Sens. Frank Murkowski (R-AK) and Jeff Bingaman (D-NM) agreed Friday to work cooperatively on language in the Senate omnibus energy bill to reduce the risks tied to the construction of an Alaska natural gas pipeline from the North Slope to the Lower 48 states.

“I particularly hope we will be able to make some improvements that will assist in lowering the overall risk associated with this $20 billion project,” said Bingaman, chairman of the Senate Energy and Natural Resources Committee, during an uncharacteristically friendly exchange with Murkowski on the Senate floor. Toward this aim, he suggested that a federal pipeline coordinator be empowered to keep the various federal and state agencies involved in the project working “in a cooperative and coordinated fashion.”

Bingaman and Murkowski often are on different sides of political issues, but the two have become fast allies on the Alaska pipeline project. “I believe that by working together we can get this project built.”

Bingaman further believes legal issues must be addressed in the bill, including “providing for clear and expedited procedures for resolving legal challenges that might arise during permitting and construction of the pipeline.” An expedited permitting process, he said, is critical to reducing the risks of delay and added capital costs.

“Any legislative language that adds risk or cost to the project will simply make it impossible to build the Alaska gas transportation system,” agreed Murkowski, the ranking Republican on the Senate Energy Committee.

He proposed that he and Bingaman work on provisions in the bill that “[would set] procedures in place for allocating initial gas capacity for the pipeline and for any subsequent expansions that might be warranted based on new discoveries or additional needs in Lower 48 markets.”

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