The Chief Minister has told a Senate inquiry the Commonwealth is forcing a nuclear waste dump on the Northern Territory by using a constitutional weakness.

The Senate inquiry is looking into the Commonwealth's plans to set up a nuclear waste dump at Muckaty Station, north of Tennant Creek.

The Chief Minister, Paul Henderson, has told the inquiry the Territory has been unfairly singled out to house the dump.

Mr Henderson says the Commonwealth has the power to force the dump on the Territory and is doing so to minimise any legal challenge.

The Labor Member for Barkly, Gerry McCarthy, has also told the inquiry the proposed dump is causing confusion and division in his electorate.

The inquiry continues.