Mr. Speaker, the Government of Canada is committed to the northern communities and that has been confirmed in our budget.
The budget contains significant funding for northern housing with new investments of up to $300 million to increase the supply of affordable housing in the north.
The budget demonstrates clear support for the Mackenzie Valley gas project with $500 million in assistance to communities that will be affected if the project moves forward.
The budget provides major new investments in National Defence that will contribute to enhancing northern sovereignty and security.
Finally, we were pleased to announce a one time adjustment of $1.9 million to the territorial formula financing grants.
These are significant investments. The $300 million in funding for affordable housing in the three territories will assist in relieving some of the most severe housing pressures in a region that is home to a significant number of aboriginal people. The $50 million each will go to Yukon, Northwest Territories and Nunavut, plus an additional $150 million for urgent needs in Nunavut. Housing in the north is a priority and this government is delivering.
The Mackenzie gas project has the potential to make an important contribution to economic sustainability and self-sufficiency for aboriginal and northern communities. This budget establishes a $500 million socio-economic fund over 10 years. This fund will be used to support initiatives from local communities and to mitigate any socio-economic effects arising from the Mackenzie gas project.
It is important to remember that the Mackenzie gas project is currently undergoing a rigorous and comprehensive environmental assessment and regulatory review. Funding will be linked to the project milestones and is conditional on the project moving forward. All northerners will also benefit from other measures announced in the budget in areas such as child care, infrastructure and tax relief.
To demonstrate his commitment, as one of the minister's first courses of action, he travelled to the north to meet with partners and discuss opportunities to work together. He went to listen and to learn more about the north's needs and aspirations. He met with the three territorial leaders, aboriginal leaders across the north, the Aboriginal Pipeline Group, environmental and industry groups and many others.
Our government recognizes the tremendous potential of the north and the important role it will play in Canada's future prosperity. Let me sum it up simply. Our government is committed to the north. We are improving housing, enhancing sovereignty and security, and providing important support to the communities impacted by the Mackenzie gas project.
This government is moving forward on devolution of land and resource management responsibilities, and negotiating resource revenue sharing arrangements. We will improve the regulatory regime, balancing environmental protection with economic prosperity. As we move forward, we are working with northern governments and aboriginal organizations to ensure that quality health care, education and economic opportunities are available to northerners. What I have outlined today clearly demonstrates our government's commitment to the north.
