Warning: Alaska treads troubled economic waters in the middle of a fiscal storm.  Politicians are making the financial crisis worse by creating state subsidies and ratepayer risks.  The story below again reminds us of the Administration’s payoff to Interior Alaska supporters via a subsidized Fairbanks gas utility (i.e. when South Central’s Enstar customers paid for their own).   Not to mention the otherwise uneconomic Fire Island wind generation project and an infeasible Alaska LNG\pipeline scheme.   Note how two local politicians in the story below are discussing a strategy for squeezing more money from Juneau for their government gas project.  -dh

Lojewski’s lead in Fairbanks assembly race tumbles to 5 votes; recount possible.  Fairbanks Daily News-Miner.  Lojewski’s lead in Fairbanks assembly race tumbles to 5 votes; recount … together soliciting the state for more money for the Interior Energy Project.  (Has crony capitalism become pervasive in the 49th “pioneering state”, and could it be our downfall? -dh)


 

US Federal

New bill aims to reverse Obama restrictions on offshore drilling
A U.S. House panel took up a bill Wednesday that would, among other things…


Democrats in Congress join fight against Pebble Mine
Opponents of the proposed Pebble Mine in Southwest Alaska are getting a boost from Democrats in Congress.


The Latest: EPA to review comment request on Alaska proposal.  he U.S. Environmental Protection Agency says it will review a request to extend the public comment period on its proposal to lift the restrictions…


 

Alaska

Industry, environmental groups speak out as Hilcorp paves the way for drilling in federal Arctic waters.  Regulators are taking input on what could be the nation’s first oil production platform in federal Arctic waters.


As Trump administration removes federal roadblocks, Pebble Mine fight shifts to state
The proposed Pebble Mine is gaining momentum again, based on a settlement with the Trump Administration.


Small oil company moves forward with plans for fracking in Cook Inlet.  A small company chasing oil at a fracking operation in Cook Inlet indicated in August it likely could not drill additional wells…


 

Canada

Politicians criticize Trudeau’s reaction to critics of Energy East demiseCBC.ca.  (TSX:TRP) announced it was shelving its Energy East line, which would have taken crude from Alberta across Canada to ports and refineries in New …


Editorial: Plugged pipelines.  Calgary Herald.  Calgary Herald … signals from the Trudeau government — insisted that upstream and downstream greenhouse gas emissions form part of the review, …


Potpourri

Could 2018 bring higher oil prices?  Forbes


Daily Signal (10/10/17) reports: “The Obama administration’s Clean Power Plan aimed to reduce carbon emissions by one-third by 2030. However, it ran into multiple lawsuits from more than 150 entities, including 27 states, 24 trade associations, 37 rural electric cooperatives, and three labor unions, according to the EPA. On top of that, 34 senators and 171 House members filed an amicus briefing arguing the Clean Power Plan was illegal. On Feb. 9, 2016, the Supreme Court halted the implementation of the program.”


Daily Signal (10/10/17) reports: “The Obama administration’s Clean Power Plan aimed to reduce carbon emissions by one-third by 2030. However, it ran into multiple lawsuits from more than 150 entities, including 27 states, 24 trade associations, 37 rural electric cooperatives, and three labor unions, according to the EPA. On top of that, 34 senators and 171 House members filed an amicus briefing arguing the Clean Power Plan was illegal. On Feb. 9, 2016, the Supreme Court halted the implementation of the program.”


-Committee approves bill to overhaul presidential monuments power … -Judge will not shut down Dakota Access pipeline during new review … -Bloomberg pledges $64M for anti-coal initiatives …  Pro-Trump energy group blasts plan to help coal, nuclear … -EPA’s 4-year strategic plan does not mention ‘climate change’ … -Trump’s repeal of Obama’s climate rule: What to watch for


For our wind and solar friends demanding subsidies.  These realities now hurt Alaska ratepayers and conventional power sources and deserve consideration.  -dh

Wind Concerns Ontario (10/11/17) reports: “Sunday was a different story: at 3 AM wind power was working in the night, generating 1,145 MWh with another 2,797 MWh curtailed (wasted, held back, not added to the grid). Ontario’s ratepayers were paying $135/MWh for the grid-accepted wind and $120/MWh for the curtailed wind. The HOEP was a negative $3/MWh so the grid-delivered wind was costing ratepayers $415.95/MWh or 41.6 cents/kWh! In total, that one hour cost ratepayers $476,274 for unneeded generation. On top of that, because Ontario demand for power was low (most of us were fast asleep so the LED lights were out), Bruce nuclear was steaming off excess generation (we pay for that), OPG was probably spilling water (we also pay for that), and we were exporting 2,802 MWh to Michigan, New York and Quebec and picking up the $3/MWh cost.”