Yellowknife (Nov 15/06) - Revenue sharing and devolution dominated talks last Tuesday among Northern premiers in Iqaluit.

With resource development booming in the NWT and Nunavut, leaders said it is paramount that the territories strike a royalty deal with Ottawa.

"Certainly the most important issue is around devolution and revenue sharing," said Premier Joe Handley from Iqaluit.

"It's critical for us and Nunavut, and we all take Prime Minister (Stephen) Harper at his word talking about the primary beneficiaries of resources being Northerners."

During a whistle-stop tour of Northern communities in August, Harper's mantra was Northern resource benefits for Northerners.

As the country's finance ministers are expected to meet in December, the premier hopes this will result in an improved formula finance deal with Ottawa.

Territorial formula financing is similar to the equalization payments Ottawa makes to provinces each year. For Handley's government, hammering out a new deal with the federal government has been a priority.

Also on the agenda in Iqaluit was climate change, establishing a Northern court of appeal and the federal long gun registry, which the premier supports.

As well, he expressed frustration over recent cuts to literacy programs.

"We haven't heard any signals from the feds that they are reconsidering the cuts," said Handley.

"Not only do they affect English literacy but traditional languages literacy too, and these cuts hit us particularly hard."