Governor Bill Walker today applauded the House and Senate for passing his Gas Pipeline Right-of-Way bill with unanimous support. Once signed into law, SB70 will authorize the issuance of a right-of-way lease for a natural gas pipeline through a corridor in the Denali State Park, Willow Creek, Nancy Lake, and Captain Cook State Recreation Areas.
“I want to thank the legislature today for passing this important piece of legislation,” said Governor Walker. “This right-of-way is a necessary component to building a future natural gas pipeline in Alaska. By setting the wheels in motion now, we will be better prepared down the road.”
SB70 allows of the leasing of a corridor that will be adequate for either the AKLNG or ASAP project. The right-of-way within the authorized area will be approximately 120 feet wide for construction and 53 feet wide for operation under the ASAP project, and approximately 180 feet wide for construction and 100 feet wide for operation under the AKLNG project. Additionally, the bill requires the corridor to be managed as parkland and recreation areas until a lease is issued, and returned to original park and recreation land upon termination of the lease.
Right-of-way leases under SB 70 must be issued by January 1, 2025 and, construction of the pipeline must begin within 10 years of the effective lease date.
-Grace Jang, Office of the Governor
KTUU News. Disagreements over the state's operating budget continue to keep lawmakers in Juneau past the 90-day session. Members of the Senate Finance Committee spoke out Tuesday for the first time since the session was extended Sunday night. "The cavalry of funding not coming over the hill to rescue us -- we don't have the money," said Senate Finance Co-Chairman Pete Kelly (Video File Photo). More with video....
World Pipelines. Exova, the global testing, calibration and advisory services provider, has been contracted by the Alaska Gasline Development Corporation (AGDC) to provide a material and weld qualification programme for AGDC’s Alaska Stand Alone Pipeline (ASAP) project.
AGDC is currently engaged in Front-End Engineering and Design (FEED) for the US$10 billion North Slope natural gas project and in its first contract with the company, Exova’s Houston laboratory is qualifying selected pipe mills and welding contractors specified by AGDC to work on the 727 mile, 36 in. main pipeline. More....
Fox Business News. Gov. Bill Walker vetoed legislation Friday that sought to temporarily restrict participation of a state-sponsored corporation in an alternate gas pipeline project that he proposed.
KTUU Opinion by Senator John Coghill (NGP Photo).
Respectfully, Gov. Bill Walker, with the best of intentions, has proposed “up-sizing” the Alaska Stand Alone Pipeline project, ASAP, as leverage for prospective negotiations with producers in the Alaska liquefied natural gas project, AKLNG.
On its face that “sounds good.” Unfortunately, up-sizing ASAP may result in significant negative consequences.
As we listened to testimony this session, a few themes developed: 1. the State, if Governor Walker continues on his path, may itself become a “risk factor” for alignment with AKLNG, and 2. if the State pursues two projects at once, it may likely undermine both projects. More....
Sen. Murkowski: Iran Oil Could Hurt U.S. Production if Prohibition on Exporting Domestic Crude Oil isn’t Lifted
Restrictions on U.S. Oil Trade Amount to “Domestic Sanctions”
Washington, D.C. – U.S. Sen. Lisa Murkowski, R-Alaska, today drew attention to the potential impact that ending sanctions against Iran could have on U.S. production if the outdated prohibition on exporting domestic crude oil is not also lifted.
“If sanctions on Iran are lifted, Tehran will be able to make money by selling their oil to our friends and may use that money to destabilize our allies,” Murkowski said. “If we lift the current sanctions on Iran while keeping in place our own domestic sanctions on crude oil exports, America’s ability to increase its domestic energy security and that of our allies will suffer.”
Adam Sieminski, administrator of the Energy Information Administration (EIA), testified before the Senate Energy and Natural Resources Committee on Thursday that sanction relief could result in as much as 1 million barrels a day of Iranian oil flooding the global market. Meanwhile, most U.S. oil production is blocked from competing on the world market by regulations leftover from the 1970s.
Murkowski, chairman of the energy committee, stressed the strategic benefits to the United States of rising domestic oil production, including providing flexibility in dealing with trouble spots such as Iran. “It doesn’t make sense that American producers are blocked by U.S. law from selling to the same markets that Iran could reach once the sanctions are lifted,” Murkowski said.
“It is important for us to recognize that if these sanctions on Iran are lifted and we in fact keep our own domestic sanctions in place it effectively ends up being a liability for us,” Murkowski said. “U.S. producers should be allowed to compete directly with Iran in the global market.”
EIA Administrator Sieminski said rising U.S. oil production – currently at 9.2 million barrels a day, its highest level since 1972 – has helped stabilize world markets and keep prices in check.
“The impact of U.S. production goes beyond just the Iranian sanctions issue,” Sieminski said. “Back in 2012 and 2013, there were some really serious interruptions in oil production in countries like Libya, Sudan, Yemen, Syria, and others. They add up to a huge amount of oil – over 2 million barrels a day, at one point approaching 3 million barrels a day. If it hadn’t been for the growth in shale production in the U.S. and production in a few other countries, including Canada, the price of oil would have been a lot higher. Obviously that would have been a benefit to producers but the overall impact on the economy could have been pretty devastating. The growth in production in the U.S. played an important role in stabilizing the global oil markets.”
Murkowski has long called for modernizing U.S. energy and trade policy to end the ban on crude oil exports. In March, she held a hearing looking at the economic and strategic benefits of ending the outdated export prohibition. Murkowski released a report last year on the need to liberalize America’s energy trade policies.
The end of week Consumer Energy Alliance energy links:
The Wall Street Journal: Obama Administration Proposes New Offshore Drilling Rules
FOR IMMEDIATE RELEASE
Governor Walker Secures Promise from Legislative Leadership on Confirmation Votes
April 17, 2015 JUNEAU—Governor Bill Walker today revoked his proclamation to convene the House and Senate into a joint session today at 10 a.m. to vote on his appointments.
“I just wrapped up a meeting with House Speaker Mike Chenault and Senate President Kevin Meyer,” Governor Walker said. “They gave me their word that each of the 89 appointments would be given an up or down vote on Sunday. I trust them.”
Governor Walker said revoking the proclamation is an important step toward a positive relationship with legislative leadership.
FOR IMMEDIATE RELEASE
Governor Walker Vetoes Bill That Ties Alaska’s Hands During Pipeline Negotiations
April 17, 2015 JUNEAU – Governor Bill Walker today vetoed HB 132, making good on a March 2 promise when the bill was introduced.
“This veto in no way means the end of discussions with legislative leadership,” Governor Walker said. “We continue to have multiple meetings to ensure AKLNG is successful and remains the priority while maintaining access to a backup option.”
HB 132 limits the Alaska Gasline Development Corporation (AGDC) from actively working on any gas line project other than the Alaska Liquefied Natural Gas (AKLNG) line. The State of Alaska is a partner in AKLNG along with TransCanada, ExxonMobil, ConocoPhillips and BP.
“We cannot have legislation that ties Alaska’s hands while we are trying to negotiate the best possible gas line deal for Alaskans,” Governor Walker said. “This bill prevents the state from having an adequate backup plan should the AKLNG efforts not proceed.”
Governor Walker also continues to meet with AKLNG partners to advance this project. Governor Walker has said multiple times AKLNG remains his administration’s priority and having a backup option with the ASAP line will not interfere with the AKLNG project.
(Attached: Veto letters to House Speaker & Senate President; Governor’s veto signature)
Fairbanks News Miner. The public will have 30 more days to comment on federal regulations for exploratory drilling in the Arctic. Please visit the RDC website to learn more...then, please comment. -dh
APRN by Alexandra Gutierrez.
Gov. Bill Walker (NGP Photo) has issued a proclamation that would force legislators to act on his appointments.
The executive proclamation comes days after legislative leadership cancelled their confirmation session — and days after the governor sent a six-page letter reiterating that he would veto a contentious gasline bill....
The last time a governor forced lawmakers into joint session over confirmations was in 1983, when then-Gov. Bill Sheffield (NGP Photo) sent state troopers after legislators to force them to appear on the floor.
News-Miner opinion: Sometimes cooler heads prevail. Thursday afternoon, the Alaska House passed House Bill 105, which would allow the Interior Energy Project to refocus on a Cook Inlet supply of natural gas. The bill’s passage marked the end of half its arduous journey through the Legislature; the other half is underway. HB 105’s transit through the House was marked by near-death experiences, from its numerous committee referrals to a series of amendments last week in the House Resources Committee that would have required approval by the Legislature for milestone investments in the project. There’s a light at the end of the tunnel, and Interior legislators deserve credit for returning HB 105 to a more workable form. More....
Calgary Herald by Dan Healing. Regulatory OK of a natural gas pipeline expansion in B.C. improves the likelihood that the Pacific NorthWest LNG project will be built, but a final investment decision still awaits other government approvals, the proponent said Thursday. ... The $1.7-billion project will consist of two 42-inch pipeline sections totaling about 301 kilometres. It would allow transport of gas from northeastern B.C. and Alberta through an interconnection with TransCanada’s proposed Prince Rupert Gas Transmission Project to provide gas to the Petronas-led liquefied natural gas export facility on Lelu Island, near Prince Rupert.