Bulk Fuel Upgrade Blitz One Year In
Less than a year ago the Denali Commission received $100,000,000 from the US Environmental Protection Agency (EPA) targeted to upgrade the bulk fuel storage facilities in ten rural Alaskan communities. The Denali Commission contracted with Alaska Native Tribal Health Consortium (ANTHC) to administer the grant and the Alaska Energy Authority (AEA) and Alaska Village Electric Cooperative (AVEC) were each awarded contracts to manage projects in five communities. This is life changing
money for the communities involved. Bulk fuel storage is the foundation of
energy security for communities off the road system which rely on storing
enough heating oil, transportation fuel, and diesel fuel for power generation
to get through the year. Resupply usually only happens once or twice a year
in the ice-free months of summer. However, all this money and promise came with a catch. The projects have to be completed in three years. Weather and logistics in Alaska are notorious for knocking projects off schedule. Even completing one bulk fuel upgrade from funding to finish in three years can be a challenge. Completing ten projects concurrently is a heavy lift; putting a strain on the limited resources of everyone from grant administrators to painting contractors. This past winter was a full court
press for contract negotiations, community meetings, design team meetings, procurement bids,
land acquisition, cargo bookings and overall project coordination between agencies, communities,
contractors and vendors. These bulk fuel projects retire old at-risk facilities, used not just for power generation but for
bulk fuel storage facilities for the whole community. Often, the new facilities are co-located in one area. They are raised above flood level with earthen pads or steel piles, installed in secondary containment and provided piping, lighting, fencing, and signage to be code compliant; serving the communities for years to come and minimizing the environmental risks of fuel spills. AEA is managing the projects for the communities of Aniak, Eek, Russian Mission, Shageluk and Tuluksak, while AVEC is managing Kivalina, Kobuk, Noatak, Quinhagak and Wales. Tanks have been purchased for all the projects and are being fabricated for delivery over the next two years. Contractors are hitting the beaches this year to begin construction in Kivalina, Wales and Eek. It is an astounding accomplishment and a testament to the tremendous effort and coordination of all involved to have designs and permits in hand, materials on the way and people and equipment in the communities ready to begin in this first construction season since award. Many people from many companies are applying many years of experience to get this done. In Alaska, summer can go by in the blink of an eye. And in three blinks, we need to have these done.
(Published July 2026)