Governor Sean Parnell announced Friday the state is taking a new approach to a large-scale natural gas line in Alaska.
“We have agreed to amicably terminate our involvement with TransCanada under AGIA, but sign up with TransCanada in a more traditional arrangement along with the producers and AGDC [Alaska Gasline Development Corporation],” he said at a presentation before the Alaska Support Industry Alliance in Anchorage.
Parnell did not release the terms of the agreement, but did announce “TransCanada agreed to a debt-equity structure that guarantees Alaska’s interests are protected.”
Parnell explained the Alaska Gasline Inducement Act, which was negotiated under Governor Sarah Palin in 2007, was designed with the idea of one developer moving natural gas. Now the project is more complicated and involves gas treatment and liquification.
The new agreement with TransCanada, Exxon, BP, and ConocoPhillips, which Parnell said will be signed very soon, gives the state ownership. “Ownership ensures we either pay ourselves for project services or at the very least understand, negotiate, and ensure the lowest possible costs.”
Parnell said the state would also receive a share of the profits over the entirety of the project.
- The state is granting nearly $300,000 to improve water quality in some of Alaska's most damaged watersheds, including Juneau's orange-tinted Duck Creek.
- More than a third of all the penalties imposed since 1976 were logged last year.
- "You know, we're not talking about some smoky, old wood stove here. We’re talking about high-tech equipment," said Daniel Parrent, a program manager at the U.S. Forest Service.
- "Did you think that ganging together seven different taxes would make it more likely or less likely that any would pass?” asked Eagle River Republican Rep. Dan Saddler.