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Fighting off a toll

It's a tax by another name - Canvin

Derek Neary
Northern News Services

Fort Simpson (Aug 24/01) - An anticipated toll on trucks freighting goods to the NWT is bound to cost Northern residents much more than the territorial government is prepared to offset, according to Duncan Canvin.

Canvin, president of the Fort Simpson Chamber of Commerce and a village councillor, was one of only four people to attend an information session in Fort Simpson regarding the proposed highway toll last week.

He said he didn't like what he heard.

"I don't agree with it at all. Despite them saying it's a toll, it's a tax by another name," he said.

Joe Handley, Finance minister for the GNWT, has said in the past that an increase in the Northern cost of living tax credit will more than make up for rising costs as companies pass the extra expense along to their customers.

Canvin argued that Handley is underestimating the price hikes that individuals will face. The toll will result in higher costs for gasoline, home heating fuel, electricity (which is diesel generated in many Deh Cho communities) and groceries, he said. Instead of paying perhaps five cents more for a pound of butter, as he said Handley has suggested, consumers will likely pay 50 to 60 cents more, Canvin contended.

He added that some business owners will undoubtedly jump at the opportunity to push prices even higher, blaming the GNWT's road toll while the unwitting consumer will never know the difference.

Margaret Melhorn, deputy minister for the Department of Finance, told the Drum that because household consumption varies, the impact of the commercial vehicle toll will also vary.

"It depends on whether you drive a car, how much groceries you buy. Do you have one car, two cars, a snowmobile, whatever," she explained.

On the upside, if the bills becomes law, the government will be limited to spending the revenues strictly on road improvements, Canvin noted.

The GNWT has scheduled another public consultation session in Fort Simpson, Sept. 13-14.