HJR 27 — Supporting a comprehensive energy and economic strategy for the state; urging the federal government to disburse previously appropriated funds for energy and infrastructure projects; affirming the principle of energy equity and committing to a future-oriented energy strategy for the state; encouraging state agencies to aggressively pursue opportunities to develop and process critical minerals; directing state agencies to coordinate energy and economic planning; and championing a unified voice in support of the state's full development potential.

34-LS0973\H34-LS0973\I CS FOR HOUSE JOINT RESOLUTION NO.

27(ENE)27 IN THE LEGISLATURE OF THE STATE OF ALASKA THIRTY-FOURTH LEGISLATURE - SECOND SESSION BY THEREPRESENTATIVES HOUSEHOLLAND, SPECIALStory COMMITTEEIntroduced: ON ENERGY Referred:

Rules65/18/25 Sponsor(s):Referred:

REPRESENTATIVESHouse HOLLAND,Special StoryCommittee on Energy A RESOLUTION Supporting a comprehensive energy and economic strategy for the state;

urging the federal government to disburse previously appropriated funds for energy and infrastructure projects;

supporting the development of the hydrogen industry in the state;

and encouragingchampioning the creation of a taskunified forcevoice toin exploresupport energyof andthe mineralstate's development,full includingdevelopment hydrogenpotential. energy.

and WHEREAS theart. Alaska State Legislature has urged and continues to urge the United States Congress to honor the terms of the Mineral Leasing Act and the Alaska Statehood Act that provide for the state receiving an 88 percent share of all bonuses, royalties, and rentals HJR027b -1- CSHJR 27(ENE) New Text Underlined [DELETED TEXT BRACKETED] 34-LS0973\H received by the federal government from oil and gas exploration, development, and production in the Arctic National Wildlife Refuge and the National Petroleum Reserve in Alaska;

VIII, sec.

2, Constitution of the State of Alaska, mandates that the state's natural resources be developed "for the maximum benefit of its people," creating an imperative for both short- and long-term economic outcomes;

and HJR027a -1- HJR 27 New Text Underlined [DELETED TEXT BRACKETED] 34-LS0973\I WHEREAS the Alaska State Legislature has urged and continues to urge the United States Congress to honor the terms of the Mineral Leasing Act and the Alaska Statehood Act that provide for the state receiving a 90 percent share of all bonuses, royalties, and rentals received by the federal government from oil and gas exploration, development, and production in the Arctic National Wildlife Refuge and the National Petroleum Reserve in Alaska;

and WHEREAS the Southcentral region of the state will be importing, from a foreign country, gas for heat and electricity as soon as 2028;2027;

and WHEREAS federal action blocking grant-funded energy projects threatens energy security and economic development;

and WHEREAS the state holds over 35,000,000,000,000 cubic feet of proven natural gas HJR 27 -2- HJR027a New Text Underlined [DELETED TEXT BRACKETED] 34-LS0973\I reserves, which could supply domestic and Pacific markets for generations;

and WHEREAS the state possesses significant potential for hydrogen energy production derived from natural gas with carbon management, renewable energy resources, and emerging geologic hydrogen opportunities, and for hydrogen derivatives such as ammonia, methanol, and sustainable aviation fuel suitable for domestic use and export to Asia and Pacific markets;

CSHJR 27(ENE) -2- HJR027b New Text Underlined [DELETED TEXT BRACKETED] 34-LS0973\H and WHEREAS the state possesses significant potential for hydrogen production derived from natural and stimulated geologic hydrogen production, with associate opportunities, but currently lacks adequate policy frameworks for underground storage, leasing, including lease and royalty payments, and regulation of exploration and production for both hydrogen and associated secondary production of helium;

and WHEREAS the current administration published projections estimating that 93 percent of new energy capacity in 2025 wouldwill come from renewable energy and storage projects;

and WHEREAS advanced nuclear technologies, including small modular reactors and microreactors, offer the state a reliable, nonintermittent, zero-carbon baseload energy source capable of supporting industrial development, lowering energy costs, and strengthening long- term statewide energy security;

and WHEREAS the strategic deployment of nuclear microreactors in rural regions of the state at military installations and in emerging industrial hubs would provide stable power essential for national security operations, Arctic readiness, and the development of critical mineral and rare earth projects across the state;

and WHEREAS rural regions of the state, which are home to over 200 isolated microgrids, face some of the highest energy and food costs in the United States and will HJR027b -3- CSHJR 27(ENE) New Text Underlined [DELETED TEXT BRACKETED] 34-LS0973\H benefit from the state's diversifiedinclusive energy development strategy, proximity to resources and energy, and investments in low-cost energy, infrastructure, and workforce pathways;

BE IT RESOLVED that the Alaska State Legislature affirms its commitment to a diversifiedcomprehensive energy and economic strategy that includes exploration, development, and production of fossil fuels, renewables, and critical minerals and value-added manufacturing to unleash a new era of state prosperity and opportunity for all regions and future generations;

and be it FURTHER RESOLVED that the Alaska State Legislature endorses the goals of the 2022 - 2027 Alaska Statewide Comprehensive Economic Development Strategy to strengthen HJR027a -3- HJR 27 New Text Underlined [DELETED TEXT BRACKETED] 34-LS0973\I the existing economic engines of the state while building new sectors and supports immediate alignment between federal executive orders and the 2022 - 2027 Alaska Statewide Comprehensive Economic Development Strategy to streamline permitting and infrastructure for resource projects;

and be it FURTHER RESOLVED that the Alaska State Legislature recognizes that hydrogen industry development is a unique hybrid activity, combining mineral, geothermal, and oil and gas exploration and development, power generation, industrial processing, and subsurface storage and carbon capture and utilization storage management, and encourages the evaluation of statutory and regulatory frameworks to ensure clear authority, predictable permitting, and coordinated oversight of hydrogen development;

builds regional energy plans that support resilience and lower costs through local and clean CSHJR 27(ENE) -4- HJR027b New Text Underlined [DELETED TEXT BRACKETED] 34-LS0973\H energy sources;

and be HJR 27 -4- HJR027a New Text Underlined [DELETED TEXT BRACKETED] 34-LS0973\I it FURTHER RESOLVED that the Alaska State Legislature encourageschampions thea governorunified tovoice workin withsupport of the legislaturestate's full development potential, both domestically and internationally, to establishensure athat taskall force,public workingand group,private orsector similarefforts organizationalstrengthen reviewthe to,communities beforeand the beginningeconomy of the Thirty-Fifthstate Alaskawhile Statereflecting Legislature,the providedual recommendationsimperatives toof thecurrent legislaturenational tosecurity advanceneeds energy and mineralsustainable sectorprosperity developmentinto in the state;future.

and be it FURTHER RESOLVED by the Alaska State Legislature that the task force also review hydrogen energy development in the state, including hydrogen produced from natural gas, renewable energy resources, and geologic sources, as well as hydrogen derivatives, including ammonia, methanol, and sustainable aviation fuel, and evaluate options for addressing hydrogen development, including (1) the classification of hydrogen-related activities for purposes of land HJR027b -5- CSHJR 27(ENE) New Text Underlined [DELETED TEXT BRACKETED] 34-LS0973\H leasing, subsurface rights, and resource management;

(2) the use of existing oil and gas units, depleted reservoirs, and other geologic formations for underground hydrogen storage and associated carbon storage;

(3) the coordination of land access, leasing, and rights-of-way necessary to support hydrogen production, storage, transmission, and export facilities;

(4) the alignment of hydrogen development with in-state energy security, price stability, and industrial growth;

and (5) assessing whether the divisions of the Department of Natural Resources responsible for oil and gas development, geological and geophysical surveys, and mining and land are currently able to perform hydrogen resource assessments, and, if not, what is required to build the capacity necessary to perform hydrogen resource assessments.

the Honorable Pete Hegseth, United States Secretary of War;Defense;

CSHJRHJR027a 27(ENE)-5- -6-HJR HJR027b27 New Text Underlined [DELETED TEXT BRACKETED]