Issues Relating to the Proposed Alaska Highway Gas Pipeline Project

EMD-80-9: Published: Oct 26, 1979. Publicly Released: Oct 26, 1979.

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The President and Congress approved the Alaska Highway Gas Pipeline Project as a privately financed project. GAO considered the project and recommended that a framework for Government analysis be established if Federal financial assistance were requested.

If Federal financial assistance were sought for the project, alternatives which could secure or conserve a similar or greater amount of gas should be considered. Potential alternatives would include conservation steps, intensified drilling in the lower 48 States, liquefied natural gas, Mexican and Canadian gas, and unconventional domestic resources. The pipeline project has been delayed and further delays are possible. Key issues concerning right-of-way agreement requirements and how the gas conditioning costs will be treated have yet to be solved.

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