Sullivan Secures Additional $10 Million in Energy Cost Relief for Alaskans

WASHINGTON-U.S. Senator Dan Sullivan (R-Alaska) today announced $10 million in federal funding to address high energy costs for Alaskans-in addition to the state's existing Low-Income Home Energy Assistance Program (LIHEAP) allocation of $12,158,876. Sen. Sullivan worked closely with the White House Office of Management and Budget (OMB) and the U.S. Department of Health and Human Services (HHS) to identify and secure the funding. It is the second initiative of the National Energy Dominance Council's (NEDC) Alaska Energy Task Force, whichSen. Sullivan and NEDC Chair and Secretary of the Interior Doug Burgum announced in May.

"Alaskans deal with the highest cost of living in the nation, and the recent disruptions to energy supplies have only made this challenge more urgent," said Sen. Sullivan. "Today, I'm glad to announce we've secured $10 million in additional federal funding to offset home energy costs for low-income Alaskans. Coupled with the EPA emergency fuel waiver we announced several weeks ago, this targeted funding is focused on giving Alaska's hard-working families immediate relief. But we're also continuing to make major progress on more sustainable ways to lower energy costs for Alaskans: My team and I have worked relentlessly to achieve a renaissance of production on the North Slope, increase TAPS throughput, and maintain strong momentum behind the Alaska LNG project, which offers Alaskans a nearly inexhaustible supply of our own affordable energy. We've also made great strides in investing in our infrastructure, such as securing more than $100 million for the Denali Commission to upgrade bulk fuel tanks in our many rural communities. Together, these efforts are part of a larger strategy to lower energy costs and make life more affordable for Alaskans. I want to thank Secretary Kennedy, Secretary Burgum, and the National Energy Dominance Council team for recognizing the unique affordability challenges we have in Alaska and for working collaboratively with me and my team to provide real energy cost relief for households across our great state."

"Senator Sullivan's leadership helped secure $10 million in funding so vulnerable Alaskans can be safe in their homes," said HHS Secretary Robert F. Kennedy Jr. "At HHS, we will continue working with our partners to lower energy costs, protect health, and ensure American families have the support they need."

LIHEAP funding is used for home heating assistance, weatherization and building upgrades, and crisis assistance. Payments from the new funding pool will be distributed in September and automatically administered based on existing LIHEAP applications. In FY 2025, LIHEAP provided home heating assistance to more than 4,300 Alaska households, with an average award of $1,554.

NEDC Alaska Energy Task Force Background

In May 2026, NEDC Chairman and Interior Secretary Doug Burgum joined Sen. Sullivan in Alaska, including visits to Fairbanks and the new North Slope developments of Pikka and Willow. During his visit, Sec. Burgum and Sen. Sullivan announced a new NEDC Alaska Energy Task Force focused on the immediate challenge of high energy costs in Alaska.

On July 17, Sen. Sullivan announced the first initiative of the task force: Environmental Protection Agency (EPA) Administrator Lee Zeldin issued an emergency fuel waiver under Section 211 of the Clean Air Act, an action the Senator had been advocating for as a way to relieve pressure on fuel prices in the state.

In July 2025, the EPA transferred $100 million to the Denali Commission to support major upgrades to bulk fuel tank farms in Alaska following months of advocacy by Sen. Sullivan and his team with EPA Administrator Lee Zeldin.

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