Resident calls foul over meeting
Francis Chang perceives possible conflict of interest after PUB chair has dinner with manager of Northland Utilities
John McFadden
Northern News Services
Friday, August 4, 2017
SOMBA K'E/YELLOWKNIFE
Glen Abernethy, minister responsible for the Public Utilities Board, has reminded board chair Gord Van Tighem of the importance of avoiding perceptions of a conflict of interest after receiving a letter from a concerned citizen.
Glen Abernethy: Minister responsible for PUB says no conflict in this case but has cautioned PUB chair about perceived conflict of interest. - |
Francis Chang wrote the minister expressing his concerns after he saw his neighbour Derek McHugh, manager of Northland Utilities, sit down for dinner with Van Tighem in McHugh's backyard in early July. Chang is a neighbour of McHugh's.
According to Chang, the backyard meeting came just days before public hearings over an application to the PUB from the NWT Power Corporation, which is seeking a rate increase of 12.8 per cent over the next three years, retroactive to 2016.
The Public Utilities Board (PUB) has already approved interim increases of 4.8 per cent and four per cent in August 2016 and April 2017 respectively. If the board approves the power corp.'s latest request, power rates will have gone up by 41.2 per cent between 2012 and 2018.
Chang said he realizes Northland Utilities is separate from NTPC - it is a private company that buys power from the territorial government-run NTPC and sells it to Yellowknife consumers. But he said he believes Northland would also benefit financially from a power-rate increase.
He said he did not overhear the conversation.
"It is disturbing that when an organization is asking for a rate increase and the distribution arm is having dinner and drinks with the chair," wrote Chang in his e-mail to Abernethy.
"It does not bode well for an arbitrary decision in my opinion."
Van Tighem said the meeting was not about power rates but St. Patrick's Church.
"Derek and I serve on the St. Pat's finance commission," he said. "We had a dinner at Derek's house with the priest to talk about church stuff ... Northland wasn't asking for anything."
McHugh likewise said the dinner was held to discuss church business.
"I'm involved with a lot of things and Gord is involved with a lot of things too," he said.
Van Tighem said everybody has a life outside of their day job and this particular meeting was related to parish work. He said he's lived his life in the public sphere for two decades and his actions over that period of time show he is very careful to avoid conflicts of interest but even that has its limits in a city the size of Yellowknife.
"It's a small community," he said. "Everybody knows everybody."
In an interview with Yellowknifer, Abernethy said there was no conflict in this case because it was not Northland that was seeking a rate increase.
"I did have a conversation with (Van Tighem)," he said.
"And reminded him of the importance of avoiding any perceptions of conflict of interest and asked that he, as the chair, exercise some due caution in dealings with local managers when matters concerning Northland Utilities are before the PUB."
- with files from Mike W. Bryant
