Chief negotiator named to transfer control of Northwest Territories resources

Gary Park, PNA Canadian correspondent

Negotiations are back on track to reach a deal on transferring ownership, control and revenues from the Northwest Territories’ resources from the Canadian government to northerners.

The federal government on Aug. 29 named former Ontario premier David Peterson to lead its team in the devolution talks, just two days after Northwest Territories Premier Stephen Kakfwi said delays were stalling the momentum of Mackenzie Delta gas development.

On Aug. 29, Kakfwi pointed out that Indian Affairs Minister Robert Nault had promised to appoint a chief federal negotiator by last March.

He expressed confidence that Peterson will bring the “necessary experience, clout and presence to negotiations” to achieve an early resolution “because timing is everything.”

A deal would cover the Northwest Territories’ rich reserves of oil and natural gas, minerals and diamonds, which are all starting to generate substantial royalties for the Canadian government.

Kakfwi has said there must be an agreement on transferring control before any approvals are issued for a proposed C$3 billion (US$1.95 billion) pipeline from the Mackenzie Delta along the Mackenzie Valley.

Aboriginal groups hope to acquire a one-third equity stake in the pipeline.

Kakfwi, in Calgary at the end of August for meetings with energy executives, said the Canadian government is also dragging its feet on other urgent resource-development issues.

He said roads are disintegrating as thousands of trucks start moving supplies to exploration and construction camps.

“We need to see money for the roads,” Kakfwi said, adding Prime Minister Jean Chretien has indicated he is “very supportive” of the Northwest Territories’ request for infrastructure money, “but I’d like to see the check.”

He warned earlier this year that aboriginal support for projects such as the gas pipeline might erode unless the federal government kicked in more than C$200 million in economic aid for his region.

Kakfwi said money was urgently need to fix roads and improve social and health programs as well as help for skill training to ensure the Northwest Territories is supportive of resource development.

“We need to have government look like it’s putting something back in, not just sucking money out of here, otherwise people are going to say ‘Forget it, we’re not sure we’re going to continue this positive outlook,” he said.