Alaska House Bill 271 Extends Royalty Relief for Cook Inlet

Legislation aims to support continued natural gas production in the region

Published on Feb. 22, 2026

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House Bill 271, introduced by Rep. Zack Fields, D-Anchorage, seeks to indefinitely extend a 3% royalty rate for the Kitchen Lights unit in Cook Inlet that was approved by the Alaska Department of Natural Resources in 2025. The bill had its first hearing in the House Resources Committee on February 4.

Why it matters

The royalty relief is intended to support continued natural gas production in the Cook Inlet region, which is an important energy source for Alaskans. Extending the reduced royalty rate could help maintain the economic viability of operations in the mature Cook Inlet basin.

The details

House Bill 271 would codify the 3% royalty rate that was previously approved by the Alaska Department of Natural Resources for the Kitchen Lights unit in Cook Inlet. This reduced rate was intended to incentivize continued natural gas production in the region, which has seen declining output in recent years.

  • The 3% royalty rate was approved by the Alaska Department of Natural Resources in 2025.
  • House Bill 271 had its first hearing in the House Resources Committee on February 4, 2026.

The players

Rep. Zack Fields

The Democratic representative from Anchorage who introduced House Bill 271.

Alaska Department of Natural Resources

The state agency that approved the 3% royalty rate for the Kitchen Lights unit in 2025.

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What’s next

The House Resources Committee will continue to consider House Bill 271 and may schedule additional hearings or votes on the legislation.

The takeaway

The proposed royalty relief for the Kitchen Lights unit in Cook Inlet is an effort by Alaska lawmakers to support the state's natural gas production in the face of declining output in the mature basin. The bill's progress will be closely watched by the energy industry and consumers who rely on Cook Inlet gas.