Chris Puglia
Northern News Services
Monday, March 19, 2007

YELLOWKNIFE - The GNWT is forecasting a 114 per cent spike in territorial greenhouse gas emissions over the next decade.

Predictions jump from an annual output of 1,750 kilotonnes of carbon dioxide (CO2) to 3,750 kilotonnes by 2016. The analysis is based on increased oil and gas as well as mining activity.

Gas Strategy Annual NWT CO2 output 1.75 megatonnes By 2011 the GNWT is aiming to reduce internal emissions by 10 per cent under 2001 levels Fifty-two per cent of NWT emissions come from industry Mining and oil and gas development will increase the NWT's annual emissions by more than 100 per cent by 2016 An increase in core funding to the Arctic Energy Alliance. Energy Plan Resource development key to economic growth in the NWT High energy costs impede community economic development Energy diversification key Taltson Hydro project expansion. Conversion of Tulita, Fort Good Hope and Fort Simpson to natural gas Exploration of renewable, alternative and emergent energy technology $200,000 for communities and non-government organizations.

The data was revealed during the unveiling of the government's greenhouse gas strategy and energy plan on Wednesday. One document outlines the government's objectives for environmental protection, while the other focuses on future economic development.

According to the information released, industry accounts for 52 per cent of the NWT's annual emissions followed distantly by transportation at 18 per cent.

Despite the figures, the emissions strategy only symbolically addresses measures for industrial emission reduction, stating, 'the GNWT encourages all other sectors to develop their own emission management plans and targets.'

The barrier to legislating emission reduction targets for NWT mining and oil and gas operations comes down to jurisdiction. Until the GNWT has a devolution agreement in place with Ottawa, the territorial government does not have authority over resource-based industry operating on federal land.

Brendan Bell, minister of Industry, Tourism and Investment, said the government is taking a two-tiered approach to encouraging industry to reduce its greenhouse gas emissions.

The first is leading by example. Under the strategy, the GNWT has targeted a 10 per cent reduction - under 2001 levels - in its own greenhouse gas emissions by 2011. That means government emissions, which account for three per cent of territorial CO2 production, are expected to essentially remain static, but, as its workforce and infrastructure grow, will account for a smaller proportion of overall carbon dioxide emissions.

Part two is to make alternative energy sources available to industrial projects. Plans include the expansion of the Taltson hydroelectric project, development of mini-hydro projects and the conversion from diesel to natural gas power generation and other sources of renewable energy such as wind power.

'It's in their (industry's) financial interest to make the switch, and they have said as much,' he said.

Critics, like Doug Ritchie, program director with Ecology North, said the jurisdictional argument doesn't wash with him.

'For the GNWT to throw up their hands and say we can't do anything is defeatist,' said Ritchie.

Although the GNWT does not have regulatory power over oil and gas and mining operations, Ritchie said there are a number of ways they could have targeted industrial emissions.

'They could have supported our notion to make the Mackenzie Valley pipeline carbon neutral,' said Ritchie. Carbon neutral projects purchase credits based on the amount of new pollutants they contribute to the atmosphere. Those funds are then applied to investing in carbon reducing projects.

Ritchie was also concerned with the tepid controls placed on the transportation industry - the number two contributor to NWT emissions.

He was told Wednesday that the GNWT did not have an appetite for Ecology North's controversial suggestion of a carbon tax. The GNWT's position is that would increase the cost of living in many smaller communities.

Ritchie disagrees.

He said that through the use of rebates and aiming the tax primarily at industry it would have little impact on individuals and would force industry to become more energy efficient.

'They basically ignored it,' said Ritchie.

Complaints aside, Ritchie did applaud the work the GNWT is doing in terms of improving community energy efficiency.

Residential initiatives include grants to homeowners for renovations to upgrade energy efficiency; $200,000 in existing funding to be redirected to community governments and non-profit organizations for energy upgrades and the exploration and development of renewable energy projects; and the conversion of communities like Tulita, Fort Good Hope and Norman Wells to natural gas.

In all, $6 million has been budgeted - $5 million in new money - to address energy efficiency in the NWT.

Bell said the rise in emission levels is unavoidable. With the push to have the Mackenzie Valley Pipeline project put into place a rise in emissions is inevitable, he said. However, he stated that increasing the supply of natural gas the NWT along with other projects such as those in the Yukon and Alaska, has an opportunity to influence national and international markets.

'The increased supply is going to suppress prices,' said Bell.

Bell added that reducing the cost of cleaner fuel could be the catalyst to communities and industry making the switch from coal and diesel generation.

Fuel costs are a major concern in isolated NWT communities, according to Jane Groenewegen, Hay River MLA, and chair of the standing committee on governance of economic development. Through development of alternative energy and improved efficiency the hope is to save residents and communities money annually.

'We need action that will help address these costs,' said Groenewegen.

Part of ensuring the NWT's access to renewable energy is the protection of territorial waterways. Significant drops in water levels partly due to development in other provinces and territories could hinder hydroelectric projects and is leading the GNWT to take action.

Michael McLeod, minister of Environment and Natural Resources, said the government has negotiated or is in the process of negotiating cross boundary water agreements with B.C., the Yukon, Alberta and Saskatchewan.

An agreement has already been ratified with the Yukon and a framework agreement is in place with Alberta. McLeod said he is meeting with the Alberta environment minister on Tuesday.

McLeod said the agreements focus an ensuring water quality and quantity.

'We'll want them to consult with us on any major projects.