The Government of the Northwest Territories (GNWT) is beginning the process of transitioning Marine Transportation Services (MTS) to a Crown Corporation, with a target date of April 1, 2027.

Following a public procurement process, the Government of the Northwest Territories (GNWT) commissioned an advisory firm to conduct a review of the operating and governance options for MTS. Based on a thorough analysis of the findings, the GNWT believes that operating MTS through a corporate structure is necessary for its long-term success as an essential service for NWT residents and businesses.

This is also consistent with how similar services are delivered across Canada. For example, Marine Atlantic, BC Ferries, and Owen Sound Transportation Company are all Crown Corporations providing quasi-essential, quasi-commercial services. More information on why the Crown Corporation model was chosen can be found attached.

The initial stage of transitioning MTS to a Crown Corporation involves extensive administrative processes, including steps such as drafting legislation, facilitating the legal transfer of assets such as vessels, and developing Board of Director qualifications. As part of the transition, a project team and working groups will be struck to provide input on policy development, legislative drafting and operational planning.

Operated by the GNWT since 2017, MTS’s core mandate remains to serve the communities of the Northwest Territories, and the intent is for the transition to improve service quality. Residents are unlikely to see any negative impacts on operations nor customer experience throughout the transition period.

Quote

“MTS has great potential to contribute to the GNWT mandate of a strong and stable NWT economy but must be operated in such a way that it has the flexibility to seize opportunities as they arise – which is exactly what transitioning to a Crown Corporation would allow. Ultimately, by transitioning to a Crown governance model, MTS could take steps to increase revenues, while striving to reduce expenditures and ensuring every public dollar spent serves the needs of residents and communities.”

         - Vince McKay, Minister of Infrastructure

Quick facts

• Legislation to create the MTS Crown Corporation is envisioned to come into force on April 1, 2027, with the goal of the Bill receiving assent in the Fall 2026 sitting of the Legislative Assembly.
• A competency matrix that weighs skills, experience and personal attributes will be used to select the Board of Directors, which will contain a mix of independent members and government representatives.
• This governance structure would enhance MTS’s capacity to work with federal counterparts, such as Canadian Coast Guard and Transport Canada, as well as maximize opportunities for collaboration with the private sector.
• Public engagement opportunities will be announced as the project progresses.

Related links

• Marine Transportation Services

For media requests, please contact:

INF Communications
Department of Infrastructure
Government of the Northwest Territories
INF_Communications@gov.nt.ca