Denali Commission Distributes $100M to Address Rural Fuel Infrastructure Needs

“The Denali Commission is laser-focused on meeting the most urgent infrastructure needs in rural Alaska. This funding will deliver construction projects in ten communities where the need is not only real, but pressing. By working through trusted Alaska-based partners, we are ensuring that these dollars are deployed swiftly and effectively,” says Denali Commission Federal Co-Chair Julie Kitka.

ANTHC President and CEO Natasha Singh says, “Improving the reliability of power systems in rural Alaska supports access to water and sanitation services. Access to clean water is a proven way to reduce infections and increase community health outcomes. This investment is a bold step toward infrastructure equity for rural Alaska, ultimately helping to secure a sustainable future for Alaska Native communities.”

ANTHC serves as the primary grantee and project manager and will issue subawards to the Alaska Energy Authority and the Alaska Village Electric Cooperative to oversee construction in five communities each.

Fuel tank farms are critical in off-road-system communities to power electricity, heat, water treatment, clinics, and local economies. Many existing storage facilities are decades old and pose serious environmental and operational hazards. This investment ensures that the most vulnerable communities receive safe, modern, and reliable infrastructure first.

The three-year performance period for this grant begins August 1, 2025, and ends July 30, 2028. No cost-sharing is required, ensuring the full $100 million is dedicated to construction. The Denali Commission says it is committed to seeking additional funding to continue addressing the $1 billion need statewide through future phases of this work.

The Denali Commission, in the announcement, expressed appreciation to President Donald Trump and his administration, especially EPA Administrator Lee Zeldin, for recognizing the critical need in remote, rural Alaska. The Denali Commission also thanked the Congressional delegation for urging administration officials to see Alaska firsthand, as Zeldin did.

The Trump administration’s proposed federal budget would eliminate the Denali Commission, established in 1998 to direct infrastructure development in rural Alaska. However, Kitka says she has seen such proposals before and she is optimistic that the Congressional appropriations process will fund the commission.