The Interior's Power Math
Golden Valley Electric's board weighs $120 million in new gas capacity today, and its members carry the debt.
The deck
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The story
The turbine would be firm, dated, gas-fired power. The AI data-center loads that make firm capacity feel urgent are still acreage and proposals on Air Force land. Meanwhile GVEA members just absorbed the largest fuel-charge increase in the co-op's history.
Nine slides on what members already paid, what the machine actually buys, and which loads are still on paper. The vote happens in executive session.
Should members finance firm capacity now, or wait until a load actually signs?
What we verified
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GVEA's board is set to weigh buying a second LM6000 turbine in an executive session on July 13.
The North Pole plant installed a 47-megawatt naphtha-fired LM6000 in 2006 along with a 17-megawatt steam turbine.
The LM6000 is made by General Electric.
The Department of the Air Force is offering approximately 4,700 acres of underutilized land for potential AI data centers.
Twelve parcels have been identified for potential data-center development across JBER, Eielson AFB and Clear Space Force Station.
The parcels would be offered under the Enhanced Use Lease model, which leases non-excess property to partners for long-term use.
The FY2027 NDAA provisions would require rigorous grid impact assessments before executing or renewing any Enhanced Use Lease for a data center.
The FY2027 NDAA would direct a strategy and roadmap to mitigate local community impacts during construction of private data centers on military installations.
According to Sullivan's office, the FY2027 defense bill authorizes about $2.6 billion for Alaska.
The Fairbanks North Star Borough is designated a 'Serious' PM2.5 nonattainment area under the 2006 standard.
GVEA's fuel and purchased power charge rose 7.8 cents per kilowatt hour to 20.7 cents per kilowatt hour effective June 1, 2026, an increase of 61 percent over the prior quarter.
A new LM6000 unit would cost about $120 million.
The average GVEA member's monthly bill rose about $45.74 under the June 1, 2026 fuel-charge change.
The fuel GVEA buys for its power plants rose from about $2.50 a gallon in late February to $5.10 a gallon, more than double.
GVEA has been running its diesel units harder because it is not getting energy from Southcentral, per CEO Travis Million.
GVEA has seen higher electricity load across residential and industrial members than historically, per CEO Travis Million.
GVEA's June 1, 2026 fuel-charge increase was the largest in the co-op's history.
News-Miner reports demand for the units has increased due to a surge in large data centers that require a guaranteed power supply.
In April 2026 the board approved $50,000 to reserve an order spot for the generator.
The board approved a $25.6 million overhaul of its 1970s-era GT1 diesel generators.
An LM6000 can generate between 45 and 58 megawatts of power on its own.
Paired with a steam turbine or battery storage the unit could produce between 76 and 152 megawatts.
Ordering and installing a new LM6000 could take at least three to five years.
GVEA's president is Travis Million.
Beats
This article is on Alaska data centers · Alaska power and the grid · Alaska land and permitting for AI · Defense and federal AI in Alaska · Alaska AI policy and legislation. Each beat page keeps every decision and every article on that subject in one place.