Ballot Measure 2 imposing a tax on North Slope gas reserves will have precisely the opposite effect of the one promised by its promoters. We finally have a window of opportunity to move forward with a gas project, but rather than speeding up construction of a gas pipeline, this misguided measure will delay it for years or derail it altogether.
A reserves tax also would discourage investments in exploration and development. Why explore for resources if you’re going to be penalized for finding them? It would mean even more state government, sacrificing long-term private sector jobs for unsustainable short-term government growth, but result in less state revenues over the long term.
That’s why all three gubernatorial candidates, our congressional delegation and the Alaska Support Industry Alliance all oppose it. For Alaska’s future, we urge Alaskans to join us in voting “No” on Ballot Measure 2.
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