Natural Gas Policy Council Plans Gasline.

• Author: KANE, ROGER
• Position: Brief Article

When Gov. Tony Knowles created the Alaska Highway Natural Gas Policy Council, he tasked its members with establishing a natural gas industry in Alaska and promoting the Alaska Highway route for a gasline to the Lower 48.

Knowles said he chose council members whose experience and leadership have kept Alaska's economy healthy.

Co-chairing the council are Frank Brown, a retired Arco Alaska Inc. senior vice president, and Jim Sampson, executive director of the AFLCIO in Alaska and former mayor of Fairbanks North Star Borough.

Since it was created in January, the 28-member council has divided itself into five subcommittees, with each subcommittee analyzing an issue related to the construction of a gasline. The subcommittees will deliver written reports on their research to the council on Oct. 1. That information will be used to prepare a final report for presentation to the governor on Nov. 30.

"The governor favors the highway route. I favor the highway route," said Charlie Cole, a former Alaska attorney general and a member of the policy council. "I am from Fairbanks and I think it is vital that Fairbanks receives natural gas. I am highly supportive of the highway route, if for no other reason than it would supply Fairbanks with gas."

Affordable, plentiful supplies of natural gas would have many commercial and industrial applications, would reduce home-heating costs and would reduce air pollution in Fairbanks, Cole said.

Former state Sen. Al Adams said his role on the council has been that of observer. He said he is listening, is gathering information and is reserving judgment on a project until all pieces of the puzzle come together.

He said many people are calling for gasline spurs to Valdez and Southcentral. Others want assurances that Alaska businesses will be contracted and Alaskans will be employed on the gasline. Adams said he is hopeful that new national leadership will ease the permitting and construction process of a gasline.

Adams also advocates at least partial state ownership of a gasline. He said a 12.5 percent royalty payment from the gas producers would give the state a chance to participate in the market, but he said an equity share in a gasline would give Alaska more control over what is done with the state's natural gas.

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