Okay, thank you. Committee, we will begin on page 5 with the Department of Infrastructure. Supplementary Estimates (Infrastructure Expenditures), No. 3, 2023-2024, Department of Infrastructure, operation expenditures, energy and strategic initiatives, not previously authorized, negative $18,500,000. Does the committee agree? Sorry, any Members, general comments? Okay, I got Member from Yellowknife North.
Debates of Feb. 26th, 2024
This is page numbers 233 - 278 of the Hansard for the 20th Assembly, 1st 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 know.
Topics
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Shauna Morgan Yellowknife North
Thank you, Mr. Chair. So I have a number of questions based on page 5 around delays to the Fort Providence-Kakisa Transmission Line.
So this project was announced back in 2021, and at that time it was valued at $60 million with $45 million of that coming from the federal government and construction was expected to start in 2023 however it's been pushed back. In 2022, it was expected completion by 2024-2025. So as of last fall, the GNWT's regulatory filing stated that this project was expected to be operational by 2026. I'm wondering if the Minister can confirm whether that timeline is still realistic given that the money is still being pushed forward for this project?
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Caroline Wawzonek Yellowknife South
Thank you, Mr. Chair. Mr. Chair, we did experience some delays in the project but at this point I can say that we are looking to -- at this point, in 2024-2025, we will be expected to begin the process of ordering some of the supplies required, for example the poles needed. I understand that the nature of the transmission poles is such that even ordering that can be a fairly significant undertaking. But with that ordered in the coming fiscal year, then construction activities would get going within 2025 calendar year and, as such, commissioning could be then 2026 with operations by 2027.
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Shauna Morgan Yellowknife North
Thank you. And so is there an updated estimate for the total cost of this project and have costs risen significantly based on the delays?
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Caroline Wawzonek Yellowknife South
Thank you, Mr. Chair. Mr. Chair, I do expect that there has been some increase on the total cost of the project. I can't speak to the final sum right now but that is work that is underway at this moment, and I will certainly endeavour to give an update to the House once I have that. Thank you.
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Shauna Morgan Yellowknife North
Thank you. And so the reasons that have caused the project to be delayed thus far, are there concerns that it will cause the project to continue to be delayed?
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Caroline Wawzonek Yellowknife South
Thank you, Mr. Chair. Mr. Chair, the story behind the delays here is one that is not dissimilar to what was occurred for some of the other projects. COVID initially, and then followed not far behind with floods and a significant fire season. That has impacted the ability of the department in order to be able to do the much-required engagement process with communities and with Indigenous governments in the region and, as a result of that, that delayed the planning for the permitting process. In order to obviously go through the permitting process, that level of community engagement is an expected part of that. We do now, however, have the land use permit. That was issued in December of 2023, so that is what gives me the confidence to say that this is now moving forward and won't experience the same delays. Thank you.
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The Chair Richard Edjericon
Thank you. Any further general comments? I'll go to the Member from Range Lake.
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Kieron Testart Range Lake
Thank you, Mr. Chair. Can the witnesses provide an update on the Fort Simpson Liquefied Natural Gas Project? Thank you.
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Caroline Wawzonek Yellowknife South
Thank you, Mr. Chair. Mr. Chair, let me see what I have on that one here.
Actually, Mr. Chair, let me turn that to the deputy minister and see if he has it coming up ahead of me. Thank you.
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Bill Mackay
Thank you, Mr. Chair. I don't have that information handy here, Minister. Maybe Mr. Courtoreille has some information.
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Terence Courtoreille
Thank you, Mr. Chair. I don't have the detailed information either, but what I can say is what's being proposed in this supplementary request is to re-cash flow $500,000 for this project to a future year to better match those project schedules. I know the department was doing some work at the community level to determine the best timing for that project in relation to potentially moving the larger diesel plant. That was a conversation that came to light after the Fort Simpson flood two years ago, and I think the department is still working through that conversation with NTPC. Thank you, sir.
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Kieron Testart Range Lake
Thank you. What is the total amount for this project -- total budgeting amount for the entire project? Thank you.
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