Murkowski's energy bill passes Senate 85-12

By DJ Summers, Alaska Journal of Commerce, Anchorage

April 20--The U.S. Senate brought a long-delayed energy bill spearheaded by Alaska U.S. Sen.
Lisa Murkowski off the shelf on April 20 after legislative gridlock driven by the water crisis in Flint, Mich.

Co-managed on the Senate floor with Sen.
Maria Cantwell, D-Wash., the ranking minority member of the Energy and Natural Resources Committee, the Energy Policy Modernization Act of 2016 passed the Senate with an 85-12 vote.

The bill includes provisions for renewable energy production for wind, solar, hydro, and geothermal energy, but also a host of provisions to ease Alaska's oil and mineral development processes and access to federal lands in Alaska. The bill marks the first energy policy overhaul since 2007.

"Moving forward with this act will help America produce more energy and bring us one step closer to being an energy superpower," said Murkowski. "At the same time, it will help Americans save more money and save energy with all of the energy policy provisions."

Permitting reforms are a key component. The bill requires the Secretary of Energy to make a decision on any liquefied natural gas export application within 45 days after completion of environmental review. Similar permitting revisions for mineral development are included. The bill allows for expansion of Terror Lake hydro project on Kodiak Island.

Other Alaska-specific measures include changing the definition of Indian Tribes to include Alaska Native corporations that would allow them to apply for hydro licenses, biomass demonstration projects and funds for weatherization projects.

Permit streamlining for hydro projects is a broader provision that could aid several Alaska communities, according to Murkowski, and the bill also reauthorizes federal research into development of methane hydrates at Prudhoe Bay.

Further, the bill allows a rerouting of an Alaska gasline project through federal land on Denali National Park. Federal land access will also ease for sportsmen with Murkowski's Sportsmen's Act folded into the energy bill.

The act directs federal agencies to expand and enhance sportsmen's opportunities on federal lands, make "open unless closed" the standard for federal lands administered by the Forest Service and Bureau of Land Management in Alaska, and clarify procedures for commercial filming on federal lands.

The energy bill's House version has not enjoyed the same bipartisan support evidenced by the 85-12 vote, Murkowski said, characterizing it as "pretty much a Republican bill."

It incorporates key differences concerning the federal Land and Water Conservation Fund. However, Murkowski said she believes the Senate's strong passage is a good indication that whatever hurdles come up in conference committee can be overcome.

"What we're going to do is try to keep that bipartisan approach," Murkowski said in a teleconference interview.

Murkowski acknowledged that President
Barack Obama's administration has "not exactly endorsed" the energy bill. However, she said the administration has helped more than hindered.

"The Secretary of Energy has been working with us," she said, specifically to craft the language to expedite LNG permits. "There has been a working relationship with this administration."

Though the bill had broad bipartisan support as it advanced from the Energy and Natural Resources Committee that Murkowski chairs, it became entangled in the Flint water crisis.

In early February, U.S. Senate Democrats withheld support for the bill unless it contained hundreds of millions in funds to address the lead poisoning problem in Flint.

Sen.
Debbie Stabenow, D-Mich., tried to add a fiscal note to the energy bill that would've given $600 million in funds to Flint. The addition exceeded the estimated amount Flint needs to update its water supply, or about $50 million. Would it have been approved in the Senate, it would likely have been halted in the House anyway.

The state of Michigan approved $37 million in relief funds and is expected to give more, but its congressional representatives wanted more. An $80 million pledge from President
Barack Obama set the tone for Senate Democrats to fight for relief money they said Republicans would've gladly given if the city had been whiter and wealthier.

Some Senate Republicans characterized Stabenow's play as a Democrat power play designed to make Republicans look bad rather than a genuine request for help.

DJ Summers can be reached at daniel.summers@alaskajournal.com.

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(c)2016 the Alaska Journal of Commerce (Anchorage, Alaska)

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