Gov. Mike Dunleavy praised the Alaska House of Representatives for passing House Bill 381. The 34-5 vote aims to establish a volumetric tax structure for the proposed Alaska liquefied natural gas pipeline project.
Dunleavy called the June 12 passage a significant step toward advancing one of the largest economic development opportunities in Alaska’s history.
The bill now advances to the Alaska Senate for consideration. If approved in the upper chamber, the legislation would replace the traditional property tax system with a predictable, volume-based tax framework for natural gas transported through the Alaska LNG pipeline. Proponents say this will help strengthen the project’s competitiveness while providing long-term certainty for communities, investors and project partners.
“This is an important victory for Alaska’s future,” Gov. Dunleavy stated on June 12. “I want to thank the members of the House who recognized the importance of creating a stable, competitive fiscal framework that will help move the Alaska LNG Project closer to reality. This legislation sends a strong message that Alaska is serious about developing our vast natural gas resources and delivering affordable energy, good-paying jobs, and long-term economic opportunity for generations of Alaskans.”
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Lawmakers are in Juneau for a special session called by Dunleavy to deal with the LNG project, after the Legislature failed to pass a bill addressing the issue during the regular session.
Dunleavy noted that the Alaska LNG Project has the potential to unlock North Slope natural gas that has remained stranded for decades while creating thousands of construction jobs, supporting Alaska businesses, generating billions in private investment, expanding energy security for Alaska communities, and providing reliable supplies of liquefied natural gas to markets in Asia and beyond.
“This project has the potential to transform Alaska’s economy for decades,” Dunleavy said. “I look forward to working with the Senate to get this important legislation across the finish line.”
