JUNEAU — The executive director of the Alaska Oil and Gas Association says a bill intended to get more oil in the trans-Alaska pipeline would instead have a chilling effect on leasing and “kill development.”
Kara Moriarty testified before the Senate Resources Committee on SB209, which would require oil and gas companies interested in an exclusive lease of state lands to submit an exploration or development plan. The Department of Natural Resources would review the plans and determine if they would develop resources in the best interest of the state before qualifying the company to bid on a lease.
Work plans would be included in lease terms. The department would have to review leases annually to ensure plans are being followed.
Moriarty called this an “intrusive exercise” that will drive out explorers.
Comments (8)
Add commentGod forbid
that members of the petroleum-industrial complex actually be expected to prove in advance that they aren't planning to some sort of scam. No, we can't have that. We have to let them order the state government around.
no win
The Governor has put our State in a no-win situation. If they dont get what they want, they will purposely either slow or halt production unless there are measures that prohibit it because they have the money to hold out. He was totally irresponsible in proposing this $2 bil per year give-away to oil companies. Thanks alot, Governor Give-Away, in my opinion, you should be re-called. If this passes, our surplus will be drained and then the next action will be taxes for the rest of us while the oil companies walk away with continued record profits. He's taking his cue from the playbook of Gov Walker of Wisconsin. If anyone thinks its working out so great for that State, take another look at the job losses they received in exchange for their tax give-away to big business.
Don't forget
It's OUR oil. We call the shots. If they don't like it, they can move to some other Alaska. There are plenty standing in line to take their place.
OIL
We should take away their leases if they refuse to develope and explore any further. There are many companies that would gladly bid for these leases that may become inactive...or we could do as Bolivia did and have the state take them over...if we just had some competence at the state level we could do very well and create many more state jobs for years as well
There are plenty of smaller
There are plenty of smaller companies that will step up. You want the lease? You better use it or we will give it to someone who will!
I'm thinking
we might want to consider using a large chunk of the Permanent Fund to buy out the Petro-Industrials and put the oil exploration under democratic control...with local hire, and with proper environmental regs, AND with all the revenues being shared among the people of this state.
We don't need BP or the rest of the gangsters anymore. It's ours...we should control it and decide how its used.
It's time to stop the whole "cap in hand" treatment we give to the corporate outsiders who don't give a "rhymes with Spam" about this state.
Intrusive?
How is this intrusive?
God I wish our Governor would boss the oil companies like they are bossing him.
We have the oil. It's ours. We can make whatever rules we want to sell it.
And a few regulations to keep the oil companies honest isn't intrusive, it's protecting our environment. Chances are, they could cut-and-paste 90% of any drilling plan and apply it to another.
It appears that any action by the state that is even remotely costly to big oil, they will complain about it. They are being obstructive. We are not being intrusive.
Somewhere in a parallel universe, Alaska has a Governor who stands up to oil and says:
"You think our taxes are too high? Tough! Increase your production by 20% this year, or we give your leases to someone who can. End of discussion. No, we will not lower your taxes/royalties simply because you want us to. Hell, you won't even give us correct data to ensure you are paying us what is fair. So until you open your books a little more, then this is what you will pay for our oil. Take it or leave it. Oh, and while you're at it, some of your pipelines needs maintenance. And if there is a spill due to lack of your maintenance on your pipelines, there will be hell to pay. Now drill baby, drill."