01/20/2026 | Press release | Distributed by Public on 01/20/2026 14:34
Notice of Utility Tariff Filings
The REGULATORY COMMISSION OF ALASKA (Commission) gives notice that Matanuska Electric Association, Inc. (MEA) filed TA580-18, seeking approval of the Third Amendment to the Gas Sale and Purchase Agreement between Hilcorp Alaska, LLC (Hilcorp) and MEA (Third Amendment), and TA581-18, seeking approval of a new Cost of Power Adjustment (COPA) cost element for natural gas storage. MEA requested an effective date of March 2, 2026, for both filings.
The Third Amendment provides for an additional year of firm gas supply (Contract Year 11), with a daily Maximum Delivery Volume of 12,500 Mcf and a Maximum Annual Volume of 4,500 MMcf, under which Hilcorp's liability for Daily Shortfall Volumes will be capped. The Third Amendment also removes the Turndown Option, which gave MEA a one-time right to lower the Minimum Annual Volume it was required to purchase, and allows MEA to purchase the difference between MEA's Maximum Annual Volume and contract year forecasted usage for future fuel requirements, with a year-end true-up (Annual Excess Volumes). Additionally, Hilcorp will transfer 1,108,000 Mcf of prior undelivered Annual Excess Volumes to MEA at a fixed price of $9.00/Mcf. A selection of current and proposed volumes and rates is below.
|
Contract Year |
Pricing Period |
Current Minimum Annual Volume (MMcf) |
Proposed Minimum Annual Volume (MMcf) |
Current Sales Price ($/Mcf) |
Proposed Sales Price ($/Mcf) |
|
8 |
4/1/2025-3/31/2026 |
5,600 |
5,000 |
7.80 |
- |
|
9 |
4/1/2026-3/31/2027 |
5,600 |
5,000 |
7.89 |
9.00 |
|
10 |
4/1/2027-3/31/2028 |
5,600 |
5,000 |
7.98 |
10.25 |
|
11 |
4/1/2028-3/31/2029 |
- |
0 |
- |
11.75 |
With TA581-18, MEA seeks to add a COPA cost element to recover the costs associated with natural gas storage in Hilcorp Alaska Gas Storage LLC's underground storage facility, including capacity and reservation charges and other withdrawal-related costs. The cost of the withdrawn natural gas will be determined using the prior month's average cost of stored natural gas.
This notice does not contain all requested revisions, and the Commission may approve a rate or classification, which varies from those proposed. You may obtain more information about these filings by contacting Tyler Clark, Manager of Financial Planning and Regulatory Affairs at MEA, at P.O. Box 2929, Palmer, AK 99645; phone: (907) 761-9257. The complete filings are also available for inspection at the Commission's office, at 701 West Eighth Avenue, Suite 300, Anchorage, AK 99501; phone: (907) 276-6222, or may be viewed on the Commission's website at http://rca.alaska.gov by typing "TA580-18" or "TA581-18" in the Find a Matter search box.
To comment on these filings, please file your comments by 5:00 p.m. on February 3, 2026, at the Commission address given above or via our website at:
https://rca.alaska.gov/RCAWeb/WhatsNew/PublicNoticesComments.aspx
Please reference TA580-18 and/or TA581-18 and include a statement that you have filed a copy of the comments with MEA at its address above. Individuals or groups of people with disabilities, who require special accommodations, auxiliary aids or service, or alternative communication formats, please contact Shelby Lopez at (907) 276-6222, toll-free at 1-800-390-2782, or TTY/Alaska Relay: 7-1-1 or 1 (800) 770-8973 or send a request via electronic mail to [email protected] by January 27, 2026.
DATED at Anchorage, Alaska, this 20th day of January, 2026.
REGULATORY COMMISSION OF ALASKA
John Paul Manaois
Engineering Section Manager