Begich Welcomes In-State Gasline Proposal

Plan Reflects Tri-Borough Suggestion for Spur Line to Southcentral

With Cook Inlet natural gas reserves dwindling, Mayor Mark Begich today welcomed a proposal announced today by Gov. Sarah Palin and energy companies to build an in-state natural gas pipeline.

The mayor said the proposal could increase exploration and development of Cook Inlet gas, which Begich has long advocated. If enough reserves are discovered to ship north, Southcentral gas could help hard-hit Interior residents.

"The Southcentral mayors of Anchorage and the Mat-Su and Kenai Peninsula borough, Alaska working together through the Tri-Borough Commission, have long advocated for an in-state natural gas pipeline to service our communities and the rest of Alaskans," Begich said. "I'm pleased the governor and others are listening to the pleas of Alaskans suffering from high energy prices. I'll do everything I can to work with her and gasline builders to continue to make Anchorage's business climate welcoming."

Begich also said any gas pipeline should have conditions to use Alaska workers and Alaska businesses, and provide a share of gas revenues to communities. He also has proposed incentives for Cook Inlet development, such as capital investment credits to encourage upgrades to existing platforms in the Inlet, credits for deeper drilling, and credits to offset the costs of exploration, especially offshore.

On June 2, Begich, Mat-Su Borough Mayor Curt Menard and Kenai Peninsula Borough Mayor John Williams wrote to Palin and legislative leaders urging a spur line to Southcentral be a part of any Alaska gasline project, and that a portion of gasline revenues go to Alaska's communities.

Begich also said other Alaskans not living in the Railbelt, especially those in hard-hit rural Alaska , deserve a portion of the state's natural gas or revenues from it.

From a Mark Begich press release

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