Finance Committee on April 7th, 2017

[Peter Taptuna]

Absolutely. We always need more.

As you know, one of the things we're talking about is devolution. We want to ensure we have a mechanism there to actually generate our own revenue, so we have our own priorities built, especially when it comes to infrastructure. Again it's something we appreciate coming from Ottawa when we get that amount of money, but at the end of day, we do want to be a contributor and become more self-sustaining.

Having said that, it's very difficult for a small population to generate its own revenue. We create a little of our own revenue through taxes, but at the end of the day it's very difficult. In the past the government devolved education and health. Those don't generate any revenue. That's why we're trying to get devolution. We're the only jurisdiction in Canada that does not have that.

[Erin Weir, NDP, Regina—Lewvan, SK]

If devolution occurred for Nunavut, do you have an estimate of how much additional resource revenue your territory would be able to collect and retain?

[Peter Taptuna]

Not at this time. As you know, the development is happening on Inuit-owned lands, when it comes to mineral development, and as a territorial government we do not collect royalties on that, except personal taxes.

Going to crown lands, there's no real development taking place for I have to say 15 to 20 years, because as Inuit we had already selected the lands where there was high potential of mineral deposits, so the Inuit get that through negotiating Inuit impact benefit agreements with the developer, and of course, the royalties go to Canada. As the territorial government we get nothing out of that, but when I'm talking about devolution, I'm thinking way into the future.

[Erin Weir, NDP, Regina—Lewvan, SK]

Okay. Very good.

Mr. Chair, I am conscious of time—

[The Chair, Liberal, Wayne Easter]

You have time for one more question.

[Erin Weir, NDP, Regina—Lewvan, SK]

Okay. Thank you very much. I really appreciate that.

I would just close by asking if there is any one particular issue you'd like to highlight in terms of what the federal government could do better in the short term to help your territory. I appreciate that devolution is a long process and negotiated over time, but is there anything you're asking the government to do right now, let's say, in the next federal budget for Nunavut?

[Peter Taptuna]

Absolutely. There are many priorities we have in Nunavut and, again, when it comes to devolution, in the past we've always been an hour away from signing that AIP, agreement in principle, but that's several years away yet.

At the end of our devolution negotiations, I do want to see an AIP before the end of this year and move forward on that. At the same time, Nunavut is a vast territory, one-fifth the size of Canada, and we have no infrastructure there. The infrastructure is being slowly built, but transportation infrastructure is key. We want to make sure that whatever infrastructure is built—again, I have to bring up the Grays Bay road and port project—governments can generate revenue, all levels of government, through that type of infrastructure building.

Again, it's one of those things. Eastern Canada built to the west. Everybody forgot about the north. The north and the Arctic is key. It's probably going to be our economic engine going into the future because of the high mineral potential, and of course, the need for jobs.

[The Chair, Liberal, Wayne Easter]

Thank you for that, Erin.

Yes, the railway certainly opened up Canada's potential, and the St. Lawrence Seaway certainly did. You're seeing something similar from Grays Bay and transport, I think.

I have just one question. In our pre-budget consultations we had meetings with all the regional development agencies, and I think it's fair to say that some are doing a fairly good job and some not so great. What's your view on CanNor? Is it doing what needs to be done as a development agency in the north? Are you able to utilize it? Does it have enough funds? What are your thoughts on the Canadian Northern Economic Development Agency?

[Peter Taptuna]

We were very pleased when the building was constructed in Iqaluit, the capital city of Nunavut. Our territory is the least developed, and it was great that the federal government put the headquarters for the north in Iqaluit, in Nunavut. Of course, there are still growing pains.

I believe that there is still an opportunity there to improve it, but at this point we see better things. We see things evolving, and they're involving themselves more with development, so that's a good sign.

I hope that at the end of the day the relationship will be improved. Again, it's just a matter of time and working out the kinks. I know that there's an opportunity there to make sure that agency can assist the three territories when it comes to economic opportunities.

[The Chair, Liberal, Wayne Easter]

If I recall correctly, they indicated that there were quite a number of good projects that they weren't able to adequately fund. That shows that the investment opportunities are there, I guess.

With that, Mr. Premier and gentlemen, we thank you for your presentation. Thank you for coming to Ottawa.

I would also like to thank the analysts and the clerk. This week we've had six meetings and I know there's a lot of background work that goes into briefing notes, and so on and so forth. You folks have had a busy week, and I think you had to clerk another committee until midnight last night, Suzie, so I thank you folks as well.

Mr. Premier, gentlemen, thank you.

The meeting is adjourned.