Alaska Affordable Energy Strategy Overview
The Alaska Energy Authority (AEA) was tasked in 2014 by the 28th Alaska Legislature to provide recommendations to improve the affordability of energy in areas of the state not serviced by the proposed natural gas pipeline (gasline). The Alaska Affordable Energy Strategy (AkAES) is the result of this effort.
The AkAES is a strategic plan to improve the methods by which the State works with non-Railbelt communities and utilities to identify, evaluate, develop and maintain cost-effective energy solutions. The strategy includes recommendations for policy, financing mechanisms, strengthened regulation and other administrative tools. The final report, submitted to the legislature on December 30, 2016, provides a high level summary of the AkAES research and reccomendations.
A longer, complementary report entitled "AkAES Methodology, Findings, and Recommendations" goes into greater detail. The report contains the backing documentation for the recommendations, laid out in a logical framework.
Chapter 1 provides an overview of the research and resources that were brought to bear for this project.
Chapters 2 and 3 describe how and why energy is less affordable in some areas of the state.
- Chapter 2 describes baseline energy costs and consumption in communities across the AkAES study area. Socioeconomic characteristics, including population trends and other factors that affect communities’ ability to pay for infrastructure, are also discussed. Estimates for investment needed to maintain the current state of energy systems in communities over next 20 years is provided in this chapter.
- Chapter 3 investigates the factors that drive the cost of energy in communities—for both electricity and heat. The chapter follows the supply chain from crude oil to consumption to understand which factors have the most sway over the total cost consumers pay for energy.
Chapters 4, 5 and 6 describe and analyze factors that could help bring affordable energy to Alaska communities.
- Chapter 4 explores the risks and barriers to project development, categorized by technology and phase. By planning for and mitigating these risks, communities’ and the State’s return on investment (ROI) can be increased.
- Chapter 5 provides an overview and brief analysis of current and historical state energy programs to understand what has been effective to date in bringing affordable energy to communities.
- Chapter 6 expands on the cost drivers in Chapter 3 to delve into infrastructure and non-infrastructure opportunities for reducing community energy costs.
Chapter 7 builds on the results of all previous chapters to propose a framework for statutory, regulatory and policy changes to bring more affordable energy to Alaska communities.
The entire report can be downloaded here:
AkAES Methodology, Findings, and Recommendations
Additional resources can be found in the sidebar entitled “Commissioned Reports”. There you will be able to find studies that were commissioned to support the AkAES project.
For more information, contact:
Legislative and Media inquires regarding the AkAES should be directed to:
Government Relations, Outreach/Efficiency Manager
Join the AkAES Listserve for notification of meetings and milestones completed: