11-28-08.  Today I sent the following letter to EPA following up on the 11-27-08 story below.

The Honorable Stephen Johnson
Administrator
U.S. Environmental Protection Agency
Ariel Rios Federal Building
1200 Pennsylvania Avenue, NW
Washington, DC 20460

Dear Mr. Johnson:

While your 'carbon emissions rulemaking' is undoubtedly well intentioned, as a former regulator I thought you might appreciate a viewpoint addressing 'unintended consequences'.

During my years as a public utility and oil & gas pipeline regulator, I served as Chairman of the Western Conference of Public Utility Commissioners Gas Committee and Vice Chairman of the Gas Committee-National Association of Regulatory Utility Commissioners (NARUC). I also served as NARUC's official representative to the Interstate Oil and Gas Compact Commission (IOGCC).

Within those groups one correctly expects a healthy diversity of opinion on subjects like climate change. However, I also found the majority of those hundreds of Commissioners understood the dire consequences of actions that would preclude America's transitioning to a more carbon free environment by more heavily relying on domestic oil and gas resources. While commissioners endeavor to act in the public interest as you do, and all desire an improved environment, they have demonstrated by numerous resolutions that the Unites States must also have the economic strength to support our economy and safeguard the Nation's defense.

The Clean Air Act (CAA) is an inappropriate vehicle for attaining reductions in domestic carbon emissions. In particular, the EPA's proposal could prompt the regulation of carbon emissions under portions of the CAA, which could cost consumers both jobs and money by jeopardizing the national economy and defense.

You should very carefully reflect on the unintended consequences of your effort. If the EPA cannot regulate carbon emissions in China and India (i.e. the most dangerous, human sources of carbon emissions), our efforts to further regulate America's already professionally managed environmental programs could teeter us toward economic disaster without promise of achieving the result you seek anyway.

I am concerned that your actions could adversely affect forward movement of an Alaska gas pipeline and other energy projects that could strengthen our country and benefit consumers from coast to coast.

I am concerned that the proposed rule would threaten our ability to safely transform into a more carbon free nation while maintaining our economic and other freedoms.

I urge you on the basis of national security considerations, therefore, to suspend this rulemaking at this time.

Sincerely,

Mr. Dave Harbour
NARUC Commissioner Emeritus
2440 E. Tudor Rd.
#463
Anchorage Ak 99507
Email: harbour@gci.net

11-27-08.  HAPPY THANKSGIVING!.  Last Chance to comment on Carbon Emissions Policy!  The U.S. Environmental Protection Agency (EPA) is currently accepting public comments through November 28th to determine whether or not carbon emissions constitute an “endangerment” to the environment and public health. The outcome could circumvent Congressional action, and prompt the regulation of carbon emissions under the Clean Air Act (CAA) costing Alaskans and consumers everywhere both jobs and money.  Let the EPA know that the CAA is not the proper regulatory tool with which to implement federal climate policy. Rather, climate policy should be determined by federal legislation through Congressional debate which considers such matters as impact on an Alaska gas pipeline and domestic production in general and how such rulemaking could result in imports of even greater volumes of oil and gas.  Visit the Call To Action page of the Consumer Energy Alliance for help in commenting by tomorrow!  (Full disclosure: Your author serves on the national board of advisors of CEA and hopes to work with other volunteers in Alaska to create a 'Farthest North Chapter', logo right!  -dh)

11-26-08.  ADN by Alan Bailey of PNA.  Aurora Power drops Southcentral Commercial Customers.    *     KTUU video and story by Ted Land re: Cook Inlet Gas Supply for Enstar (Note: the story refers to 'a meeting to work out the details', between Enstar and the Regulatory Commission of Alaska (RCA) scheduled for next Monday.   Rather, next Monday is a deadline wherein in its order U-08-58(8) the RCA imposed on Enstar a requirement to file an amendment affirming acceptance of certain commission imposed conditions for approval.  -dh)     *     Slave River Journal, by Shawn Bell.  PM's Throne Speech Mentions Mackenzie Valley Pipeline.  “It’s very rare that a specific project gets mentioned in the Speech from the Throne,” said Tim Coleman, director of the Mackenzie Valley Pipeline Office. “So that’s a good sign.”

11-25-08.  ADN editorial: Natural Gas Bargain.  ...Conoco and Marathon have a trump card.  Their LNG export facility is where we store the gas we need for those huge spikes of use on cold winter days.  It would cost local consumers upward of $200 million to build peak gas storage facilities if the LNG export plant wasn't there.  (The ADN performs an important service in educating Alaskans through this editorial.  Relatively large, local natural gas rate increases recently have produced public complaints about 'high prices'.  However, prices in Alaska are among the lowest in the country and if we want to encourage future exploration for natural gas that fuels electric generators, our homes and businesses and industry, we better be willing to pay prices that are competitive with gas prices elsewhere.  If we are not willing to pay producers competitive prices that encourage their investment into our exploration opportunities, we should logically expect them to put that investment into more attractive areas.  One last note on the ADN editorial: instead of ending the editorial on their high road, the editorialist fell to the low road of public intimidation with the last statement: "BOTTOM LINE: Cook inlet gas suppliers and exporters should remember enlightened self-interest, keep Alaska prices within reason."  Here, the ADN suggests that--in spite of the economic realities so well described in the editorial--Cook Inlet producers should artificially temper prices by observing, 'enlightened self-interest'.  In other words, the ADN seems to say, "If you don't keep natural gas prices at some low/subsidized level that we/the public find acceptable, you may later wish you had after you see how we might adversely impact your other 'interests'."  -dh)

11-24-08.  NNS by Cece Hodgson-McCauley.  The pipeline supporters should be happy, even the MP Jim Prentice (NGP Photo of Jim Prentice, center, being interviewed following Arctic Gas Symposium in Calgary, 3-07) is now environmental minister, he still has the portfolio of the Mackenzie pipeline, supporters of Prentice should convince him that the pipeline would be so much (cheaper) to build, if we build the road down the Mackenzie Valley. First he has a lot of clout with the P.M. So let's start lobbying Prentice!

1)  Let us give thanks a moment for our friends.  Val Molyneaux passed away this past week after giving a large part of his adult life working for an improved Alaska economy and an effective Alaska Support Industry Alliance. 

2) Now that the dust is settling after National and Alaska elections, your former candidate author can now get back to business.  Thank you for your patience.  -dh

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11-13-08.  This morning in Anchorage - The Alliance breakfast meeting featured Cathy Foerster, AOGCC Commissioner (w/author-l).  Commissioner Foerster reported on 1) Overall ANS gas activity (audio), and 2) ANS gas potential (audio), among other related subjects including AOGCC's mandate for independent action focused on technology and science amid significant legislative and political dialogue.  In this observer's mind, Commissioners like Foerster and her colleagues, Chairman Dan Seamount and former Chairman John Norman are precisely the sort of dedicated Alaskan professionals needed for properly overseeing Alaska's hydrocarbon development in such a way that the resource is maximized and protected on behalf of the citizens.  Also attending were ChemTrack executives Sig Jokiel and daughter, Carrie Lindow (NGP photo-r).  -dh (Also see 11-7-08 story below)   *     Associated Press by Nancy Benac.  Sarah Palin, the Alaska governor who was McCain's running mate, was Denali, just like the national park in her home state, and the natural gas pipeline project that she promotes. Her husband, Todd, the North Slope oil worker, was Driller.

11-12-08.  Washington Post, by Juliet Eilperin.  Federal scientists have concluded that Alaska's North Slope holds one of the nation's largest deposits of recoverable natural gas in the form of gas hydrates, a finding that could open a major new front in domestic energy exploration.

11-11-08.  NNSL by Guy Quenneville (Photo-r; Previous columns).  Premier Floyd Roland made some bold
 statements about the Mackenzie Gas Project in Halifax last week while attending a closed-door meeting of premiers on ways to help Canadians use less energy. Roland said based on current gas prices, the Mackenzie project could bring $86.3 billion to Canada's economy and generate $9.5 billion for the federal government. Based on the support he received at the meeting, Roland said he will seek an audience with Prime Minister Stephen Harper about the trouble pipeline project.  ... Kugluktuk's only taxi service, Triple A Taxi, may very well close soon, according to employee Tony Demerah. ... Transportation provider Hoarfrost River Huskies Ltd., located 50 miles northeast of Lutsel K'e, recently added a new plane to its roster. In July, the company received a made-in-Canada Bush Hawk, similar in size to a Cessna 206, from Whitehorse, according to co-owner Dave Olsen, who runs the business with his wife Kirsten. ... Inuvik catering company Arctic Oil and Gas Services (AOGS) should do almost as much business as last year once the oil and gas winter drilling season begins next month, according to catering manager Mike Connors. ... Snowmobile sales at the Katudgevik Co-op in Coral Harbour are strong so far this year, according to manager Stephane Daigle.  ...  Business is good at the Igloolik Inn. The 14-room hotel currently has only three vacancies, according to supervisor Ione Awa, going on her fourth year at the hotel.

11-10-08.  Alaska Chinook Blog.  ... This is the real test of time, her time to shine! So that is how people should gage Sarah. In four years time, we should compare where “special needs” has advanced. And that will tell us if she is a promise keeper or a promise breaker! It is that simple. We Alaskans and the media should concentrate on that one and only leftover dedication. Sarah, don’t let us down. Let the staff concentrate on the other things of interest, like a natural gas pipeline and off-shore development. As right now it is time to develop on-shore interests, like “special needs”.

11-9-08.  ADN.  Right now the Alaska Energy Authority is going through 112 applications requesting more than $450 million in grants for projects that run the gamut of alternative energies -- wind, geothermal, hydro, tidal, biomass. According to Alaska Energy Authority spokesman Karsten Rodvik, there's a wide geographic spread as well.

11-8-08.  FNM, by Rena Delbridge.  Fuel prices are on a downhill slide — finally — but that isn’t dulling the urgency of a volunteer task force committed to analyzing natural gas as a long-term alternative to the Interior’s top fuel source — oil. The In-state Gas Supply Task Force formed as an arm of Fairbanks Economic Development Corporation’s think-tank, the Interior Issues Council. Volunteers have responded heartily, said Jomo Stewart, project manager for the task force.     *     Alaska Kid Blog, Wayne Marr.  We need all of the economic development we can attract. The gas pipeline will take years to build but at least we can begin to see “footprints in the snow.” More as we move forward.     *     Progressive Alaska Blog.  Force the governor to press Trans-Canada on how their financing of their proposed pipeline is going. The governor stated countless times on the campaign trail this past two months, that "we're building a gas pipeline." Trans-Canada is no more "building a pipeline," than is "Denali." Palin's assertion isn't true, and it isn't even possible without Trans-Canada's financing being secure.

11-7-08.  Alaska Gas Pipeline Blog.

From Bloomberg News (LINK).  Exxon Mobil Chief Executive Officer Rex Tillerson said the company’s capital spending program hasn’t been scaled back by the drop in crude-oil prices. “Nothing that we had in our plans has been affected by this change in prices,” Tillerson told reporters today at an American Petroleum Institute meeting in Scottsdale, Arizona.

ConocoPhillips and Chevron will announce capital spending plans later this year.  This is good news for the Point Thompson project which will eventually produce gas for the Alaska Gas Pipeline. Point Thomson holds nearly one-fourth of the North Slope's 35 trillion cubic feet of known reserves (Link to Point Thompson Lawsuit story).  We look forward to some positive indication from ConocoPhillips and BP - builders of the Denali gas pipeline.     *     Alliance.  Next week's forum will feature the highly regarded Cathy Foerster, Alaska Oil and Gas Conservation Commission (Photo, 3-3-08, with AOGCC Commissioner John Norman).

11-6-08.  Perhaps help is on the way for the Alaska Gas Pipeline and other northern projects needing support, in the form of prayer!  See this interesting website, Prayer Beacon, by Lisa Butler.     *     Denali-The Alaska Gas Pipeline Advertising.     *     AJC by Tim Bradner.  The U.S. gas price volatility reminds many in Alaska of what happened to the last proposed gas pipeline project, called the Alaska Natural Gas Transportation System, which was moving at full steam in the early 1980s until the North American gas market dropped out from under it. Memories of that are still fresh at TransCanada because Foothills Pipe Lines, now a part of TransCanada, was part of the ANGTS consortium that spent about $1 billion in environmental, engineering and permitting work before the plug was pulled on the project.

11-2-08.  PNA via the Illinois Review by Kay Cashman.   Since Gov. Sarah Palin was selected as Sen. John McCain's running mate for the 2008 U.S. presidential election, she has taken some major media hits from critics who say she had not gotten a gas pipeline for Alaska.

See Erec Isaacson's October 23, 2008 presentation (here) to the Alaska Support Industry Alliance.  Issacson is Vice President, Commercial Assets, for ConocoPhillips Alaska, Inc. and briefed members on the critical forces and trends which contribute to America's Energy Security outlook.  This sort of presentation should be 'required reading' for all American school children for, absent positive action by this generation, our children will be inheriting the lack of energy security this presentation illustrates, along with the accompanying change in America's standard of living.  One is also mindful that a loss of energy security implies a diminishment in the country's national security and citizens' economic security.  -dh