6-13-16 Citizens Shouldn't Let Government Invest In And Manage Private Industry Projects

6-13-16 Citizens Shouldn’t Let Government Invest In And Manage Private Industry Projects

Dear Readers: Here is an article about LNG risk investment that every citizen who supports government ownership of energy projects should read. (Our friend, Dan Kish, Senior Vice President for Policy at the Institute for Energy Research reminds us that, “the Spot price for LNG in Singapore last week was $4.62.”)

Our commentary on the above, Bloomfield article:

We have made the case for a long time here that the State of Alaska has no business using precious public dollars now during a fiscal crisis — or any other time — to acquire equity in a private business.

It is especially foolish for temporary, appointed and elected public officials to pretend that they can properly manage private equity in the volatile world of politics and global energy economics.

Finally, citizens should not let public officials get away with appropriating public dollars for private industry equity risk.

Sure, the gamble could be lucky and produce more wealth for the state than had there been no ‘investment’. But the gamble could go south as well, and end up losing hundreds of millions of dollars for reasons we have analyzed for readers. If this happens, the citizenry will get what it deserves: zero return on –and of — a greedy effort to duplicate the risk-reward success of a nimble, private company.

-dh

From Ak-Headlamp This Morning

An Anchorage Daily Planet editorial called for Alaskans to submit their comments to the Bureau of Ocean Energy Management’s docket on OCS leases. The piece highlights the need to protect Alaska’s economy and energy security through telling BOEM that Arctic leases are an essential part of the 2017-2022 Program. According to the piece, if Arctic leases are dropped, “it might be – because of the long lead times necessary for drilling offshore reserves – 2038 before oil from Alaska’s outer continental shelf could flow into the trans-Alaska oil pipeline.”

Three days left! The comment period on the Bureau of Ocean Energy Management (BOEM) outer continental shelf proposal closes on Thursday! Tell the BOEM what you think here. More….

About the Author: wpnorthern

Dave Harbour, publisher of Northern Gas Pipelines, is a former Chairman of the Regulatory Commission of Alaska, a Commissioner Emeritus of NARUC, NARUC's Official Representative to IOGCC and Vice Chairman of NARUC's Gas Committee. He served as Gas Committee Chairman of the Western Conference of Public Service Commissioners. He also served as commissioner of the Anchorage Bicentennial Commission and the Anchorage Heritage Land Bank Commission. He earned a Bachelor of Arts Degree: English, at Colorado State University, a Master of Science Degree: Communications-Journalism at Murray State University and graduated from Utility Regulatory School for Commissioners at Michigan State University. He served as a Vice President for Communications and Public Affairs at Alaska Pacific University, taught bank marketing classes at the University of Alaska and was an English teacher at Los Alamos High School. Harbour served in ranks of Private - Captain during a 4-year assignment with the Army in Korea, Idaho, Georgia and Fort Meade and received the Meritorious Service Medal among other commendations. Harbour is also a past Chairman of the Alaska Council on Economic Education, the Alaska Oil & Gas Association Government Affairs Committee, the Anchorage Chamber of Commerce, the Export Council of Alaska and the Department of Commerce's District Export Council. He is a past President of the Alaska Press Club, American Bald Eagle Foundation, Consumer Energy Alliance-Alaska and Common Sense for Alaska. Harbour was instrumental in founding the American Bald Eagle Research Institute (UAS), the Alaska Support Industry Alliance, the Downtown Anchorage Business Partnership, and Arctic Power. He also served as CEO of several small Alaska organizations, including the Anchorage Parking Authority and Action Security, Inc. Harbour is also Chairman Emeritus of the Alaska Oil & Gas Congress. Harbour's wife, Nancy, is a professional, performing arts administrator and his three boys, Todd, Benjamin and William work in the fields of environmental management, energy marketing and medicine.