AK SB136

Establishes additional covenants for noncompetitive state land leases for natural gas pipelines valued at $1,000,000 or more that originate and terminate within Alaska, including requirements for biennial market assessments and binding open seasons for expansion capacity.

Requires pipeline operators to propose and support recovery of expansion costs through rolled-in rates to existing shippers, subject to specified rate increase caps (15 percent for initial capacity, 115 percent for expansion capacity).

Mandates pipeline operators to offer distance-sensitive rates to in-state delivery points, hire qualified Alaska residents to maximum extent permitted by law, contract with in-state businesses, and negotiate project labor agreements.

Creates conditional certificates for new natural gas pipelines when applicants lack committed financing or firm transportation commitments, allowing the Regulatory Commission of Alaska to issue certificates upon finding public interest and meeting other requirements.

Amends definitions of "firm transportation service" and "common carrier" to clarify that firm service is not subject to reduction unless overall pipeline capacity diminishes, and that common carriers can offer both firm and interruptible service.