Icicle energizes its 'calculated risk' at Adak

Regular visitors know Deckboss likes to keep track of happenings out on Adak, the remote Aleutian island with a rather tumultuous history as a commercial fishing port.

As previously reported, a subsidiary of Seattle-based Icicle Seafoods Inc. took over the Adak processing plant in the spring.

Now here's a little news: The Regulatory Commission of Alaska recently approved a special contract between Icicle and the local power company, TDX Adak Generating.

Under the contract, TDX will supply "interruptible" power to Icicle, with existing residential and commercial customers having priority.

Power supply had been a problem for previous operators of the Adak plant.

While commissioners said they initially were concerned about the potential for "rate subsidization" of Icicle, the RCA ultimately held that the special contract will be good for all local power customers.

Here is the agency's eight-page order. It has a few details about Icicle's work to refurbish the plant, which concentrates on Pacific cod.

Also, here is an Icicle letter from late August that discusses the company's "calculated risk" at Adak.

Adak electric consumers, prepare for a shock

Goodness knows Deckboss has posted plenty of gnarly news out of Adak Island over the past couple of years.

Now here's more: The local electric utility, TDX Adak Generating, is asking state regulators to approve a 136 percent rate increase for all residential and commercial customers.

Here's the letter to the Regulatory Commission of Alaska spelling out the reasons for the steep rate hike.

More from Adak

Followers of the Adak conflict will recall how, in February, a federal judge rejected Aleut Enterprise's effort to evict Adak Seafood from the island's only processing plant.

That was a big victory for the tenant.

Now, here's news of a significant victory for the landlord.

The Regulatory Commission of Alaska has issued a seven-page order dismissing Adak Seafood's attempt to force Aleut's subsidiary, Adak Petroleum, to sell fuel to the processor.

Adak Seafood wanted the RCA to regulate the fuel business, arguing it is a "public utility" as the only fuel supplier on the island.

The RCA disagreed.

Adak fight boils over into new arena

Deckboss visitors know we've been keeping pretty close tabs on the standoff between Adak Seafood and its reluctant landlord, Aleut Enterprise.

Thus far the dispute has been waged vigorously in the bankruptcy court, the state courts and U.S. District Court.

Now Adak Seafood is taking the fight to a new arena, filing this
formal complaint today with the Regulatory Commission of Alaska.

A lawyer for Adak Seafood, which is trying to re-establish fish and crab processing in Adak Island's lone packing house, accuses Adak Petroleum of abusing its monopoly by refusing to sell diesel fuel to the plant.

Adak Petroleum, the island's only fuel supplier, is an Aleut Enterprise subsidiary.

Without the fuel to run a backup generator, tons of seafood could rot and go to waste in the event of an electrical power outage, Adak Seafood's complaint says.

Indeed, it appears this is the landlord's intent — a catastrophic loss "to kill" Adak Seafood, contends company lawyer Brewster Jamieson.

He urges the RCA, which regulates utilities, to extend its authority over Adak Petroleum, which currently "operates illegally, far from the watchful eye of any regulatory body."

Jamieson says Adak Petroleum charges exorbitant prices to "gouge" its customers, and is putting the island's environment at risk as evidenced by a recent spill.

Well, Deckboss will be sure to watch for the other side of the story, which he trusts will be filed in short order with the RCA.