Public Advisory: Changes Made to Oil Tank
Repair and Replacement Plan for Labrador’s North Coast

The Government Assistance Plan for the repair or replacement of oil tanks in Nain, Hopedale, Postville, Makkovik and Rigolet remains on schedule, with a new contract awarded for tank installation, repair and certification.

The original tender contract was awarded in October to manage oil tank repairs, installations and certification in the Inuit communities on the North Coast of Labrador. However, that contract has since been cancelled because the contractor is unable to complete all of the work required under the tender.

In order to minimize any delays due to this transition, Nunatsiavut Supplies Ltd., the second bidder during the tender process, has been awarded a contract for this work. Tank installations, repairs and certifications will begin shortly in the Inuit communities where tanks and parts have already been delivered. All remaining tanks and parts will arrive in the other Inuit communities on the next run of the MV Astron and the next vessel run to Nain.

Participants in the Government Assistance Plan will still benefit from a significant reduction in the cost to meet environmental standards and make their oil tanks safe and secure. However, with the engagement of another contractor, the maximum cost to participants will be $1,800, as was estimated when the plan was first announced. Officials with Intergovernmental and Aboriginal Affairs will be contacting participants directly to provide details of individual expenses in light of the new contract.

Under the plan, the Provincial Government is helping homeowners in Inuit communities see a substantial reduction in the necessary expense to have their oil tanks meet environmental regulations and be registered. Government is reducing the per-unit cost of oil tanks through a bulk purchase, eliminating oil-tank shipping costs, and paying for the travel costs of the licensed inspectors who will do the installations, repairs and registrations. As well, Newfoundland and Labrador Housing Corporation is providing loans to eligible homeowners to finance replacement of home heating oil-tanks.

Budget 2011 Standing Strong: For Prosperity. For Our Future. For Newfoundland and Labrador, includes $1.5 million for an assistance plan for Inuit communities where homeowners face unique and difficult challenges associated with the registration of home heating oil tanks to meet compliance with Heating Oil Storage Tank Regulations.

For more information on the Government Assistance Plan please go to: www.gov.nl.ca/laa/programs_we_offer/gap.html or call toll-free 1-877-788-8822.

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Media contact:
Carol Ann Carter
Director of Communications
Intergovernmental and Aboriginal Affairs
709-729-1674, 631-9505
carolanncarter@gov.nl.ca 

2011 11 25             2:45 p.m.