Nathan VanderKlippe
Northern News Services

Yellowknife (Oct 14/02) - Reaction was mixed to news that Premier Stephen Kakfwi, speaking for cabinet, ordered the power corporation to withdraw its application for a flat rate for electricity.

Last Tuesday, Kakfwi said cabinet had decided in early August that the power corporation should cease all activities relating to the one-rate plan. He then ordered Joe Handley, the minister responsible for the power corp., to draft a letter to the company ordering it to withdraw its application.

The board of directors still has not acted on the directive, although it met last Thursday and Friday to exchange a flurry of communications with the GNWT executive council. Board members would not comment on what was being discussed.

Asked if the board was disputing the territorial directive, board member Ric Bolivar said, "I'm not going to say that."

NTPC had applied to assess power at 23.21 kilowatts an hour for all of its residential customers in the NWT.

On Friday, Public Utilities Board chair John Hill sent a letter to all interested groups that any activity surrounding the application would be halted until the NTPC board of directors made a formal decision on the rate application.

Kafkwi's announcement took many by surprise. Some praised him, while others attacked the decision.

"We passed a motion in council in favour of it, and now we find that it was never even supposed to be brought to the table. So I just don't know what to make of it now," said Fort Simpson mayor Tom Wilson, who said he was disappointed at Kakfwi's announcement.

Glenn Smart, a town councillor from Hay River, applauded the decision but said he was concerned about the money already spent on responding to the application.

Intervenor groups are routinely reimbursed by NTPC for their costs. However, with this sudden halt to the process, municipalities are unsure if they will be reimbursed.

Hill would not give assurances either way, but said, "if somebody applies to the board for costs, the board will act as it deems appropriate."

Inuvik Mayor Peter Clarkson, meanwhile, said the application flip-flop stemmed from political pressure.

"Do the math," he said. "You have how many MLAs in Yellowknife, how many in Fort Smith, how many in Hay River?...You don't have to be a rocket scientist to add up those numbers."