Thank you, Mr. Chairman. When I spoke to the principle of Bills 42 and 43 at second reading, I indicated that I do not support a carbon tax in the Northwest Territories. In fact, I still do not support a carbon tax, and I will not be supporting these bills. My reasons have evolved, and I will explain.

First, let me be perfectly clear about one thing. I wholeheartedly support the reduction of greenhouse gases. Like most people, I am worried about the effects of climate change. As a Northerner, I have seen its frightening impact up close and probably a lot earlier than people living on other parts of the planet. I believe every one of us should be doing what we can to modify our behaviours to reduce our carbon footprint. I just do not believe that this carbon tax is the way for us to get there.

I also want to be clear on another point. My decision not to support Bills 42 and 43 should not be interpreted as support for the federal backstop. In debating these bills, we find ourselves between the proverbial rock and a hard place, and, as a legislator, I do not appreciate being put in this position by the federal government. As I said in March, I view this heavy-handed approach by the Government of Canada as a flailing attempt to alleviate its conscience with a symbolic gesture towards mitigating the impacts of climate change, one that will cost our residents dearly at a time when people are already struggling. Instead of ongoing diplomatic squabbles with China, I would far prefer to see our federal leaders doing all they possibly can to encourage this superpower responsible for a whopping 28 percent of global carbon dioxide emissions to move to cleaner fuel sources. The same could be said for the United States, which holds only 4 percent of the world's population but is responsible for 15 percent of global carbon dioxide emissions.

I appreciate the GNWT's attempt to mitigate the impacts of this unwelcome and mandatory tax, but including a 100 percent rebate on heating fuel at the point of sale, without that, a carbon tax in the Northwest Territories would be utterly unconscionable given our already high cost of living. Unfortunately, the unintended consequences of this policy decision is that any behavioural changes which might have been brought about by a carbon tax in the NWT will also be mitigated. In other words, this rebate, while welcome, makes the carbon tax virtually useless for the purpose for which it is intended, reducing effects on climate change.

The GNWT released its summary of public engagement on the implementation of pan-Canadian carbon pricing in the Northwest Territories in January of 2018. Let me read for you just a few comments made by Northerners, which reflect the majority of the public opinion: "Do not impose a carbon tax. We already pay too much for fuel and electricity." "Kill it. Kill it dead. People aren't saving on electricity, even though we are reduced usage. Minus 50 is awfully cold without household heat." "What a stupid tax. I can't do anything to change the heat I use to heat my house." "The North will suffer with such a tax. It means less money in my home. If the environment means so much to the government, start subsidizing 100 percent of the cost to move to renewable energy." "It will make small northern businesses less competitive and exacerbate an already bad situation, furthering small business decline." Lastly, "I think the carbon tax will penalize those who live in the North and will end up being an incentive to leave the North." Mr. Chair, the comments go on and on in this vein for 68 pages. I don't think our constituents could be any more clear about their views on this tax.

Today I am standing with them. It is time for this government to wake up and recognize how short-sighted this is and how dire economic circumstances are for many northern families. The Standing Committee on Government Operations repeatedly asked the Department of Finance to include measures for small businesses in their made-in-the-North approach, but nothing was done for small businesses. Even the federal backstop offers small businesses a direct rebate program to offset 25 percent to 50 percent of their costs to buy more energy-efficient equipment or appliances and rebates up to 25 percent of the eligible costs for retrofits to reduce energy use. There are no measures to include it for municipalities. Just yesterday in this House, one of my colleagues pointed out the fact that the diamond mines will be closed in the next decade. As we all know, the GNWT's transfer payments from Canada are driven in part by the size of our population. The GNWT should be doing all it can to keep Northerners here and to attract new residents, not impose a tax that threatens to drive people away. Need I remind this House of increased airport fees, land transfer tax, increased lease fees, and consideration of a sugar tax, all put forward by this government in this term alone. Don't get me started on the power rates.

I understand that the Standing Committee on Government Operations also wanted to see reporting requirements included in Bill 42 but that that was determined to be out of scope, and we heard about a recommendation to this effect earlier. I support this 100 percent. Just because the requirement is not in the legislation, that does not mean that the GNWT should be off the hook for reporting. It is essential that the GNWT be tracking the NWT's greenhouse gas emissions now, before the tax is introduced, in order to get baseline data. It is equally important that greenhouse gas emissions be tracked after introduction of the carbon tax so that government can report on how emissions have changed, if at all.

Mr. Chair, the imposition of this tax has that familiar old feeling Northerners know all too well, that a distant, out of touch, colonial, federal government knows what's better for the North than its own people do. What this tax fails to acknowledge is the climate change leadership already shown by the Northwest Territories. We live in remote communities, in a cold, dark climate that sees winter for eight months of the year. By necessity, we have had to adapt to more efficient forms of energy. The GNWT is already investing in energy retrofits for our own asset upgrades and looking at projects like the Taltson Hydroelectric Expansion Project. The Arctic Energy Alliance budget has been doubled over the next four years to accommodate the increased demand of residents wishing to make energy efficient home improvements such as the installation of solar panels. Even industry has stepped up. Just look at the Diavik windmill farm. It is the first large-scale wind energy facility in the Northwest Territories, and it is saving the company an estimated 5- to 6-million dollars a year in fuel costs. Diavik expects this $33 million project, which is the world's most northern large-scale wind-diesel hybrid power system, to reduce its reliance on diesel by nearly 15 percent and lower the mine's carbon footprint by about 6 percent.

Mr. Chair, I am disappointed that the governments of the three territories were not successful in working together to dissuade the federal government from introducing this carbon tax. However well intentioned, it will result in an increased burden on the cost of living for our residents, which is already considerably higher than in Southern Canada. For these reasons, Mr. Chair, I cannot support Bills 42 and 43. Thank you, Mr. Chair.