The Alaska state Senate voted 15-5 to pass legislation that would enable the large diameter, natural gas pipeline to move forward. The vote was 15-5. Four Democrats and one Republican voted against the bill. Democrats proposed 16 amendments–ranging from greater ownership in the line to a change in tax structure–all of which failed.
At anywhere from $45 to $65 billion, if built, it will be one of the biggest, most expensive projects in the world.
The proposal partners the state with BP, ExxonMobil and ConocoPhillips as well as Canadian pipeline company TransCanada Corp. It’s the latter partnership which appears to be the major concern for most who voted against it, including Republican Sen. Bert Stedman, who wrote the following letter detailing his concerns. The legislation now moves to the House. It’s not normally so, but in this case that chamber appears to be the more deliberative body.
Why Transcanada? We have already paid Transcanada 330 million dollars and owe them another 130 million for work on the AGIA project. There is also the issue of ‘treble damages’ to Transcanada for breach of contract if we end the AGIA project now. I haven’t heard how much that treble damage expense would be but apparently it is enough to scare these legislators into perhaps a forced marriage with Transcanada. For some reason, despite our excellent bond rating, we are seeking financing from Transcanada. Governor Murkowski recently questioned this approach to financing. . .
How much of that additional 130 million Transcanada data is applicable after the route change to Nikiski is questionable yet will be required to purchase the information unless we ‘partner’ with Transcanada. I hope the House addresses this Transcanada issue more than did the Senate.
Can someone explain to me why we have given TransCanada such a good deal ?
I am extremely proud of my senator for voting no one pipeline bill. I watch gavel-to-gavel all the time and have been very disapointed with the lack of indepth questioning and deliberations over this bill when it should get so much attention since it is such a huge number required for investment and it passed like well let’s hope for the best because it probably won’t ever be built. I don’t understand what Parnell is doing here as of lately he has been behaving oddly and why are we giving the canadians such power and opportunity because we should be giving it to american firms and putting alaskans to work because that is where our future is and it is why I am proud of senator stedman and the 4 democrats who stood up to the axis of wrongness because they know iit is not all iit is cracked up to be.