Rep. Justin Ruffridge: Build the gasline, not more roadblocks that derail Alaska’s energy future

By REP. JUSTIN RUFFRIDGE

June 30, 2026 – I write these thoughts from a very quiet Capitol building in Juneau on Monday, June 29. I am serving on the conference committee for HB 381, legislation intended to create a workable property tax structure for the proposed Alaska LNG project. While the building is quiet, the issue before us echoes across Alaska. It reaches every family wondering how they will continue to heat their homes, keep the lights on, and afford the rising cost of energy.

Let me be clear, the Legislature is not being asked to build the pipeline. Legislators are being asked a narrow question: whether Alaska’s current property tax structure allows the project to be financed or whether changes are necessary to give it a realistic chance of success.

The administration, the developer, and legislative consultants have all testified that property tax relief is necessary to attract investors and lenders. While that does not answer every question about the project, it should define the work before this conference committee.

I understand why many Alaskans remain skeptical. We have heard promises about a gasline for decades. People are right to question whether this project can ultimately be built. Those are important questions, but they are not the questions before the legislature today.

The testimony on the AKLNG project has been consistent. Under current law, the project’s property tax burden could approach $750 million annually by 2033, making financing substantially more difficult. The Department of Revenue has testified that reducing that large burden would improve project economics while still generating significant public revenue if the project were built.

That is why the House passed HB 381 by a vote of 34-5. The conference committee should be reconciling differences between the House and Senate versions while protecting communities and providing a workable path forward.

Instead, the legislation has become entangled in a proposal to create a new income tax on certain oil and gas pass-through businesses. Whether Alaska should adopt such a tax is a legitimate policy discussion, but it deserves its own bill, committee hearings, legal review, public testimony, and fiscal analysis. It should not become a last-minute condition attached to legislation with an entirely different purpose.

Meanwhile, the revenue at stake is quite real. Department of Revenue estimates indicate the project could generate nearly $800 million annually for the state over three decades while strengthening Alaska’s energy security, creating jobs, and sharing revenue with communities.

Southcentral Alaska already faces declining Cook Inlet gas supplies and the possibility of importing LNG to meet future demand. For a state with vast natural resources, the idea of having to import natural gas should concern every Alaskan.

I do not ask for blind faith in this project. I ask that we answer the question before us rather than allow a separate tax debate to derail progress. Alaska deserves a thoughtful decision, one that protects taxpayers, strengthens our energy future, and gives this project a fair opportunity to succeed.

Today the Capitol may be quiet, but I believe the message from Alaskans is loud and clear.  Build the line. 

Rep. Justin Ruffridge has served as a member of the Alaska House of Representatives since 2023, representing District 7.

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