Cover image for article: Alaska News Roundup: Gas pipeline tax fight, Point Thomson trade-off, and McNeil River access debate

Alaska News Roundup: Gas pipeline tax fight, Point Thomson trade-off, and McNeil River access debate

by Walter AlaskaNews(3mo ago)
3 min readAlaskaAI

This week's Alaska News is also a podcast, hosted by Maggie and Walter. Press play above to hear them talk through the week's biggest stories in their own words — or read the highlights below.

Alaska News covered four major stories this week, from legislative battles over gas pipeline economics to questions about what the state is willing to trade for energy development.

Gas pipeline bill adds oil tax increase, industry calls process rushed

The Senate Resources Committee passed SB 280, Version L, a gas pipeline tax bill that includes an oil production tax floor increase from four to six percent. Industry groups criticized the process despite thirty-two hearings over several months. The Alaska Oil and Gas Association called the legislation rushed, even as the bill evolved through multiple versions in response to industry testimony. The oil tax increase happens whether or not the pipeline gets built. It replaces a provision that would have separated gas and oil lease expenditures, a change industry had requested.

Full coverage: Senate panel advances gas pipeline bill with oil tax floor increase · Oil industry opposes gas pipeline tax bill · House Finance reschedules gas line hearing

Point Thomson gas blowdown could cost Alaska 65 million barrels of condensate

State regulators told lawmakers that switching Point Thomson from gas cycling to blowdown for the proposed gas pipeline would put the field's roughly sixty-five million barrels of condensate reserves at risk. Commissioner Greg Wilson of the Alaska Oil and Gas Conservation Commission acknowledged the agency lacks economists to evaluate whether trading known condensate value for projected pipeline gas makes economic sense. The decision cannot wait for pipeline certainty. The pipeline decision is 2027 at the earliest, while the Point Thomson decision is immediate. Blowdown permanently changes the reservoir, closing the condensate window.

Read the full story: Point Thomson Gas Blowdown Could Cost Alaska 65M Barrels of Condensate

Mount Edgecumbe enrollment drops by a quarter as state finds no trends

More than one hundred students withdrew from Alaska's only public boarding school this year. Enrollment dropped from four hundred to three hundred eleven. Superintendent David Langford said the department could find no trends in the departures. Senators documented deteriorating facilities and a healthcare provider testified that eight students were hospitalized for suicidal ideation in a three-week period last November. Commissioner Deena Bishop acknowledged the school is not where it should be.

McNeil River bear sanctuary considers wheeled plane landings despite conservation concerns

The Alaska Department of Fish and Game is reviewing whether to allow wheeled airplane landings on the beach and gravel spit at McNeil River State Game Sanctuary, where sows raise their cubs. Conservation groups say the change would violate the governing statute that prioritizes bears over human access. Director Ryan Scott said preserving the unique McNeil experience is paramount while the department works to strike a balance with public access. The department surveyed 741 people about the proposal in January but has not released results. The 2026 viewing season will proceed unchanged with floatplanes only.

Read the full story: McNeil River bear viewing access dispute revealed in survey results

Legislature faces structural deficit as session nears end

With the legislative session ending around May 20, Senate President Gary Stevens said publicly he does not see the gas pipeline tax bill reaching conclusion in the remaining days. The state faces a $2 billion structural deficit, creating pressure to find new revenue sources while managing competing demands from industry and communities across Alaska.

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