00                              HOUSE BILL NO. 16                                                                          
01 "An Act amending the standards applicable to determining whether, for purposes of the                                   
02 Alaska Stranded Gas Development Act, a proposed new investment constitutes a                                            
03 qualified project, and repealing the deadline for applications relating to the development                              
04 of contracts for payments in lieu of taxes and for royalty adjustments that may be                                      
05 submitted for consideration under that Act; and providing for an effective date."                                       
06 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
07    * Section 1.  AS 43.82.100 is amended to read:                                                                     
08            Sec. 43.82.100.  Qualified project.  Based on information available to the                                 
09       commissioner, the commissioner may determine that a proposal for new investment is                                
10       a qualified project under this chapter only if the project                                                        
11                 (1)  is a project that principally involves the production, processing,                             
12       and transportation of natural gas derived from the area of the state lying north of                           
13       64 degrees North latitude, including discrete facilities or portions of discrete                              
01       facilities that are necessary to produce, gather, process, condition, compress, or                            
02       distribute the natural gas,                                                                                   
03                      (A)  by pipeline to one or more markets outside the state by                                   
04            means of an Alaska North Slope natural gas project; for purposes of this                                 
05            subparagraph, "Alaska North Slope natural gas project" has the meaning                                   
06            given "North Slope natural gas pipeline" as that term is defined in                                      
07            AS 38.35.120(a)(1)(B) that is constructed or modified to follow generally a                              
08            route that parallels the Trans Alaska Pipeline System and the Alaska                                     
09            Highway to the Canadian border to transport natural gas; or                                              
10                      (B)  for [THE] export as [OF] liquefied natural gas;                                       
11                 (2)  would produce at least 500,000,000,000 cubic feet of stranded gas                                  
12       within 20 years from the commencement of commercial operations; and                                               
13                 (3)  is capable, subject to applicable commercial regulation and                                        
14       technical and economic considerations, of making gas available to meet the reasonably                             
15       foreseeable demand in this state for gas within the economic proximity of the project.                            
16    * Sec. 2.  AS 43.82.170 is repealed.                                                                               
17    * Sec. 3.  This Act takes effect immediately under AS 01.10.070(c).