. One only has to look at the $500,000 for school books for Indigenous youth; $600,000 to assist the construction of the Kimberlite Career and Technical Centre here in Yellowknife; as well as the $100,000 cement floor for the Lutselk'e arena, just to name a few.
It is important that we train northern workers for the jobs in industry. The Government of Canada contributes to the Mine Training Society, which runs a variety of programs to develop staff for the resource sector and to improve the safety knowledge of the workplace.
Creating a vibrant, sustainable economy means balancing the needs of our remote northern communities, regional centres, and the capital city while maintaining affordable programs and services for both residents and governments. We might view these as fixed income for our territory. Spending by government helps to sustain us as well as provide economy confidence.
Mr. Speaker, the 2018-2019 budget address forecasted $84 million less in revenue than the first year of our term. This can be attributed to the world commodity prices beyond our control, tax decisions by corporations operating here, and temporary closure of the Enbridge line 21, which triggered the stop-work order for the production of the Norman Wells oil field.
I voiced my support for the repair of this pipeline at the public hearings, last October and this past January, of the National Energy Board and the Northwest Territories Land and Water Board. Now it seems the pipeline repair will proceed, adding $53 million in replacement and repair expenditures to the local economy over a five-month period. In addition to the repair, royalty revenues will resume after the operations start up again and oil begins to flow. This is a prime example of our regulatory system in collaboration with all stakeholders, including local Indigenous communities, including the supports for industry.
Collaboration is needed for the health of our economy and our government's revenue. We live and work in a remote area with high costs for almost everything we need and everything we do, but our distance from the rest of the world does not free us from the pressures of global pricing. These are very real challenges for industry and for our government.
Our government also faces the challenge of replacing aging infrastructure and assets. We can only put off that kind of spending for as long as again. Again, it is the question of balancing figuring out how to keep our programs and services as well as meet the needs of our infrastructure.
It is pretty clear that our government cannot satisfy every need with the resources it has at hand. It is just not possible. Priorities had to be set, and we have done the best we could. Both Regular MLAs and our Cabinet friends across from us have worked very hard on the business plans that led up to Budget 2018-2019. Everything considered, the budget we have before us is not as bad as one would think. We might polish the edges a little bit, and we certainly need to work with the Government of Canada to get additional resources with the programs announced. I would not recommend increasing taxes until we have exhausted all options available. It would only discourage the small northern communities which are struggling to meet the day-to-day challenges of growth as well as looking after their families. Mahsi, Mr. Speaker.