NUNAVUT - Nunavummiut homeowners can now apply for funding to help them replace or repair their heating oil tanks.

Launched on April 1, the Nunavut Housing Corporation's Heating Oil Tank Program offers homeowners a one-time grant of $5,000. The money can be used to cover the cost of materials, freight and labour for repairs or replacement.

"We've done some fuel tank replacements through some of our other programs but this is more of a concentrated effort, said Alain Barriault, the corporation's president, who added that a full replacement with installation should cost no more than $5,000.

There is no income limit to access the program, but Barriault said applications will be addressed on priority basis.

"Those least able to help themselves will be assisted first," he said.

Once homeowners fill out the application form, housing corp. inspectors or representatives from the local housing organizations will visit homes to assess the heating oil system.

Some things inspectors will look for include visible leaks, rust, corrosion, the age and condition of the tank, if there is a flex connection, certification plates, if the tank rests on a wooden tank stand which is no longer up to code and the location of the tank.

Barriault said some oil tank stands could have moved over time shifting the fittings or flexible connections joining the tank to the house could have been incorrectly installed. Flexible connections should be installed so they are straight.

Once applicants have qualified for the program, homeowners will receive a statement of work telling them what has to be done. They can then have the work priced and carried out by local contractors.

Barriault said the housing corp is aware not all communities have local contractors and the corporation is prepared to assist in co-ordinating some of the work.

Another program goal is to help reduce the risk of environmental contamination.

It is estimated that approximately 110,000 litres of heating oil, enough to fill 100 home heating oil tanks, has spilled out of tanks at homes in Nunavut from 1982 to 2008, according to the Illustrated Homeowner's Guide to Heating Oil Tank Inspections released by the GN's Department of Environment's Environmental Protection Division. The guide is on the department's websites for homeowners to use as a resource.

New environmental guidelines for cleanup of heating oil tank spills have been put in place all across the country. Barriault said a cleanup that would meet these guidelines, depending on the size of the spill and the extent of the damage, could cost anywhere between $50,000 and $200,000.

No cut-off date for applications has been set. Homeowners can pick up applications from their local housing organization office, housing corporation district offices in Cape Dorset and Cambridge Bay, the directorate office in Iqaluit or at headquarters in Arviat.