This past September, The Alpha Group exhibited at the 2005 Alaska Rural Energy Conference in Valdez, Alaska. This annual event brings together rural stakeholders, community leaders, politicians, vendors and consultants to discuss the challenges of providing power and communications to the farflung reaches of rural Alaska. This annual event brings together rural stakeholders, community leaders, politicians, vendors and consultants to discuss the challenges of providing power and communications to the farflung reaches of rural Alaska. The 2005 conference highlighted, more than ever, the state's dependency on fossil fuel and underlined the need to quickly develop alternative powering strategies. In many casesm rural villages depend significantly on diesel fuel to provide heat and power through the long winter months. Due to high costs of fuel distribution, diesel is sometimes transported only once a year. Recent oil price increases have dramatically affected the budgets of these small rural economies, jeopardizing the very survival of these communities.

In a presentation given by the Alaska Housing Finance Corporation (AHFC) a bleak picture was painted for rising oil prices versus rural community sustainability. The AHFC presenter explained that oil discoveries and production peaked in the 1950's and 1960's. With most existing wells reaching maturity, new discoveries are simply not occuring to offset reduced oilfield production coupled with increasing Third World demand. Furthermore, the cost of oil extraction increases as oil wells mature.

Today, Alaska finds itslef aggressively investigating the feasibility of solar power, geothermal energy, wind generation, wave/tidal, and coal/coal bed methane. Even nuclear power is being reviewed with a proposal by the City of Galena to consider purchasing Alaska's first nuclear power plant to power the town for 30 years at 20 to 30% of today's equivalent cost of diesel. Synthetic fuels (soy/vegetable-based) and fish oil diesel were also presented as means of reducing fossil fuel dependency.

Through this conference, The Alpha Group gained interest from builders, developers and individuals concerned with off-grid residential powering using Solaris 3500XP, Novus inverters and AlphaCell battery products. Additionally, there was interest in the Alpha Solar Power System (SPS) and Hybrid Power System (HPS) products for such applications such as SCADA (supervisory control and data acquisition) for oil/gas pipeline flow monitoring, power generation site management and communications.

The more rural the site, generally, the higher the cost to distribute utility power or fuel to remote residences. These customers desire an all-in-one alternative energy solution that can be tailored to the particular site conditions of the residence or remote business. While wind energy can conceivably be used, most remote residences will rely on battery recycling coupled with periodic operation of AC or DC gensets through periods of peak power and/or low solar activity.

Utilization of the Solaris 3500XP can significantly reduce the fuel requirements for those customers accustomed to full diesel, gas or propane dependency. The cost justification and fuel delovery autonomy afforded by residential use of the Solaris 3500XP or Alpha SPS and HPS systems will become even more attractive with each increase in the barrel price of oil.

Many consider Alaska the final frontier and this attracts significant residential development, much of it off-grid. With the increasing price of oil, residential hybrid powering will become increasingly affordable and will provide a hedge against fossil fuel cost unpredictability.