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Alaska leaders discuss renewable energy potential for data centers and transport corridor

February 28, 2025 | 2025 Legislature Alaska, Alaska


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Alaska leaders discuss renewable energy potential for data centers and transport corridor
During a recent meeting of the Alaska Legislature's House Finance Committee, discussions centered on the potential for data centers and energy projects in rural Alaska, highlighting the state's unique opportunities and challenges.

One of the key topics was the interest in developing data centers in Alaska, particularly in areas with access to renewable energy. Representative Hannon raised questions about the feasibility of attracting data centers to the state, noting that while Alaska has ample space and cool temperatures, the availability of cheap energy remains a concern. The Alaska Development Authority (ADA) has primarily focused on smaller-scale renewable energy projects rather than large data centers. They see potential in communities like Angoon and Cordova, which could benefit from excess hydroelectric power once projects like the Thayer Lake dam are completed.

The Thayer Lake project, which requires approximately $3 million to finish, is crucial for Angoon, a community currently reliant on expensive diesel power. The completion of this hydro project could provide the necessary energy to attract small-scale data operations, which could generate revenue and support local economies.

In addition to energy discussions, Representative Johnson brought attention to the potential for a transportation corridor connecting Alberta to Alaska. This corridor could significantly impact the Mat-Su Borough, particularly through the development of a port at Point McKenzie. Johnson emphasized the importance of maintaining existing permits for this project, which could facilitate oil transportation and economic growth.

The meeting underscored the importance of strategic investments in energy and infrastructure to harness Alaska's natural resources and support community development. As the state looks to the future, the outcomes of these discussions could play a vital role in shaping economic opportunities for residents across Alaska.

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