Alaska Ex - Governor (Democrat Knowles) Plans Run to Undo Pipeline Deal

[DeepModem Mom]

NYT/Reuters: Alaska Ex - Governor Plans Run to Undo Pipeline Deal
By REUTERS
Published: May 30, 2006

ANCHORAGE, Alaska (Reuters) - Former Alaska Gov. Tony Knowles said on Tuesday he plans to seek another term in office, pledging to undo a deal for a controversial $20 billion natural gas pipeline contract negotiated by Republican incumbent Gov. Frank Murkowski.

The proposed contract negotiated by Murkowski with major oil producers provides no assurance that any gas pipeline will be built while making sweeping concessions that violate Alaska's interests, Knowles, a Democrat, told reporters at a news conference in Anchorage.

"We just need to start from scratch,'' said Knowles, a Democrat who served as governor for two four-year terms, from 1994 to 2002. ``(The state needs) to open it up to all parties who express an interest, to lay out conditions under which we want to see it developed and take the best proposal.''

Murkowski negotiated a deal with ConocoPhillips, BP and Exxon Mobil that proposes to freeze oil and gas taxes acceptable to the companies for up to 45 years.

The governor argues such terms are needed to give the companies the financial assurances necessary for such a massive and risky project. Critics say the deal, being considered by the state legislature, gives away too much of the state's resources and authority....

http://www.nytimes.com/reuters/washington/politics-alaska.html