FAIRBANKS, AK - Short term energy relief in the Interior is now largely on the shoulders of a natural gas trucking option, according to Governor Sean Parnell.
The governor was invited to speak with a meeting of the Alaska Industry Support Alliance where he also answered questions regarding oil, gas and energy issues as they stand today.
Parnell said even though oil tax reform was not agreed to this past legislative session, what did pass, a bill that would provide tax credits for entities that create liquefied natural gas storage facilities, is incentive enough to bring the North Slope gas to Interior markets by truck.
Parnell says the trucking option is short–term at best with an all–Alaska gasline to tidewater as the long–term solution.
In the meantime, meaningful oil tax reform must be realized as a way to incentivize new production from oil companies that would bring relief to all Alaskans.
Parnell said, "The number one solution that we agreed upon is natural gas trucking, so the legislature and I approved an appropriation that would go toward that trucking effort. So it is now up to Fairbanks Natural Gas, Golden Valley, Flint Hills to all get together, utilize the money that we put forward as a state and bring some relief to Fairbanks residents. So during this interim, we are spending time looking back across last session, learning from what happened and we are looking forward to a new session, a new legislative make up, new organizational structure, ... kind of a new way to make our case that Alaskans deserve more oil production and more economic opportunity."