Report Encourages Alaska to Choose Natural Gas Over Hydroelectric Energy


A new study by Alaska Hydro Project has concluded that supplying energy for the Alaska Rainbelt through natural gas, specifically through Cook Inlet, would save the ratepayers in Alaska $35 billion (in 2014 dollars) over 50 years.

The report concludes that deriving energy from natural gas from Cook Inlet “…is the most cost-effective alternative, requiring the least capital investment, yet producing the greatest long-term economic benefit to the regional economy with the least environmental and social impact.”

According to the report, “With production from Cook Inlet natural gas fields in decline, the State of Alaska has been implementing various initiatives to address the problem of Railbelt energy supply and affordability:

  1. financial incentives for finding and developing new Cook Inlet gas fields;
  2. a pipeline to bring North Slope gas to market;
  3. an LNG supply for Fairbanks; and
  4. a hydroelectric dam on the Susitna River.


The report concludes that “the [Susitna] dam project is a distraction from solving the problem of ensuring a long-term, natural gas supply.”

Read the full report here.