CEA Candidate Questions: Jim Nordlund
Voting in Chugach Electric Association’s board election will open on April 19. Electronic ballots are due by 3 p.m. on May 19. Paper ballots must be received by May 18. Members can also vote in person at the CEA Annual Meeting held at Changepoint Alaska on May 19 at 6 p.m. More information on voting and candidates can be found on the CEA Election page.
Here are the answers from Jim Nordlund. Now retired, he served as Executive Director of NeighborWorks Alaska and as Alaska State Director for USDA Rural Development. Nordlund is a former state legislator and previously served three terms on the CEA Board from 2006-15. His full candidate profile can be found here.
1. Why do you want to serve on CEA’s Board?
I have long been an advocate for renewable energy as my background will show. While Chugach is a well-managed organization with good employees, they have not been advocating strongly enough for renewable energy since I left the Board in 2015. Renewables help to diversify the generation portfolio which is inherently a good goal. Since that time the impact of climate change has become more obvious and Chugach as a member/citizen-owned organization should do more to reduce our carbon impact by burning less natural gas. Adding fuel to the fire is the fact that less expensive natural gas is running out in Cook Inlet. And now, new federal infrastructure acts are providing over $100 billion to electric cooperatives to improve their systems and adopt clean energy. The time to act on renewables is now, and that’s why I am running.
2. Are there any particular policies you would champion as a member of the Board? Are there any current or proposed policies you would oppose?
As mentioned above, I would champion the diversification of Chugach’s generation portfolio to become significantly less dependent on natural gas.
I also think it would benefit ratepayers throughout the Railbelt for the electric utilities to cooperate and coordinate better. There has been progress in this regard through the standing up of the Railbelt Reliability Council, but there needs to be continuous attention to this effort with assurances of significant consumer representation.
Chugach performs an essential service. As such, the Association should hire competent, well-trained, and fairly compensated employees and provide good working conditions.
As a member-owned cooperative association, Chugach is a democratic organization where the members not only have the right to vote for their leadership but should be fully informed of the issues facing the organization. As such, executive sessions of the board should be kept to a minimum.
3. What are the biggest challenges CEA will face in the next five to ten years? What can be done to prepare to meet them?
The challenge overshadowing all others is the diminishment of natural gas in Cook Inlet. 80% of Chugach’s power is generated by natural gas. The importation of liquid natural gas is now being considered by the utilities. What can be done is to further diversify the generation fuel mix and in a way that reduces our carbon footprint. This solution can be delivered by renewables and the development of storage capabilities for intermittent solar and wind power. Inevitably we will depend on some natural gas generation, but if it can be limited it will save money and preserve gas for home heating.
4. In 2022 CEA’s Board spent over 60% of their regular public board meetings in Executive Session. While Executive Sessions are sometimes necessary, their extensive use excludes member-owners from significant discussions of issues such as strategic planning and sources of power generation. Do you believe that cooperative boards have an obligation to their member-owners to maximize the openness and transparency of their decision making? Should CEA’s Board minimize its use of Executive Session? What could be done to achieve this goal?
My answer to the first two questions is yes and yes, as implied in my answer to question 2 above. Every time the board goes into executive session they have to vote on a motion to do so. If at least one of the three reasons that state law allows for executive session is not met, in my view, I will vote no. I would also remind my fellow board members that they may be in violation of Alaska’s open meeting act.
5. Hilcorp has said that it cannot guarantee natural gas supplies from Cook Inlet beyond its current contracts (CEA’s contract with Hilcorp ends in 2028). Production for CEA’s Beluga River Unit is currently expected to end in 2033. What strategies should CEA use to address potential future shortfalls in Cook Inlet natural gas?
My answer to this question should have been adequately addressed by my answer to the preceding questions.
6. In recent years many have argued that there needs to be greater collaboration among the Railbelt utilities, leading to the creation of the Railbelt Reliability Council (RRC) in 2022. Do you believe that utility Board Directors have a role in fostering greater collaboration and integration among Railbelt utilities, or should they defer to staff on these questions? What can board members do to facilitate greater cooperation?
As evidenced by my answers above, I strongly believe in improved cooperation between the Railbelt utilities. Employing economic dispatch by all electric utilities across the Railbelt will save consumers money. This requires an attitude by utility boards and staff that the least expensive generation should meet demand first regardless of where it is generated on the grid. Granted, the Railbelt grid has weak spots that need significant investment to make economic dispatch work most effectively and to improve the opportunity for renewables to access the grid. Advocating for this investment is something all Railbelt utilities should support in a unified way. As the governing bodies of these organizations, the boards have a direct responsibility in fostering cooperation.
7. The Renewable Portfolio Standards (RPS) proposal introduced last year by Governor Dunleavy was recently reintroduced in the Alaska Legislature (HB 121 and SB 101). This bill would require utilities to reach 80% renewable power generation by 2040 with intermediate targets along the way. Last year the Railbelt utilities supported amendments that pushed back the milestones and changed the RPS into Clean Energy Standards (CES) that included nuclear power and gas generation technologies (waste heat recovery) that the utilities already have in place. Do you support either the RPS or CES? If so, which do you believe would better serve Alaskans? What role should the Board have in advocacy for either?
I have served on the Renewable Energy Alaska Project (REAP) Board for several years and I am currently the Chair. The REAP staff and board wrote the bill which was recently introduced in the legislature and I played a key role. We support an RPS over a CES because the CES, as proposed last year, provided too many loopholes enabling utilities to avoid actively pursuing renewables. If I am elected to the Chugach Board, I would introduce a resolution that we support the RPS as introduced this year.
8. How do you think CEA can best take advantage of the many federal infrastructure incentives and grants created under programs such as the Infrastructure Investment and Jobs Act (IIJA) and Inflation Reduction Act (IRA)?
These new federal laws present a once in a lifetime opportunity for Chugach to receive federal help to improve our systems. Over $100 billion is being made available to electric cooperatives across the country to do such things as improve cyber security, bolster grid resiliency, and develop clean energy. Funding opportunities will be coming out in the next year, and the grant application process is involved, so Chugach staff will need to be well prepared to seek these funds.