Thank you, Madam Chair. In terms of the charters themselves, that's when someone essentially leases a vessel. If someone wants a private vessel for whatever work they are intending to do, that's what we consider to be a charter. We charge them back based on a daily rate which includes costs of the vessel and the staffing of the vessel, as well. In terms of the numbers the 2020-2021 budget for charters is based on the number of charters that we anticipate receiving in this current fiscal year, now. We don't anticipate many charters this year. Therefore, the number is down, now. Thank you, Madam Chair.
Debates of June 1st, 2020
This is page numbers 917 - 956 of the Hansard for the 19th Assembly, 2nd Session. The original version can be accessed on the Legislative Assembly's website or by contacting the Legislative Assembly Library. The word of the day was going.
Topics
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Brennan
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Rocky Simpson Hay River South
Thank you, Madam Chair. We're showing a revenue of $200,000, but expenditures for those charters is $422,000. We're losing a lot more than we're making unless I'm looking at something wrong. Thank you.
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Katrina Nokleby Great Slave
Thank you, Madam Chair. I believe what he's saying is the charter costs are what they label when they do work on other peoples' boats, whereas the charter revenue is the money we receive to move goods around. Perhaps I would suggest that charter costs, under expenditures, is a poorly named item. It would probably be better to be "work on others," if that is my understanding from what Mr. Brennan has said. He's nodding his head "yes." Thank you, Madam Chair.
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Rocky Simpson Hay River South
Thank you, Madam Chair. Talking about other items, what do the other items entail? Thank you, Madam Chair.
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Katrina Nokleby Great Slave
Thank you, Madam Chair. The increase there is actually the money that we've gotten from the Oceans Protection Plan for the four double-hulled barges. I believe that would be any revenues that we have received when we apply on any sorts of funding that we'd be looking for to do specific, either purchasing or other projects. Thank you, Madam Chair.
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Rocky Simpson Hay River South
Thank you, Madam Chair. Thank you for bringing up the double-hulled barges. Can you tell me whether that they are on budget? What the cost to build them and the cost to get them into Canada? Thank you, Madam Chair.
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Katrina Nokleby Great Slave
Thank you, Madam Chair. As I mentioned in the House yesterday, they are on time. They will be delivered in August. Sorry. They were $29 million. Maybe I will just ask Dr. Dragon to just fill in a little bit more of the information. Thank you, Madam Chair.
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Dr. Dragon
Thank you, Madam Chair. Yes. That funding was $29 million. That was 75 percent provided by the Ocean Protection Plan. They are on schedule and on budget. They are scheduled to arrive in Tuktoyaktuk between August 12th and 15th, and to this date, we get weekly updates from the manufacturer. Everything is on schedule as planned. Thank you, Madam Chair.
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Rocky Simpson Hay River South
Thank you, Madam Chair. With respect to these double-hulled barges, are they going to be used on the Mackenzie River, or are they only for ocean-going? Thank you, Madam Chair.
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Dr. Dragon
Thanks, Madam Chair. Our goal is to have the majority of our fleet as actual double-hulled barges. We have two double-hulled pre-owned barges that were purchased in 2017. We have four new double-hulled barges that will come online in 2020. We are also doing conversions right now, two new 1500-series conversions. It will allow us to have eight double-hulled barges that we will be utilizing throughout the northern environment. I think it's one thing to be able to say you're delivering a product that, if we were to get in trouble on one of the ecosystems that we're currently travelling on, we could have a real issue there. I think, again, what we've been trying to do is make sure that all of our barging systems will be double-hulled. Thank you, Madam Chair.
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Rocky Simpson Hay River South
Thank you, Madam Chair. With double-hulled barges, are you going to be able to, with respect to petroleum products, haul the same volume as you would with non-double-hulled barges? I'm thinking here that, if you can't, that may increase the cost of petroleum products in the communities. Thank you, Madam Chair.
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Katrina Nokleby Great Slave
Thank you, Madam Chair. I don't believe that the double-hulled barges are any lesser in volume than the ones that we already had. If anything, I do believe they are perhaps larger volumes. I see Mr. Brennan shaking his head "yes," so there is no reduced capacity with the new barges. Thank you.