Palin Backed Shipping Natural Gas To Japan
Despite Campaigning On Increased Production To Gain Energy Independence, Gov. Favored Increased Exports
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Jim Bowles, president of ConocoPhillips Alaska Inc., answers questions during a Jan. 3, 2008 press conference in Anchorage, where Alaska Gov. Sarah Palin announced an agreement between the state of Alaska and the oil industry to extend the federal license for the LNG plant on the Kenai Peninsula to export energy to Japan. (AP Photo/Al Grillo)
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But the Alaska governor and GOP vice presidential candidate has pushed the federal government to allow a liquefied natural gas plant to continue exporting to Asia - the only such plant in the United States that sends the product overseas.
"When we talk about energy, we have to consider the need to do all that we can to allow this nation to become energy-independent," Palin said earlier this month during the vice presidential debate.
"It's a nonsensical position that we are in when we have domestic supplies of energy all over this great land. And East Coast politicians who don't allow energy-producing states like Alaska to produce these, to tap into them, and instead we're relying on foreign countries to produce for us."
This summer, Palin cheered the Energy Department for extending an export license for the Kenai Liquefied Natural Gas facility. The license allowed the Alaska plant to continue shipping its products to Asia through 2011.
The plant began shipping its product exclusively to Japan in 1969, renewing federal export permits every few years. As energy prices have soared in recent years, and with supplies dwindling, there has been increased opposition to allowing the plant to export.
The current license extends a permit that otherwise would have expired in 2009.
"In these times of economic uncertainty, this is great news for the state and its residents," Palin said when the license was approved in June.
During negotiations, which began last year, Palin had pressed for enough natural gas to serve Alaska to remain in-state. She added, however, that the rest should be shipped primarily to Japan.
The license was granted despite opposition from some federal officials who argued that domestic liquefied natural gas should be sold within the U.S.
"If America is really so short of energy that we need to drill in national wildlife refuges and other sensitive areas, why should energy supplies, sitting in U.S. terminals, be sent back out of the country simply because these energy companies can get a higher price from a foreign buyer?" Sen. Ron Wyden, D-Ore., said.
If America is really so short of energy ... why should energy supplies, sitting in U.S. terminals, be sent back out of the country simply because these energy companies can get a higher price from a foreign buyer?
Sen. Ron Wyden, D-Ore.San Diego-based Sempra Energy opened a new $975 million terminal in Baja, Mexico, in May. Its pipelines connect to California, Texas and Arizona.
Volatile oil and gas prices and limited energy supplies have prompted a steady increase in U.S. use of liquefied natural gas.
But aside from Alaska, there is no domestic production.
So while the United States imported 771 billion cubic feet of natural gas last year from Trinidad and Tobago, Algeria, Egypt, Equatorial Guinea, Nigeria and Qatar, Alaska is expected to export 100 billion cubic feet to Asia over the next two years.
By AP National Writer Martha Mendoza
© MMVIII The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.
Best-selling author Mitch Albom on his first nonfiction work since "Tuesdays with Morrie."





William Shirer 1/23/36 - "The stories were so exaggerated and so libelous I could not control my temper. No one had the power or decency to correct a piece of propaganda once it had been launched, regardless of how big the lie."
Posted by opedanderson
if you conservatives had even half a brain, you would realize this makes no sense.
Except to the oil companies making record profits, of course.
I think it''s an excellent idea to export to Japan!
Typical Dem reponse: "....simply because these energy companies can get a higher price from a foreign buyer?"
If you liberals ever ran a business or had a REAL job you would understand how much sense that makes.
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Maybe those East Coast politicians have the right idea after all. If the only state in the nation that produces the product keeps only enough for itself and sells the rest to a foreign country, why should the East Cost, West Coast, Midwest, Gulf Coast or the Great Lakes give a hoot about developing Alaskan products? Sounds like Sarah''s new slogann should read : "Alaska First, Japan Next, America Also-Ran."
What''s Wendy Waitress and Phil Bricklayer and Tito the Builder and George the President going to say about this? We know what Joe the Plumber would say: How can I buy that business without paying any taxes?
OBAMA/BIDEN 08!!
- by ramos937 October 21, 2008 9:11 PM EDT
- That is not even the half of it. For years, the crude flowing through the Alaska Pipeline has been sold to Asian markets instead of used in the lower 48 states.
- Reply to this comment
See all 14 CommentsGuess where the "new" crude from off shore drilling will go to?