TICK TOCK, TICK TOCK

The clock is ticking. No one stops time. Everyday a decision is delayed on the gas pipeline, the pipeline becomes less likely.

There is no perfect pipeline route, no perfect pipeline builder. The worst possible route is the route that never begins. Who should build the gas pipeline? Answer: the entity that most benefits the people of Alaska, our nation, and benefits the pipeline builder with an appropriate return on time, investment, and risk. Pipelines never built benefit no one.

When we explore for oil, gas may be discovered. When we drill for gas, oil may be discovered. With declining oil production, and need for taking gas to get to market, the stage is set for “win win” exploration.

Oil and gas belong to Alaskans, not those who lease oil and gas rights. If we own a home, and lease its use to another entity, we still own the home. “Same same,” oil and gas. If someone violates the lease - the owner may choose to take whatever action the lease permits and reason dictates. A gas pipeline without gas ain’t going to happen. Alaska owning the gas (and it does), and the producers having access to the gas (and they do) and not moving it, is like owning valuable cars but not driving them anywhere. The Good Book advises “Come let us reason together.” I could add, “Let’s cooperate to graduate."

Any gas pipeline, built by anyone, going anywhere, will incur monumental risks and cost monumental bucks. Without risk, there is no reward. Without motivation to invest, there is no money - and no pipeline. It’s called "capitalism," and I’m in favor of it.

The most reasonable scenario would be some marriage of interests between private pipeline builders, private oil and gas producers, and governmental entities representing the people. I hope that's happening behind the scenes. There’s enough need and profit potential, seems to me, to make a gas pipeline happen. If no one gets too greedy or too hung up with politics, good things could happen.

The legislature goes soon into special session to consider gas pipeline issues. Hopefully, we’ll be more concerned about getting gas to market than playing “stick a finger in the eye” games between the legislature, the governor, producers, pipeline people, talk show hosts, and critics. Wish our legislature well during Special Session! Tick tock, tick tock.

Note: This article is from my end-of-session 2008 newsletter being mailed May 2008.