12/21/2006 11:41:00 AM 

Opponents say LNG would hurt state tourism
Business people look to add their clout to anti-LNG campaign

By CASSANDRA PROFITA
The Daily Astorian

Some new players in the movement against liquefied natural gas own real estate and businesses that benefit from tourism.

They're worried the introduction of LNG ships and terminals will make the region less appealing to visitors who stay in hotels, disembark from cruise ships to shop and see cultural attractions and buy houses and condominiums to relocate here for the quality of life.

They met with LNG opponents from RiverVision, Columbia Riverkeeper, Friends of Living Oregon Waters, and the People for Responsible Prosperity under a new umbrella at the Cannery Pier Hotel Tuesday night.

The night was organized by Cannery Pier Hotel owner Robert "Jake" Jacob, who is ready to use his clout and that of other area business owners to challenge LNG developers.

"Other communities have come to realize that this is not a good thing, and they've fought it off," said Jacob. "These companies think there is a lack of knowledge and sophistication in this region, that we vote with our pocketbooks and we're easily swayed. That's what really got me."

There are five LNG terminals being considered for Oregon . Four are on the Columbia River and one is in Coos Bay . Northern Star Natural Gas' Bradwood Landing LNG proposal, located 20 miles east of Astoria on the Columbia River , is the farthest along in the federal approval process. This week, bankrupt Calpine Corp., the company that proposed the Skipanon Natural Gas LNG project on Warrenton's Skipanon Peninsula , announced it wants to transfer the project to a new company called Leucadia National Corp. The issue will be the subject of a meeting tonight.

Opponents have argued LNG is unsafe and bad for the environment, while supporters like the idea of a new industry bringing high-paying jobs and tax dollars to the region.

The fact that Northern Star Natural Gas has been offering money to community groups and salmon restoration efforts is a sign that LNG is bad for the region, said Jacob.

"If it was a clean business, they wouldn't have to spend all this money to get people's support," he said. "When I built this hotel I didn't have to bribe anybody to convince them it was a good idea."

The perception that Oregon is pro-environment and full of opportunities for outdoor recreation could be tarnished if LNG companies are allowed to site their facilities here, said Cannery Pier Hotel Sales Director Donna Quinn.

"Across the state, we're spending a ton of money to convince people to come here," she said. "A lot of people feel LNG could impact tourism statewide."

Ryan Davis, a local developer who is restoring the Red Building just south of the Cannery Pier Hotel, said he thinks an LNG terminal will deter people from coming to Astoria . If a terminal is located in Warrenton, he said, visitors will be able to see the storage towers from the riverfront. If one is sited at Bradwood Landing, the LNG tankers would be going by constantly.

"I just think it will have a drastic effect on tourism," he said. "That's what a lot of our building is based on - the locals and tourism alike."

Don West, president of the Astoria Lodging Association, attended the meeting as a citizen, but he said the issue of LNG and its effects on local hotels will be addressed at his group's next meeting in January.

"The worst possible scenario for the local tourism industry is if the cruise ships go away," he said. "That's 40,000 people who come to Astoria who could disappear because of (LNG)."

West has been looking at the other cities and towns that have said "No" to LNG, and it makes him wonder why there isn't more opposition on the North Coast .

"The one that gets me is Tijuana , Mexico ," he said. " Tijuana allows everything."

Local LNG opponent Peter Huhtala also attended the gathering Tuesday, and said he saw a lot of "the usual suspects," but also new faces.

"There were merchants and businesspeople and even some folks who happened to be staying at the hotel," said Huhtala. "It was the highest energy 'No LNG' meeting I've seen in a couple of years."

Huhtala said if enough businesspeople get involved in the anti-LNG campaigns, it could lead to more politicians taking a stand on the issue. When an LNG terminal was proposed in Mobile , Ala. , he said, a unified campaign against it included the mayor and city council and eventually reached the governor, who took a stand and helped defeat the project.

"This could well be a turning point," said Huhtala. "If we end up seeing the hospitality industry and Realtors weighing in, it starts to become more compelling politically to take the appropriate stand."