Iqaluit (Feb 17/03) - All the fuss that led to Jack Anawak's demotion in cabinet has to do with the Nunavut's new direction on the energy front.

Thirteen positions moving to Baker Lake are a result of the creation of Qulliq Energy Corporation, an umbrella Crown corp that takes Nunavut Power Corporation under its wing.

Here's how it works according to minister of energy Ed Picco, speaking Oct. 31 last year in the legislative assembly:

"A key recommendation (in seeking energy conservation and alternative energy strategies) is the creation of Qulliq Energy Corporation, to be responsible for both electricity and fuel in Nunavut.

"It is proposed that the Qulliq Energy Corp. have two major subsidiaries: the existing Nunavut Power Corporation, and the proposed Quilliq Fuel Corporation.

"Mr. Speaker, Qulliq Fuel Corporation is designed to hold the assets and take on the responsibilities currently controlled by the petroleum products division of the department of public works and services."

(The jobs attached to PPD are the ones going to Baker Lake.)

"In effect, this existing branch of government will become a new Crown corporation," Picco continued.

"Nunavut Power Corp., established under the Qulliq Energy Corp., will operate much the same way as it does now.

"However, the major difference will be that they will no longer be involved in fuel purchasing, fuel storage and pipelines. This now will be the responsibility of Quilliq Fuel.

"The implementation of this plan and transition for all involved will be a joint effort between the petroleum products division of the department of public works and services, as well as the department of executive and intergovernmental affairs and the existing board of directors of Nunavut Power Corp., which we look forward to working with in the future as the new board of Qulliq Energy Corp."