Ottawa marijuana revenue deal 'huge for the N.W.T.,' says finance minister

The Northwest Territories finance minister is calling the marijuana deal with Ottawa "huge for the N.W.T."

On Monday, the federal government announced that provinces and territories will receive 75 per cent of tax revenue from legal cannabis sales, at least for the first two years.

• Ottawa reaches deal with provinces, territories on pot tax

It's a significant jump from the 50-50 split that was proposed last month.

"We [the provinces and territories] made the case to the federal finance minister that the provinces and territories were going to be feeling the brunt of the cannabis taxation when it comes in July 1st," said Robert C. McLeod.

How much individual community governments in the territory will get is still in the planning stages.

"We will meet [with them] and determine how they're going to be affected," McLeod said.

"If they are incurring an extra cost and they make their case then we'll have a look at that and see if there's funds that's going to be distributed to some of the municipalities."

First Nations should get a cut of the deal: chief

Dene National Chief Bill Erasmus believes First Nations should be getting a cut of the tax money as well.

"Cannabis is going to come from our lands," he said.

"It's now time for us to sit down [with the] federal government and work out a deal there. If the provinces have [75] per cent of that 100 per cent, we're certainly going to get a big change of that."

According to McLeod, First Nations were not mentioned in his conversations with the federal finance minister, only municipalities.

Cannabis will be sold competitively at $10 a gram across Canada. McLeod says the territorial governmentdoes not yet know how much revenue that will lead to.

"We don't know what the [legal] consumption is going to be in the first year," he said.

"Once that's determined or once years pass then we'll know what we get."

Marijuana is set to become legal this July.