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PoliticsEnergy7TuesdayJune42013LNGsupplyforInuvikshouldbesetbyOctoberByMEAGANWOHLBERGResidentsofInuvikwhofacedadoublingoftheirfuelbillslastwintercouldhavetheopportunitytopiggy-backonliqueednaturalgasLNGbeingtruckedintothecommunitythisfalltotakeonelectricityrequirementsfortheNorthwestTerritoriesPowerCorp.NTPC.AcontracthasbeensettledwithVenturesWestTransporttotransportLNGintoInuvikfromasupplierinBCviatheDempsterHighwayinordertooffsetNTPCsexpensivediesel-fuelpowergenerators.Thatsuppliercurrentlyre-mainsunnamedbutwillberevealedinthenearfutureaccordingtoNTPC.WhilethatLNGisnotgearedtowardheatingtheministerresponsibleforNTPCMichaelMilten-bergersaidresidentsmightbeabletomaketheswitchfromtheircurrentheatingfuel-syntheticnaturalgas-toLNG.Wereworkingwiththetowntoseeiftheresanop-portunitytopiggybackintermsofsupplyshouldthecommunityitselfwanttolookatchangingfromsyn-theticnaturalgastoliquidnaturalgasMiltenbergersaidinresponsetoquestionsfromInuvikMLAAlfredMoseslastWednesdayintheHouse.TheNTEnergyinitiativeaimstohaveLNGpower-ingupto70percentofthetownselectricityneedsbynextsummerphasingoutthedieseldependencyforcedontothecommunityfollow-ingtheprematurefailureofInuvikGasLtd.sIkhilwell.AsofFeb.1Inuvikswitchedovertosyntheticnaturalgastocompensateforthequickly-waningsup-plyfromIkhil.CostspergigajouleGJjumpedfromaround19GJtoover35.Mosessaidthechange-overhasbeenamajornan-cialburdentomanyinthecommunity.Insomecasestheirfuelbillsdoubled.AsaresultitaffectedtheirdailylivesitaffectedtheirmentalhealthitaffectedtheirfamilylivesaswellMosessaidinhismembersstatementtotheLegislativeAssemblyonWednesday.Mosessaidhehasseenalotofhousesgoingupforsaleandpeopleneedingtosetupnancingplanstopaytheirfuelbills.Thatisridiculous.NotinthisdayandagenotinthecommunityofInuvikhesaid.IhavenodoubtthataftertheexperienceofJanuaryFebruaryandMarchtherearegoingtobepeoplewhodontwanttoliveinInu-vikandaregoingtobewant-ingtomove...Wetalkaboutdevolutionwetalkaboutdecentralization.NobodysgoingtobewantingtocometoliveinInuvikworkinginthosejobswiththehighcostoflivingalreadyandthehighgasprices.Theyneedtobeaddressed.MiltenbergersaidLNGwilllikelyrollintotownbyearlyfallandseeNTPCon-linewithLNGbyOctoberprovidingeverythingrollsoutsmoothlyanditlookslikeallthepiecesandplanningareproceedingatapacetohitthatdate.Thoughtherearesomeconcernswithsupplystop-pageduringtheperiodsinfallandspringwhencross-ingtheriverbecomesimpos-sibleMiltenbergersaidsomeofthatissuewillbemitigatedbyanextendedferryseasonforInuvikduetoimprovedequipment.AswellbesideshavingfullredundancyondieseliftheLNGsupplyrunsoutMilt-enbergersaidNTPCplanstostoresomeonthegroundinthecommunity.Werelookingatstorageofuptoamonthifneces-saryhesaid.NWTboardsloseoversightontoxicwastewaterdisposalDecisionsondrillingbyproductstransferredtoNationalEnergyBoardByMEAGANWOHLBERGLandandwaterboardsintheNorthwestTerritorieshavebeenstrippedoftheiroversightcapacitiesontoxicwastewaterresultingasaby-productofdrillingwellsforoilandgas.Whilelocalboardswereuntilthisyearresponsibleforlicensingdownholeinjec-tionswherebycompaniesstoretoxicwastewaterunder-groundbypumpingtheuidathighspeedintosubsurfacerockformationsinaprocesssimilartohydraulicfracturingfrack-ingthatpowerwashandedovertotheNationalEnergyBoardNEBlastNovember.Thedecisionwasmadewith-outParliamentarydebateorleg-islativechangesbutpublishedintheCanadianGazettewithgreaterefciencyintheregu-lationofoilandgasactivitiesintheNorthwestTerritoriesprovidedasthereasoning.Withtheaxingoftherequire-mentforaTypeAlicensefromthelandandwaterboardalsocomestheremovalofanotherlevelofpublicconsultation-amovethatcausedsomeconcern.Partiesexpressedconcernsthattheremovaloftherequire-mentforaTypeAwaterlicenseandwithittherequirementforapublichearingstatedthesummaryintheGazette.Concernsarounddownholeinjectionscomefromlimited2011datalinkingtheprocesstothecreationoflow-magnitudeearthquakesalongwithamorerecentstudylastweekbyNewYorkStatesdepartmentofEn-vironmentalConservationthatfoundwastewaterfromshalefrackingtoberadioactivewithlevelsofradiumashighas267timesbeyondthelimitforsafedischargeintotheenvironmentandthousandsoftimesthesafelimitfordrinking.ConocoPhillipswastewaterdisposalplansubmittedtotheSahtuLandandWaterBoarddoesnotproposedownholein-jectionbutrathershippingthetoxicuidtoAlbertabytruck.Thecompanycouldhoweverchangecoursewithoutrequiringanassessmentfromtheboardthankstotheregulatorychange.Currentlydrillingcompa-niesdisposeofwastewaterinsumpsorbytruck.ThechangefallsundertheHarpergovernmentsActionPlanfortheNorthaimedatstreamliningtheterritorysregulatorysystem.TheplanincludesamendmentstotheMackenzieValleyResourceManagementActreviewboardstheestablishmentofaSurfaceRightsBoardandotherchangestominingandoilandgasregulations.Thechangecomestimedwiththeadventoffrackingintheterritoryacontroversialpracticethathasyettobeap-provedintheNWT.ArecentproposalbyenergycompanyConocoPhillipstodrillanex-ploratoryhorizontalwellintheSahturegionthiswinterwasrecentlyevaluatedbythelocallandandwaterboardwhichdecidedtoputoffmak-inganydecisionoverwhetherornottheapplicationneedstogototheenvironmentalassessmentprocess.Nofracking-specicregu-lationscurrentlyexistwithinPoliticsRegulatorytheNWT.Atthemomentwithanaldevolutionagree-menttransferofauthorityoverlandswaterandresourcesfromfederalhandstotheGNWTincompletetheNEBisstuckwithregulatingfrackingintheNorth-aprocedurealsoout-sideitscomfortzoneaspro-vincialjurisdictionscurrentlyengagedinfrackinghavetheirownregulations.ApreviousapplicationtofrackintheSahtubyMGMEnergyincoordinationwithShellwaswithdrawnafteritwasreferredtoenvironmentalassessmentlastyearwiththecompanysayingtheprocesscouldtaketoolongandcosttoomuchforaprojectattheexploratorystage.Whilemanyintheterri-toryremainconcernedaboutfrackinganditspotentialim-pactongroundwaterothersarepushingforatighterre-viewprocessthatwontseeenvironmentalassessmentsforexploratorywells.PhotoJeanPolfusSahtueldersvisitMGMsshaleoiloperationsnearTulita.