JUNEAU, AK — Today, the House of Representatives achieved a historic milestone by advancing House Bill 381, the gasline bill, following weeks of intensive negotiation and technical refinement led by House Republicans.
The bill establishes a tax and regulatory framework for the Alaska LNG project and passed in a 34-5 vote, signaling a strong, unified commitment to Alaska’s energy future.
Throughout the process, Republican members worked tirelessly to balance the need for project viability with the protection of state revenue and municipal interests.
“For communities across Alaska, the Alaska LNG project represents a critical step toward long-term energy security and lower heating bills for our families,” said Rep. DeLena Johnson, R-Palmer. “Developing our own natural resources is the most responsible way to power our state, fuel local economies, and create high-paying jobs. We have the resources right under our feet. We just need the infrastructure to deliver them.”
A centerpiece of the Republican effort was the development of a predictable, durable tax structure that avoids the decades of litigation seen with previous energy projects.
Rep. Will Stapp, R-Fairbanks, moved a critical amendment to establish a volumetric tax system (13 cents on the gas treatment plant, 6 cents on the pipeline, and 13 cents on the LNG facility), providing the project with the predictability needed for international investment.
“If we’re going to be able to deliver this project in an equitable way, it’s going to have to be in the framework that the developers can actually build on,” Rep. Stapp said. “If we don’t get this right, this project will face delays and be more expensive, which means Alaskans will face higher energy costs.”
House Republicans have focused on ensuring the project benefits all Alaskans and successfully fought against amendments that would have introduced unnecessary uncertainty and jeopardized project financing.
“A high tax on no pipeline gets you no money,” Rep. Dan Saddler, R-Eagle River, said. “A lower tax on our real pipeline gets you money as well as all the benefits of the project.”
“Don’t think of all the reasons it can’t be done,” said Rep. Mike Prax, R-North Pole. “We don’t know that it couldn’t be done. We address the problems that hopefully make this project more successful.”
“If we want a strong future for Alaska, we cannot afford to stand still,” Minority Whip Rep. Justin Ruffridge, R-Soldotna, said. “If we fail to act, not only will energy costs continue to rise, but the cost of goods, services, and everyday necessities will rise alongside them.”
The bill now moves to the Senate for further consideration.
House Republicans remain dedicated to ensuring the Alaska LNG project provides affordable energy and economic prosperity for generations of Alaskans to come.
Media Contact: Amanda Bohman, (907) 378-6809