The town of Norman Wells, N.W.T., is undergoing significant changes following the closure of Imperial Oil’s operations last Friday. Mayor Frank Pope described the event as a small yet impactful moment, prompting the community of approximately 700 residents to consider their next steps.
Imperial Oil has been a presence in Norman Wells for over a hundred years. The decision to cease operations this summer was driven by declining production levels at the site. As a result, the town has had to adapt its operations, including transitioning from gas-generated power provided by Imperial Oil to diesel power from the Northwest Territories Power Corporation.
Mayor Pope expressed concerns about the reliability of the new diesel system, especially with only one worker available locally to address any potential issues. In the event of a major outage, external crews would need to be flown in, highlighting the need for trained staff to be permanently stationed in the community.
The departure of Imperial Oil has forced a reevaluation of Norman Wells’ budget. The company’s taxation revenue made up 70% of the town’s budget, amounting to approximately $6 million in local taxes. Mayor Pope is set to negotiate with the company regarding tax rates during the remediation phase, which is estimated to span 20 years.
In addition to tax negotiations, Mayor Pope is also focusing on preserving local jobs. He hopes to secure opportunities for the community’s residents to participate in the remediation project. Energy analyst Doug Matthews, an advisor to the Sahtu Secretariat Incorporated, emphasized the importance of involving local workers in the restoration efforts, highlighting the benefits of utilizing skilled community members and providing them with training opportunities.
Matthews underscored the significance of communities taking charge of cleaning up their own lands post-oil production, viewing it as an opportunity for renewal and a shift towards a more sustainable future. Collaboration between local companies and Imperial Oil on interim restoration efforts has already commenced, signaling a positive step towards community involvement in the remediation process.