Mr. Speaker, I rise to address the House on Bill C-8, the Canada-Yukon Oil and Gas Accord Implementation Act.
I am pleased to join my colleagues in support of this legislation which promotes the historic changes that are occurring in Yukon.
Hon. members have heard how Bill C-8 will provide for the transfer of the administration and control of onshore oil and gas from Canada to the Yukon government. It will also give the territorial government the authority to legislate all aspects of oil and gas.
Passage of this proposed act is a necessary and logical step in the Yukon's political evolution.
For too long Ottawa has been making decisions for Whitehorse and for Yukoners. The time has come to turn control over to those who live in Yukon so that they may deal with the issues on a daily basis. That is why the devolution of all remaining provincial-type powers and programs of the Department of Indian Affairs and Northern Development in Yukon to the Yukon government continues to be a priority for this government.
Canada and Yukon have worked together for more than a decade to respond to northerners' desire for more control over their lives. The process of placing responsibility where it belongs, at the local level, is well under way. We are providing the platform for northerners to find solutions to northern concerns.
For several years now, Yukon has drawn certain advantages from the transfer of responsibilities. At the present time, it delivers provincial-type programs in such areas as education, health and economic development.
The federal government, however, still administers Crown lands, forestry, water, environmental issues, mines and minerals, and of course oil and gas.
This current undertaking to transfer oil and gas jurisdiction shows the government's constant determination to give provincial-type jurisdictions to the territories. The administration and control of oil and gas resources constitute significant and obvious provincial-type functions.
I cannot overemphasize the importance of transferring this role to the people of the Yukon. Natural resources lie at the very heart of the Yukon economy. Natural resource development is essential to the territory's prosperity in the 21st century, as well as to its residents' survival.
The present government is agreeable to Yukon administration and control of oil and gas resources. Transfer of this program represents an important step in the political and economic evolution of Yukon.
Subsequently, of course, there will have to be a transfer to the Yukon government of other provincial-type powers and programs on its territory. To that end, in January 1997 the federal government announced a proposal for making such transfers.
I will give a brief explanation of what the transfer of responsibilities for oil and gas means to the Yukon and its economy.
For too long Yukon has had to watch its oil and gas resources go untapped because of uncertainty over land and resource ownership. That is changing. Our ongoing negotiations with Yukon First Nations and efforts to finalize the remaining land claims in the near future will soon set the stage for a renewal of oil and gas activities.
The move to transfer onshore oil and gas resources to Yukon will strengthen northern independence and provide stable, predictable revenue to the territorial government and Yukon First Nations who have signed land claims agreements.
Once Canada transfers responsibility, it will no longer be directly involved in managing oil and gas resources in Yukon. Canada will, however, maintain jurisdiction over offshore areas.
With the transfer the federal government will pay Yukon the moneys it has collected in onshore petroleum revenues.
Once the transfer is complete, Yukon will collect the annual revenues from the Kotaneelee project which are valued at approximately $1.5 million per year. These revenues will be shared with the six Yukon First Nations that have land claims agreements in effect.
The Yukon will enact new territorial legislation that will allow it to address exploration, development, conservation and environmental and safety issues. This new territorial legislation will provide for a management and regulatory regime that is generally modelled after existing regimes in Canada.
Bill C-8 would allow the governor in council to transfer the legislative powers to Yukon once the territorial legislation is in place.
The bill before us today and the transfer process have the wholehearted support of the Yukon government. Setting the pace of the transfer, the territorial government said the time had now come for it to take control of its own oil and gas resources.
The Yukon First Nations also support the bill. Once passed, it will provide them stable and predictable revenues, as well as signed land claims agreements, which will help them move toward self-sufficiency and financial independence.
I would like to congratulate representatives of the Yukon First Nations and the Yukon government who have been working together to develop a system to jointly manage oil and gas resources in the Yukon.
This is a historical alliance which bodes well for the development of the Yukon and further transfers of powers to the territory. This close co-operation has become even closer as a result of consultations held by the federal government and the Yukon over the past few years, which led to the transfer of responsibilities for oil and gas resources as proposed in the bill before us.
The bill has also the support of the industry. Bill C-8 will help create a stable and predictable environment, which in turn will attract new ventures and open up new opportunities to the area.
Passage of the bill will send a clear signal to Yukoners that Canada is committed to fostering economic development in their territory.
In conclusion, I would like to mention that all those involved in the work of the Standing Committee on Aboriginal Affairs and Northern Development support this bill and approved its decision to send it back to the House without amendments.
In view of the widespread support for this major initiative, I urge my distinguished colleagues to join me in supporting this bill.