The lights still will not come on . . .

The 500mmcf per day line, the so called bullet line, Harry Noah's bullet line, the pipeline that "doesn't pencil"--make economic sense--is a dead end.

There is only one permitted, dedicated right of way to tidewater, the one mile corridor created with TAPS.

I have never seen 61 people try so hard to ignore the obvious in the face of overwhelming information available as to the market for LNG, the route, and the economics.

"We have to do something to get gas to south central and Fairbanks, why there is a crisis coming,” cry the pols.

Squandering $214M to do nothing on project that is not viable is doing something? It is admitted by Chennault and Hawker that the State will have to subsidize the natural transported in that line, because the volume is too low and would raise the cost to consumers. It would be cheaper to import gas . . . from Russia.

The Legislature and the Governor need to have an epiphany to cover their ignoring the obvious and declare "now I see, now I see" and commit to the only project that is economically viable, the all-Alaska natural gas pipeline to Valdez, with the 250mmcf per day spur to the Enstar hub at Palmer. The gas liquids would be pulled off at FBKS, giving the interior new industry and fuels for the Bush.

What State ‘leader’ would ignore the ongoing benefits of the gas liquids used in-state? More importantly, why. Value added resource development has been the Holy Grail of Alaska’s resource development forever. Cheap energy will make possible what is otherwise too expensive. The impact would be tremendously beneficial to our agriculture, mining and timber sectors.

Maybe, former Gov. Sarah Palin can apologize to Alaskans for sticking it to them with AGIA after campaigning on the all-Alaska natural gas pipeline to the governor’s office.

I wonder if dear Sarah has promised Gov. Sean Parnell a seat in her cabinet so long as he continues AGIA so that she can claim “expertise” of oil and gas development as part of her grandiose scheme to become Sarah the First, Queen and President? She must have done so, as no rational, prudent human being of sound mind would continue with AGIA in the face of shale gas and the burgeoning LNG market.

In order to get out of the AGIA dead end, the State would have to declare AGIA uneconomical and prepare for a potential court battle. Or, continue to roll the dice with the end of TAPS. Gas development would spur more oil development.

Leadership is what is needed, but leadership is not what we have.

Instead, we have Mike Chennault and Mike Hawker's questionable melding of AHFC, the ARR, Noah's former group, and a committee of legislators comprising the Alaska Gas Development Corporation promoting a pipeline that everyone says is too expensive and must be subsidized forever. They created an unholy abomination of State and quasi-State corporations, all of which had no gas development mandate until Chennault and Hawker pushed it through to unseeing, unknowing and apparently, uninterested Legislature.

Meanwhile, AS 41.41 is ignored which created the Alaska Natural Gas Development Authority and the all-Alaska natural gas pipeline.

What is so hard about all of this that these fine folks in our Legislature cannot understand? LNG is the market, we have 40 years of history with the Japanese on LNG deliveries, why are we not taking advantage of our opportunities?

Like the Japanese want to deal with the . . . Russians? Or, the ME?

We need leadership in Juneau, not someone who has violated their oath of office with the appointment of two legislators to cabinet posts in violation of the law. Gov. Sean Parnell should be impeached for what he did in the Therriault and Dahlstrom cases. However, no one in the

Legislature has the cojones to step up in defense of the constitutional affront by this governor.
And, we pay the price with $200M more going down a rat hole just to make a couple of politicians 'feel good'.

Our opportunities on the world market wane as time passes and our leaders look for “inspiration”, all the while ignoring the obvious.

Parnell's Plight

Governor Sean Parnell has dug himself a hole that is deep and wide. Parnell has enough trouble brewing that would cause any sitting governor to start looking at the Help Wanted ads in the local papers. There are four primary areas of concern.

Parnell’s first problem is AGIA.

AGIA was pronounced as DOA by Parnell himself with respect to any expected success of the Open Season. Parnell’s refusal to answer rival Bill Walker’s FOIA request for disclosure of the Open Season is proof that Parnell is playing a delaying game without any expectation of success.

Against AGIA is the reality of the shale gas developments in Canada and the U.S. The Outside gas reserves are estimated to be enough for a 150 year supply of natural gas. The fact of the lack of any permitting to show in the 3 years since the passage of AGIA belie his current assertions that AGIA is alive and well.

AGIA, like Conoco/BP’s Denali project, takes our gas and gas liquids to Canada, thereby benefitting Canada, not Alaska.

Is Parnell acting in the best interests of Alaska by pushing AGIA?

Parnell’s second problem is his contempt for the law with the growing controversy over his appointments of Nancy Dahlstrom and Gene Therriault as his Military Advisor and Oil and Gas Advisor, respectively.

This situation would not be so remarkable were it not for the fact that both Dahlstrom and Therriault were sitting legislators at the time of the creation of the positions to which they were appointed. As ‘advisors’ their appointments did not have to be approved by the Legislature. The problem for Parnell arises with the fact that both appointments were in violation of Article II of the Constitution of the State of Alaska:

“Section 2.5 - Disqualifications.
No legislator may hold any other office or position of profit under the United States or the State. During the term for which elected and for one year thereafter, no legislator may be nominated, elected, or appointed to any other office or position of profit which has been created, or the salary or emoluments of which have been increased, while he was a member. . . .”

There was little comment about former Sen. Gene Therriault’s appointment, except by yours truly and a few others. With the second appointment of Rep. Nancy Dahlstrom, the pundits and the press finally figured out that our governor was ignoring the law.

Is our Governor above the law?

Another indication of the contempt that his governor and his appointees have for the law is the conduct of Gov. Parnell’s MG Katkus in requiring a subordinate to appear in uniform to testify to the House Military and Veterans Affairs Committee in support of Katkus’ appointment as Commissioner DMVA and Adjutant General. This act was unprecedented, and constituted a blatant act of undue influence. This situation was akin to Gene Therriault filling in for the Governor at a campaign function in Fairbanks earlier this summer. Both situations constitute at the very least undue influence on the part of the Governor and by Katkus as Parnell’s appointee.

Parnell’s third problem is the contradiction to any claim that he is working to resolve the Cook Inlet gas supply crisis.

Parnell’s Oil and Gas Division refuses to timely renew expired Cook Inlet oil and gas leases to exploration and development companies. This failure by Parnell’s Oil and Gas Division is incredible in the face of the alleged purpose of the bullet line.

Is Governor Parnell playing politics with a critical gas supply issue to the detriment of Alaska’s largest population segment?

Parnell’s fourth problem that is indefensible and, perhaps, the least recognized by the media, is Gov. Parnell’s decision to virtually eliminate the Alaska State Defense Force as a viable emergency response asset under DMVA.

In 2006, many of the Army National Guard assets were called to federal active duty in Iraq, Afghanistan and Kosovo, leaving the ASDF to perform disaster response. ASDF was called to State Active Duty three times in 2006.

How is reducing the State’s ability to respond to a disaster a showing of leadership?

Are we voters going to let Governor Sean Parnell’s open contempt for the law and his failure in leadership stand?