Jillian Dickens
Northern News Services

Iqaluit (Oct 24/05) - Qulliq Energy Corporation spent a lot less money this fiscal year, compared to previous years.

The corporation released the audited 2004-2005 statements last Friday, showing a deficit of $4.9 million - 47 per cent less than the last fiscal year.

"These are the lowest losses in the corporation's history," said Energy Minister Ed Picco at a recent press conference.

Cutting down on overtime expenses and travel costs - by sharing chartered flights - were two examples Energy Minister Ed Picco gave to account for the savings. Increased prices, fuel support and contributions from the government were not the reasons, said the minister.

"There was a lot of fat that could be trimmed... the corporation was consistently looking for savings and making changes," said Picco.

The QEC was under fire following a report by Auditor General Sheila Fraser, released mid-May 2004, that pointed out major losses due to sloppy operating procedures and careless spending. One highlighted issue was $670,000 in bonuses paid to management during Qulliq's first two years.

"We listened to the concerns of Nunavummiut and challenged the corporation to become more efficient in its operations," Picco said. "I'm pleased to report that the corporation did this effectively by improving its bottom line."

In April of this year the corporation was forced to increase power rates by three cents - the first increase in eight years. And it looks like prices will be going up again next year.

"There will have to be a small increase," said Picco.