Lights out for N.W.T. Power Corp.'s board of directors

The minister responsible for the Northwest Territories Power Corporation says he's replacing the corporation's board of directors with six deputy ministers, a move meant to save the government-owned corporation $1 million a year.

Louis Sebert announced the major shakeup during a news conference Wednesday morning, saying the move was made after the corporation was reclassified by the Auditor Generaldue to the high levels of government subsidiesit receives.

"The changing nature of the corporation was a major factor, as it had become closer to government," said Sebert. "We did see it as a cost savings issue. I don't think there was a particular problem with the individual directors. I don't think that was an issue at all."

The corporation was classified as a "government business enterprise" but is now classified as an "other government organization," meaning it is officially no longer operating at arm's length.

Deputy ministers won't get extra pay

The six-person board will be replaced with existing deputy ministers. They are:

• Paul Guy, deputy minister of Public Works and Services

• Mike Aumond, deputy minister of Finance
• Martin Goldney, deputy minister of Aboriginal Affairs and Intergovernmental Relations
• Sylvia Haener, deputy minister of Justice
• Russ Neudorf, deputy minister of Transportation
• David Stewart, deputy minister of Education, Culture and Employment

The deputy ministers will not be paid extra for taking on their new roles.

Sebert says the new board has been tasked withexamining further changes in governance at the corporation, including improving accountability and further cost savings.

The $1 million in savings represents costs that are ultimately passed down to electricity users, according to the release.

Those savings havealready been factored into the interim, 4.8-per-cent power rate hike the corporation applied for last month.