Governor talks with TransCanada about pipeline
by Jason Moore - Monday, June 6, 2005
ktuu.com
Anchorage, Alaska - Gov. Murkowski met Monday with the head of the Canadian company that wants a piece of a natural gas pipeline from Alaska.
TransCanada is one of three groups with a proposal before the governor to build the pipeline. It's a company in position to play a pivotal role if the pipeline route goes through Canada.
TransCanada claims that any pipeline from the North Slope through Canada must come through them. The company claims to have the exclusive right to build the Canadian portion.
"We are prepared to commit that we will deliver the Canadian section of this project," said Hal Kvisle, CEO of TransCanada. "That has been our position for the last five years and we're prepared and ready to do that."
Kvisle's comments came in a Monday teleconference with the governor from Fairbanks.
While TransCanada claims a law passed by Canada in the 1970s gave it the sole right to build the pipeline in Canada, the three North Slope producers -- BP, ConocoPhillips and ExxonMobil -- disagree. Those companies have their own proposal, and they hope to persuade the Canadian government that no exclusive right to the project exists.
TransCanada does not appear willing to back down.
"We have responded to that, perhaps to the surprise on the part of the producers, by very aggressively defending our rights in Canada and we will not move off those," said Kvisle.
The third group negotiating with the state -- the Alaska Gasline Port Authority, which wants an all-Alaska pipeline -- suffered a setback last week when its major financial backer, Sempra Energy, pulled out of the project. That pipeline would stretch from Alaska's North Slope to the port of Valdez, where the gas would be liquefied and shipped to market aboard tankers.
Gov. Murkowski says negotiations on a contract with the state are ongoing, and he expects a resolution this fall.
"I feel quite confident we'll be to present late this fall the 30-day hearing requirement. And after that, why, we would anticipate calling a special session," the governor said.
While it appears a pipeline route through Canada is most likely at this point, even if a state contract can be worked out, bickering over who would control the Canadian portion may be far from over.
As for how Alaskans feel about the different proposals, a new poll conducted by the Dittman Research Corp. offers some insight. After describing the three proposals, pollsters asked 507 people which one the state should select.
An overwhelming majority -- 64 percent -- liked the port authority?s all-Alaska proposal. Fifteen percent support the producers, and 6 percent like TransCanada?s plan. Another 14 percent are unsure. |
