RDC NEWS DIGEST
Interior chief pulls back on offshore drilling
U.S. Interior Secretary Ken Salazar is putting the brakes on a Bush administration plan that would allow new oil and gas drilling in the Outer Continental Shelf (OCS), including Alaska.
Salazar criticized the Bush administration’s “drill only approach,” saying the U.S. needs to place more emphasis on renewable energy both onshore and offshore. “I intend to do what the prior administration failed to do – incorporate the great potential for wind, wave and ocean tides,” Salazar said.
Salazar has directed his department to finish within two months a rule to open federal waters for alternative energy projects.
The Bush proposal would have accelerated oil and gas lease sales with new offerings over the next two to six year period.The proposal would have provided for new sales off Alaska, the Pacific coast and from New England to Florida.
Salazar extended the comment period on the accelerated leasing program by six months and he plans to hold a hearing in Alaska to help determine public support for the program.
Just last month RDC testified in support of the program, specifically noting that accelerated oil and gas drilling and increased emphasis on renewable energy projects are not mutually exclusive. RDC pointed out that new oil and gas production will buy the nation the time it needs to bring renewable sources online to the point where they are a dominant energy source. In the meantime, for every barrel of oil the nation refuses to produce domestically, it will simply import from overseas where environmental laws are often weaker.
Governor opposes ANWR Wilderness bill
Governor Sarah Palin voiced her opposition to federal legislation that would designate the Coastal Plain of ANWR as Wilderness.
“I am dismayed that legislation has again been introduced in Congress to prohibit forever oil and gas development in the most promising unexplored petroleum province in North America,” Palin said.
“As I traveled throughout the country campaigning for Vice President, I was glad to hear politicians, including President Barrack Obama, promise ‘everything was on the table’ to address America’s great challenges,” Palin said.“I also found that when Americans were appraised of the facts, most people became supporters of responsible oil and gas drilling in Alaska. So, I want to remind our national leaders of this promise, as to make the case against this legislation that would permanently take off the table any consideration of responsible ANWR drilling.”
The governor urged Americans to contact Congress and ask that all options stay on the table as the nation formulates an energy plan. “Remind politicians about their promise to increase domestic oil and gas production,” Palin suggested.
Timber harvest likely to be down in 2009
Timber harvests from federal lands in Southeast Alaska will be limited to about 30 million board feet because the volume from the Tongass National Forest has been sharply reduced in the last several years, according to Owen Graham, Executive Director of the Alaska Forest Association.
Graham noted that since the Forest Service will be taking direction from a new administration in Washington, D.C., he cannot forecast whether the availability of federal timber sales will increase or decrease. However, he said timber sale economics should improve now that the state is providing technical assistance to the Forest Service to ensure future federal sales are fully economic.
The state has been providing about 13 to 20 million board feet of timber sales annually to supplement the timber supply for the mills in Southeast. Graham expects private timberland operators to harvest about 100 million board feet in Southeast and Southcentral Alaska. Moreover, the Alaska Division of Forestry plans on offering 21.4 million board feet of timber in the Interior this year.
High Court hears Kensington arguments
The U.S. Supreme Court heard oral arguments last month in a case challenging Coeur Alaska’s federal permit, which provides for the disposal of tailings from the Kensington gold mine project into a small lake in Southeast Alaska.The disposal plan had won approval from federal and state regulators, but anti-development groups have sought to block it, claiming it would violate the Clean Water Act.
The high court is hearing the case after the Ninth Circuit Court of Appeals overturned a lower court ruling upholding the permit. Coeur has spent more than $230 million developing the project, 45 miles northwest of Juneau, on the premise that it had all permits to go into production. Construction is finished on all the project’s facilities except for the tailings disposal system.
The case focuses on whether the tailings to be disposed in Lower Slate Lake should be classified as a fill material or a slurry because water is mixed into the fill. The State of Alaska, Coeur Alaska and federal regulators argued that the tailings are classified properly as a fill and that the current permits are valid. The opponents argued that water added to the tailings to transport them through a pipeline to the lake transforms them into an effluent, requiring the tailings to be regulated under the guidelines of a Section 402 permit.
The state played an instrumental role in convincing the Supreme Court to review the case, noting the importance of the case beyond Kensington. If the Court overturned the appeals court ruling, it would set a precedent for future mines in Alaska and elsewhere.
“We need the Supreme Court to decide once and for all what the federal rules are for dealing with mine tailings,” said Governor Sarah Palin. A ruling from the Court is anticipated in the second quarter of this year. Coeur is hoping to begin production by the end of the year. RDC has filed an amicus brief to the high court in support of the project. See the brief at www,akrdc.org under issues/mining.
RDC supports oil, mining, rail projects
In separate comments to federal agencies, RDC supported offshore oil and gas lease sales, as well as the Aqqaluk project, which would extend the life of the Red Dog Mine in northwestern Alaska. RDC also supported extension of the Alaska Railroad from North Pole to Delta Junction. Comments are available online at www.akrdc.org.
AMEREF Coal Classic
The Alaska Coal Association’s 17th Annual Coal Classic Golf Tournament to benefit the Alaska Mineral & Energy Resource Education Fund (AMEREF) will be held Wednesday, June 17. Last year the Coal Classic boasted a record 39 teams. Registration will be available in early spring. For more information, visit www.ameref.org.
Tax deductible donations to AMEREF are now available online through the 2009 PFD or by calling 907-276-KITS.
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