The Regulatory Commission of Alaska has put a hold on the sale of 14.5 billion cubic feet of natural gas found in the Cook Inlet Natural Gas Storage Alaska, just off Bridge Access Road.
The RCA is responding to requests from the State, Kenai Landing, and three of CINGSA’s four customers that the issue be investigated by an independent panel.
Steve DeVries with the State says the ownership of the gas isn’t clear…
DeVries: “There’s significant sums that are involved and if the evidence shows that it’s appropriate that ratepayers share in that gain, then they should not be shut out from that gain by the Commission acting without any opportunity to consider alternatives that would be supported by the facts that we pointed out in our filing.”
But Lindsay Hobson, who represents CINGSA and the only customer who didn’t file for an investigation (ENSTAR) says the benefits of the gas should go to CINGSA’s investors, since they invested the capital which developed the facility.
Hobson: “Much like if a building owner that found a bag of gold in the basement, the profit from selling that would stay with the owner of that building.”
The RCA’s panel will issue a final order no later than October 27 of this year.
