Northwest Territories Legislative Assembly 3rd Session Day 16 15th Assembly hansard monday, May 31, 2004


Question 181-15(3): Rising Fuel Prices And Power Rates



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Question 181-15(3): Rising Fuel Prices And Power Rates


MR. MENICOCHE: Mr. Speaker, thank you very much. My question is for the Minister responsible for the Power Corporation, as well as the Premier. In the face of rapidly rising fuel prices, does the government have any plans to alleviate the unfair and disproportionate burden being placed on NWT residents who live in smaller communities where electricity is supplied by diesel generators? Thank you.

MR. SPEAKER: Minister responsible for the Power Corporation, Mr. Premier, Mr. Handley.

Return To Question 181-15(3): Rising Fuel Prices And Power Rates


HON. JOE HANDLEY: Thank you, Mr. Speaker. Certainly we are monitoring what is happening with fuel prices. I might also mention, Mr. Speaker, that throughout the North in the communities with diesel powered generators, we do have a power stabilization program in place that ensures that customers are not subject to the rise and fall of prices on a continual basis. Thank you, Mr. Speaker.

MR. SPEAKER: Supplementary, Mr. Menicoche.

Supplementary To Question 181-15(3): Rising Fuel Prices And Power Rates


MR. MENICOCHE: Mr. Speaker, I am glad the government is recognizing that rising fuel prices will affect elders on fixed incomes more than other people. Does the government have plans to introduce power subsidies for the elders, like existing fuel subsidies with regard to power rate prices? Thank you.

MR. SPEAKER: Premier, Mr. Handley.

Further Return To Question 181-15(3): Rising Fuel Prices And Power Rates


HON. JOE HANDLEY: Mr. Speaker, my information now is that the stabilization funds that we have in the Power Corporation have adequate flexibility to be able to accommodate for the higher prices for the time being, so we don’t have to pass it off to customers. Mr. Speaker, at some point, when the maximum stabilization funds are reached, then we may have to go for what’s called a rate rider to increase power. At that point, then we would have to look at issues like the Member is referring to, but it’s not a decision the Power Corporation would make itself. It would to take this to the Public Utilities Board. Thank you, Mr. Speaker.

MR. SPEAKER: Supplementary, Mr. Menicoche.

Supplementary To Question 181-15(3): Rising Fuel Prices And Power Rates


MR. MENICOCHE: Mr. Speaker, given that the NWT is the only jurisdiction in Canada that does not have a single pricing policy for electricity and given that the current situation with rising fuel prices is making inadequacies inherent in our policies painfully apparent, does the government have plans to get in step with the rest of Canada and charge all of its citizens the same price for electricity?

MR. SPEAKER: Mr. Premier, Mr. Handley.

Further Return To Question 181-15(3): Rising Fuel Prices And Power Rates


HON. JOE HANDLEY: Mr. Speaker, no, at this point in time we do not have plans to move to a one-rate system. That’s something we may, in this assembly, want to look at. I am not sure. There are no definite plans to do it. In the longer term though, we would certainly want to consider trying to achieve that goal. Mr. Speaker, I should also point out that we do, at this time, set the prices in all of the diesel communities based on the Yellowknife price or cost of power per kilowatt for the first 700 kilowatts for all residents. That is enough to run all but larger homes, so I would hope that residents would also be careful with the consumption in their houses if they find they are going over 700. But for the first 700, it should be and will be the same as the Yellowknife rates. Thank you, Mr. Speaker.

MR. SPEAKER: Final Supplementary, Mr. Menicoche.

Supplementary To Question 181-15(3): Rising Fuel Prices And Power Rates


MR. MENICOCHE: Thank you, Mr. Speaker. Just with regard to equalizing how communities are paying for power, three years ago when it was a problem to supply electricity to Yellowknife due to low water levels, all the people in the NWT were asked to subsidize people in the capital by paying higher rates. Today when there is a problem supply of electricity in smaller communities due to rising fuel prices, as in this case, will the government be asking the people in Yellowknife to repay the favour by charging them higher rates to offset the hardships faced by smaller communities? Mahsi.

MR. SPEAKER: Minister responsible for the Power Corporation, Mr. Premier.

Further Return To Question 181-15(3): Rising Fuel Prices And Power Rates


HON. JOE HANDLEY: Mr. Speaker, as I said earlier, all of the rates for the first 700 kilowatts are subsidized back to the Yellowknife price. So if we find that the prices are going up in the diesel-generated power communities, then it will be the government who will be subsidizing through our power subsidy program, not Yellowknife, but the government will be subsidizing all those communities to bring them back to the Yellowknife prices. Thank you, Mr. Speaker.

MR. SPEAKER: Item 6, oral questions. Member for Range Lake, Ms. Lee.

Question 182-15(3): Supplementary Health Benefits For Seniors


MS. LEE: Thank you, Mr. Speaker. Mr. Speaker, my question today is for the Minister of Health and Social Services with regard to the coverage for drug benefits for seniors. Mr. Speaker, recently there was a change in insurance companies. I believe it went from Sunlife to Alberta Blue Cross, I am not sure exactly. The new insurer is Alberta Blue Cross. In the process of changing this insurance coverage, many seniors are finding that their pharmaceutical products that used to be covered under the old benefits are no longer covered under the new one. Part of it is just transitional problems where the pharmacies have not been given the new list that are eligible for insurance coverage that were available under the old one. I want to make sure that this is not a change in the coverage, but just a transitional hiccup. I would like to ask the Minister whether or not there have been any changes to coverage for seniors in pharmaceutical products. Thank you.

MR. SPEAKER: Minister of Health and Social Services, Mr. Miltenberger.

Return To Question 182-15(3): Supplementary Health Benefits For Seniors


HON. MICHAEL MILTENBERGER: Thank you, Mr. Speaker. Mr. Speaker, this was an administrative change to hopefully improve how the system was administered, but there was no change to the drugs or the type of pharmaceuticals covered. Thank you.

MR. SPEAKER: Supplementary, Ms. Lee.

Supplementary To Question 182-15(3): Supplementary Health Benefits For Seniors


MS. LEE: Thank you, Mr. Speaker. That’s good to know, because I have some who are watching who wanted to know what is happening here. It’s good to know there has not been a reduction in coverage of pharmaceutical products. If there is no change in policies, it appears that it really is resulting from lack of complete communication between their insurance coverage office and the pharmacies around the NWT who usually just give pharmaceutical products to seniors without taking any cash from them, so there is no need to do paperwork on the part of the seniors. Can I ask the Minister to make sure that all the pharmacies in the NWT are informed comprehensively about the list of drugs that are covered? Thank you.

MR. SPEAKER: Minister of Health and Social Services, Mr. Miltenberger.

Further Return To Question 182-15(3): Supplementary Health Benefits For Seniors


HON. MICHAEL MILTENBERGER: Thank you, Mr. Speaker. Mr. Speaker, I would like to point out that all affected seniors were given a direct mail-out as were all pharmacies, but I will commit here today to ensure that the information has gotten to its destination and ensure that the information of how the changes are to be implemented are in the areas where they are supposed to be. Thank you.

MR. SPEAKER: Item 6, oral questions. Ms. Lee.


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