Like the federal stimulus package, Alaskans may receive additional financial relief in the form of a $100-a-month debit card. Governor Sarah Palin has proposed an energy cost relief plan, which would combine the energy credit cards with state contributions to electric utilities to slash bills to ratepayers.

The $1.2-billion program would come from the huge budget surplus the state government has accumulated as a result of high oil prices.

Palin hopes the Legislature will approve the plan by this Summer so that payments can begin by September. The utility grants would account for a 60-percent reduction for all ratepayers.

Alaskans who qualify for this year's Permanent Fund dividend check, would also be eligible for the $100 "Energy Debit Card", which will contain "merchant codes" to prevent cardholders from using the credit for anything other than energy needs. Cardholders will be able to use their credit at gas stations, fuel distributorships, utilities and other fuel and energy vendors. Alaskans who activate the card will have to pay federal income taxes on it, however remaining balances from each month would roll over to the next month.

According to the American Automobile Association, on Friday Alaska became the first state to see the average pump price per gallon of unleaded gas top $4.

However for some legislators the $1.2-billion price tag doesn't sit well with them.

House Speaker John Harris has been an advocate of the energy cost relief, but he has second thoughts about the debit cards. Harris worries that Alaskans may sell their debit card and use the money to buy something else.

Many legislators claim they need time to analyze the proposal before they can determine their stance on the issue.

Initial estimates put the state's cost for the debit cards and electric utilities grants at $729-million and $475-million, respectively. Palin said this is a cost the state can afford.

With oil prices around $120 a barrel, more money from royalties is expected than had been previously forecasted a month and a half ago. So much so that even if prices gradually decline over the next year, the state would still find itself with an extra $2.7-billion than the previous forecast had predicted, said Revenue Commissioner Pat Galvin.

On the other hand if oil prices continue to grow at the same rate that they have in the past few weeks, the state could get an additional $1.8-billion in the upcoming three months as predicted by financial markets, said Galvin.

At the moment there has not been any discussion as to when the Legislature will meet to discuss the plan. So for now the issue remains in a tentative state.