[Congressional Record Volume 157, Number 19 (Tuesday, February 8, 2011)]
[Senate]
[Pages S630-S631]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Ms. MURKOWSKI (for herself and Mr. Begich):
  S. 302. A bill to authorize the Secretary of the Interior to issue 
right-of-way permits for a natural gas transmission pipeline in 
nonwilderness areas within the boundary of Denali National Park, and 
for other purposes; to the Committee on Energy and Natural Resources.
  Ms. MURKOWSKI. Mr. President, I rise today to reintroduce legislation 
that I first offered in 2009 to authorize a right-of-way for 
construction of an Alaska in-state natural gas pipeline. The bill is 
being co-sponsored by my colleague from Alaska, Sen. Mark Begich. The 
pipeline would run along the State's main highway from Fairbanks to 
Anchorage, including 7 miles of highway through Denali National Park 
and Preserve.
  While many in this body are familiar with plans for a large-volume 
natural gas pipeline to run from the Prudhoe Bay oil fields to the 
Lower 48 States, there is concern that the large-diameter pipeline will 
not be finished in time to provide needed gas to Southcentral Alaska--
gas that is vital for electric generation in Anchorage, the Mat-Su 
Borough, and Kenai Peninsula.
  Currently, electricity in Alaska's southern Railbelt, as it is 
called, is largely generated by burning natural gas produced from the 
gas fields in Cook Inlet, south of Anchorage. Cook Inlet production has 
been falling for years and businesses have been forced to close as a 
result.
  Serious concerns exist regarding the region's ability to produce 
sufficient gas for electric generation and home heating for Alaska's 
most populated area as early as the winter of 2014-15.
  Given the pace of planning for construction of the main line, it is 
unlikely that a larger Alaska natural gas pipeline will be able to 
deliver gas until 2020 or later--6 or more years too late to aid 
Southcentral Alaska's growing need for natural gas. Thus, to provide a 
reliable natural gas supply, Alaska is considering investing in a 
smaller pipeline to meet medium term demand.

[[Page S631]]

  There are two proposals for small-diameter, 24-inch, in-state 
pipelines. One would run along the Richardson and Glenn Highways to the 
east, tying into existing transmission systems near Palmer, Alaska.
  The other ``bullet'' line, is the pipeline of concern in this 
legislation. It would run from Alaska's North Slope region, past 
Fairbanks, along the Parks Highway to the Mat-Su Valley near Anchorage, 
bringing about 500 million cubic feet of gas a day to Southcentral 
Alaska. This project would be completed well in advance of when a 
larger-diameter pipeline might be in service to deliver 4 to 4.5 
billion cubic feet a day to Lower 48 markets.
  The shortest and most logical route for a pipeline through or around 
the roughly 10-mile bottleneck of the Nenana River Canyon and Denali 
National Park and Preserve follows the existing highway, 7 miles of 
which pass through the Park. This route causes the least environmental 
and visual impact due to its location in an existing corridor, and 
provides a route that is easily accessible for routine pipeline 
maintenance.
  This route would be the least expensive to construct and operate. 
Moreover, it would offer several environmental advantages. Building the 
pipeline along the existing, previously disturbed Parks Highway right-
of-way, would allow for electricity generation from natural gas in the 
park facilities at Denali. For the first time, reasonably priced 
compressed natural gas, CNG, would be available to power park vehicles. 
Currently, National Park Service permitted diesel tour buses travel 1 
million road miles annually. Converting the buses to CNG would 
significantly reduce air emissions in the park.
  Another benefit is that in order for the pipe to cross the Nenana 
River, a new bridge will need to be built. The bridge would provide a 
pedestrian access/bicycle path for visitors who otherwise must walk 
along the heavily traveled highway.
  For these reasons, 8 environmental groups have expressed support for 
pipeline construction along the existing highway right-of-way through 
Denali Park. These groups are the National Parks and Conservation 
Association, the Alaska Conservation Alliance, the Denali Citizens 
Council, The Wilderness Society, Cook Inlet Keeper, the Alaska Center 
for the Environment, the Wrangell Mountain Center, and the Alaska 
Wildlife Alliance.
  Last year, the State of Alaska finished a preliminary study of the 
project. It continues to consider whether to permit and facilitate a 
``bullet'' line project, compared to other options, in order to meet 
future Southcentral power needs. Alaska state regulators and financial 
markets will ultimately decide which pipeline projects will go forward. 
It is my desire, however, to introduce legislation that would clear 
legal impediments to planning for the Parks Highway route.
  Approval of the right-of-way would remove a key unknown and provide 
greater certainty in the cost estimates and the timing for a project. 
Eliminating the uncertainty of permitting and regulatory delays will 
enable the Parks Highway route to compete on a level playing field with 
other pipeline projects.
  In 2009, this bill was modified to meet concerns voiced by the 
environmental community, congressional staff, and the National Park 
Service. The version reintroduced today was approved unanimously by the 
Senate Energy and Natural Resources Committee and added to the American 
Clean Energy Leadership Act that passed from the Committee on June 17, 
2009. The provision, according to the Congressional Budget Office, had 
nominal fiscal impacts when scored as part of the larger bill--S. 1462.
  With the pressing need of Southcentral Alaskans in mind for natural 
gas, I implore this body to quickly approve this legislation in the 
112th Session.
                                 ______