With the departure of Commissioner Tom Irwin and key members of the Department of Natural Resources, many Alaskans are left wondering who will ask the touch questions when the governor presents his gas pipeline contract. As chair of the committee that will conduct a legislative review of any gas line contract, I can assure the public that the Legislative Budget and Audit Committee is up to the task.
For more than a year, the administration has updated a group of legislators regarding ongoing gas line negotiations to help foster a basic understanding of the contract. While we appreciate this cooperation, we understand that under Alaska law, the governor negotiates a deal and the Legislature must independently evaluate its full impact. Because the committee does not possess in-house expertise to conduct its review, we hired consultants to assist.
We have retained a former director of the state Division of Oil and Gas, James Eason, and a former deputy director of the state Division of Oil and Gas, Bonnie Robson. Trained as a geologist and attorney, respectively, their combined experience negotiating with companies on the state's behalf brings an in-depth knowledge of Alaska's oil and gas law.
The committee also retained Don Shepler, an attorney with three decades of natural gas pipeline experience. Mr. Shepler helped the committee prepare presentations to the federal regulatory commission when it issued the open-season regulations for an Alaska natural gas pipeline. The regulations were a huge win for the state in terms of in-state access and creating a competitive environment to spur exploration on the North Slope.
This spring, we contracted with Econ One Research Inc. to provide economic analysis and modeling of proposed projects. Its economists have worked with both sides of the energy industry - as advisors and adversaries - and understand the company perspective in the natural gas business. Included on the Econ One Research team are two former industry executives with experience in price forecasting and scenario planning for investment decision-making, as well as specific knowledge of the marketing, supply, transportation, trading and storage of natural gas.
Alaskans can have confidence that the right questions will be asked of the governor's negotiators once a contract is presented to the public. The Legislature's team of experienced professionals will help us understand the long-term ramifications, but the decision on whether or not the approve the contract will lie in the hands of 60 elected legislators.
Sen. Gene Therriault, R-North Pole, is chairman of the Legislative Budget and Audit Committee
The Official Web Site of the House and Senate Legislative Majorities for the Alaska State Legislature
To Report Technical Problems or Contact Webmasters