Saturday, March 21, 2009

Sarah Palin - Moment of Gas Line Clarity?

They say every addict has a moment of clarity as they scrape rock bottom. With oil and gas prices in the toilet has AGIA addict Sarah Palin finally hit rock bottom?

Speaking on the issue of gas pipeline fiscal certainty media darling and part time Alaska Governor Palin was quoted saying "We are open to whatever it takes to make sure it happens" (LINK)
Really? - Here's my suggestions for fiscal certainty:

1) Tax Holiday for the first 5 years. This will promote upstream work to fill the line from day one. It will also promote early payoff for pipeline investors.

2) Fixed Rates for the first 20 years. Unless your name is Obama, Bernanke, or Geithner it's hard to lay hands on $40 billion these days. Fixed tax rates allow investors to run the numbers and commit to a pipeline with fewer downside risk.

3) Long term Lower Tax Rates for gas sold in state. Promote the follow on projects. A greater number downstream uses (residential and commercial) will encourage expansion and support long term revenue stability for the State and the investors.

4) Open Your Eyes in terms of who builds the pipeline. AGIA made some sense in the formative stages. It sputtered in the market place. Then commodity prices plunged.

The little graphic above tells the tale. It's a graphic from the Governor's website - It's "Governor Palin's" AGIA - not "Alaska's" no it's her's. It's wrapped up in her massive ego. It's time to let go, wake up and move on - just do "Whatever it takes".

1 comment:

Anonymous said...

The Woman is a Fraud.

She's a Hollow,Floating Bubble...Period.

She Prvented Big Oil, who Owned the Gas Leases from Participating in the [Bidding Process] she went to a Canadian Company whose Speciality is making [Pipelines] but..

Produced [No Gas or had Gas Leases]

She went back to Big Oil [Exxon] Realizing her [Dumb Move]or Someone in her Administration, with Real Education and Common Sense made her Aware of her [Stupidity]...

It will take 10-15 Years to Buld this Gas Line and Palin acts as if the gas Line will Happen [Now] or in a Couple of [Years]