Liquefied natural gas tank project approved for Inuvik under GHG Grant Program

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Yellowknife — December 13, 2021

The Government of the Northwest Territories (GNWT) has approved a project under the Greenhouse Gas (GHG) Grant Program for Governments that will see a liquefied natural gas tank installed for the Inuvik power plant.

The Northwest Territories Power Corporation (NTPC) was approved for a grant of $878,000 under the program. NTPC will install a third liquefied natural gas (LNG) tank at the Inuvik power plant, which will allow the community to rely less on diesel and generate most of its electricity from readily available LNG. Inuvik currently generates electricity with LNG and diesel.

One of the objectives of the 2030 Energy Strategy is to reduce GHG emissions from electricity generation in diesel communities by 25 per cent. Completion of this project will reduce diesel use to generate electricity in Inuvik by an estimated one million litres annually and reduce GHG emissions by 606 tonnes per year. Installation of the LNG tank is expected to be completed in 2023.

The GHG Grant Program for Governments is an application-based grant program designed to support greenhouse gas emissions reduction projects and initiatives for Indigenous governments and organizations, NWT community governments, municipalities and GNWT departments and agencies.  The program makes $1.8 million available each year for these projects. Grants support up to 75 per cent of eligible project costs.


“The GNWT is committed to an energy system that contributes to the territory’s economic, social and environmental well-being, while doing our part in the transition to a lower-carbon economy. This program is assisting the NWT in developing projects that result in GHG reductions but also make communities more sustainable and save program participants money. It’s a win-win for the territory and program participants.”

- Diane Archie, Minister of Infrastructure

“Adding additional LNG capacity will reduce GHG emissions as we use less diesel generation. Not only will this project assist with achieving the NWT 2030 energy and climate change goals, but it also increases system resiliency and helps to maintain rates as we use a lower cost fuel source.”

- Cory Strang, President and CEO, NTPC

Quick facts

  • Installation of the third LNG tank will result in total annual operating cost savings of about $303,000 per year.
  • NTPC will pay the remaining $383,300 to complete the project.
  • The GHG Grant Program for Buildings and Industry is the other stream of this program. It is designed to support GHG emissions reduction projects and initiatives for NWT individuals, businesses, industry and non-profit organizations.

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INF Communications

Department of Infrastructure

Government of the Northwest Territories