Is AIDEA for Alaskans?

“Projecting two billion dollars in lease sales, that’s not going to happen and they know it from the beginning,” said a Kaktovik resident on Feb. 5, 2019, in a meeting on the lease sales for the Arctic National Wildlife Refuge (ANWR). Specifically, the lease sale targeted the 1002 area where Kaktovik village is located.

He was right. The lease sales held on Jan. 6 this year brought in less than 1% of that estimate. An inflated estimate was given to gain support for lease sales asserting that it would bring in money for Alaskans. Instead, about $12 million of the $14.4 million dollars that was spent on the leases came from Alaska’s own public corporation, the Alaska Industrial Development and Export Authority (AIDEA).

I am Inupiaq and among the indigenous voices in opposition to AIDEA’s bids on the lease sales in the Refuge, which I urge them to relinquish. In a meeting the board held on Jan. 13, AIDEA made the claim that the Kaktovik community was in support of development in the 1002 area. Clearly, board members didn’t read through the publicly available transcripts — the majority of residents who testified had deep concerns or were outright opposed.

“I just want to be on the record saying that I oppose oil development, and I’d rather have it saved for our children’s future,” said another Kaktovik resident. Yet another comment criticized the process itself, saying “I want to go on the record saying that I think this was fast-tracked too fast, that it wasn’t given enough time for the EIS (environmental impact statement) to come out. Normally, these things take more than three months”.

Instead, AIDEA points to representatives of corporations and groups that will have direct financial gain from oil and gas development in ANWR — corporations like Kaktovik Inupiat Corporation (KIC). While these corporations are vital to have in the conversation, they don’t necessarily represent residents’ views. KIC has pushed for development in ANWR despite the major concerns and objections from Kaktovik community members.

AIDEA turns a blind eye to these concerns though, which isn’t a surprise considering their history of ignoring public opinions. A great example is the Ambler road project, about which local communities had significant concerns. AIDEA denied the Blood Bank of Alaska a $2.5 million loan, and at the same time approved $35 million for the Ambler road project in 2020.

AIDEA has had many bad investments and showcases a culture of bad practices. For example, the Mustang project, on the North Slope, lost $70 million. They are also being investigated for poor treatment of employees and a toxic work environment. Public transparency is a weak spot; AIDEA has abused its use of executive sessions, with about 68% of their 2020 board meetings being held in private executive sessions.

How about conflict of interest? Chair J. Dana Pruhs businesses received more than $90,000 of CARES Act grants, and Vice Chair Bernie Karl received $100,000 for his business. The chair and vice chair terms expire on June 30; is it possible we will see a much-needed change within AIDEA’s board?

Now AIDEA is proposing to spend $1.5 million toward a proposal for seismic testing. After significant public opposition, little industry interest in the lease sales and the Secretary of the Interior identifying significant legal problems with this Coastal Plain program, AIDEA is stubbornly pushing forward.

I ask that AIDEA listen to Alaskans, stop this seismic proposal, and drop the leases it currently holds in the Refuge.

Nauri Toler is an Iñupiaq woman born in Utqiaġvik. She worked seven years in the Health, Safety, Environmental and Training field on the North Slope. She is currently the Arctic Slope Environmental Justice Organizer for Native Movement.

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