NORMAN WELLS, N.W.T. — The government of the Northwest Territories says it will step up with financial support to offset skyrocketing gasoline and heating fuel costs that have occurred in Norman Wells due to low water levels on the Mackenzie River.
In a news release, the territorial government says its support will cut the wholesale cost of gasoline by approximately $0.75 per litre, and the wholesale cost of motive diesel and diesel home heating fuel by approximately $0.86 per litre.
The low water forced the cancellation of the summer barge resupply season in the community, meaning fuel must be flown in until the winter road season starts early next year.
Gasoline and heating fuel prices approached $5 a litre in early October, and Norman Wells' town council declared a local emergency on humanitarian grounds as some of its 700 residents said they were facing monthly fuel bills coming to more than $5,000.
Last month, Imperial Oil temporarily cut the air transportation portion that's included in its wholesale price in Norman Wells for diesel fuel, or heating oil, from $3.38 per litre to $1.69 per litre, and said it would implement the air transportation increase over a longer period.
The government says the new offset is designed to bring wholesale fuel costs in Norman Wells closer to the prices that are expected when the winter road season begins.
“Our government recognizes the significant financial challenges that this crisis has created for the people of Norman Wells, and we are committed to continuing our efforts to provide meaningful relief," Infrastructure Minister Caroline Wawzonek said in a news release.
Wawzonek also noted other government assistance for the community and the Sahtu and Beaufort Delta regions so far, including $1.8 million in emergency funding and enhancements to the Senior Home Heating Subsidy.
The Town of Norman Wells has posted a petition on its website urging the N.W.T. legislature to declare a state of emergency that recognizes "the humanitarian crisis faced by the residents of Norman Wells." It also calls for additional relief.
"For several years, our beloved Mackenzie River has seen troubling declines in water levels, leaving communities like Norman Wells unable to resupply via barge. This situation has become dire," the petition reads.
"Many residents are now faced with the heartbreaking decision to leave their homes and communities in search of more affordable living conditions."
The government said it determined that applying an offset directly to wholesale transportation costs of fuel, rather than using an application-based subsidy program, was the most efficient and effective way to provide immediate support.
It also said it remains committed to advancing the Mackenzie Valley Highway, which it said will improve year-round access, strengthen supply chains and enhance the region’s resilience to climate-related disruptions.
This report by The Canadian Press was first published Nov. 17, 2024.
The Canadian Press
