Energy Updates: September 2026
Thanks so much for being here with us! As the season changes, we are excited about slowing down to enjoy the smell of high bush cranberries and the sight of the first snowflakes in the hills, but the energy world isn’t getting ready to hibernate yet. This newsletter has an update on some big decisions being made by your local electric utility, a look ahead at our next State legislative season, and info on some concerning policy choices at the Federal level.
GVEA Pursues New Gas Turbine
As Alaska faces an energy crunch, GVEA has proposed purchasing a LM600 gas turbine. At the most recent Board meeting on August 25th, the Board authorized the CEO to pursue this project. Check out Erin McKittrick’s detailed blog post here (we were especially impressed by Andrew McDonnell’s analysis, linked in the blog).
AK LNG Project Details Remain Murky
With the Legislature finally wrapped up for the year, massive tax breaks for the Alaska LNG project are off the table for now — a moment worth raising your favorite fall beverage to celebrate. As Senate President Gary Steven said to end the session, “We are being asked to commit Alaskans to a deal we cannot fully see.” Five months of legislative hearings, and three special sessions — at a cost of over $1 million in public funds — only offered glimpses of the project’s costs and impacts to Alaskans.
We can look ahead though; the Alaska Gasline Development Corporation (AGDC) and Glenfarne have already made it clear they intend to ask the next Legislature for more state funding and tax cuts. As they keep key project information secret from Alaskans, it’s worth remembering that AGDC’s president, Frank Richards, makes $500k a year and is the highest paid state employee.
TAPS Regulatory Renewal
As its 50th year of operation nears, the Trans Alaska Pipeline is due for a Federal regulatory renewal. This time, our Federal administration is going for an unusually expedited and less rigorous review. Unsurprisingly, this involved an extremely speedy public comment period of only 15 days! These kinds of rushed decisions only highlight our concern for the long-term impact TAPS could have on our communities and public lands. Last year, our friends Catherine Rocchi and Phil Wight raised the alarm on other overlooked concerns about the end of life of TAPS. Alaskans deserve diligence and transparency from our elected representatives, not shortcuts that will impact our communities and public lands for generations to come.
Alaska Oil and Gas Association Petition
Our Federal administration has moved to exempt parts of the North Slope from normal environmental reviews. This rule was proposed by the Alaskan Oil and Gas Association (AOGA) back in May and has been received with criticism as it sidesteps hard-won environmental laws and eliminates the public’s ability to weigh in on protecting our communities and our public lands. We invite you to make your voice heard by submitting a written comment. Check out some additional background info and talking points from the Alaska Wilderness League here!
Time to Rein in AIDEA and AGDC
It’s beyond time for the Legislature to rein in state-funded development corporations like AGDC and the Alaska Industrial Development Corporation (AIDEA). Both of these corporations routinely ignore public input and pursue projects that aren’t in Alaskans’ best interests.
We’re seeing this play out with huge costs and impacts to Alaskan communities. AGDC has withheld information from the Legislature about their no-bid deal giving Glenfarne a 75 percent share of the AK LNG project, and is asking Alaskans for billions in tax subsidies. AIDEA is spending tens of millions in public funds to pursue oil and gas in the Arctic National Wildlife Refuge and to build the controversial Ambler and West Susitna Industrial Access roads. Both of those roads promote outside business interests and go against strong community opposition.
Now AIDEA wants to spend $400,000 to keep Governor Dunleavy’s fossil fuel promo-event, the so-called Sustainable Energy Conference, alive. So as Hilcorp avoids paying hundreds of millions of dollars in state income taxes, and Glenfarne asks for billions in tax breaks, Alaskans will be on the hook to throw them a party.
Some FCAC folks enjoying some berry good gifts from the land!
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