The governor expressed optimism about a bill on carbon storage and other energy provisions but was pondering next steps on royalty relief bills that failed to pass.
Gov. Mike Dunleavy participates in a panel discussion about arctic energy issues with Alberta Premier Danielle Smith on Monday, May 20, 2024 during the Alaska Sustainable Energy Conference at the Dena'ina Civic and Convention Center in Anchorage.
“Obviously, we wanted all of our bills to move and pass because we saw specific problems that we’re trying to solve,” he said. Examining the approved legislation will take a bit of time because several bills wound up being combined, he said. “And so, probably within the next week or so, it makes sense . . .to see what we’ll do with Cook Inlet in terms of incentivizing more gas production.”
One important provision that did pass, he said, concerned regulating Cook Inlet natural gas storage. That will increase storage capacity in the region, he said.The carbon-storage provisions were originally proposed in a standalone bill the governor introduced last year. If signed by Dunleavy, the bill passed by the Legislature will enable the state to set up a regulatory framework for leasing what is known as “pore space” underground where carbon gases may be stored.
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