Why keystone pipeline

Several extensive regulatory studies conducted over the past decade as part of an unprecedented regulatory review concluded the pipeline would enhance the American economy while protecting the environment. A Presidential permit to construct the pipeline was issued in , after the Obama Administration halted the project despite a favorable environmental review from the State Department.

The Chamber has long supported the Keystone XL pipeline. GDP growth, including millions in state and local tax revenue. On January 20, , President Biden announced his intention to revoke the Presidential Permit to construct the pipeline. Skip Navigation. Key Points. The Keystone XL pipeline was expected to carry , barrels per day of Alberta oil sands crude to Nebraska. The project was delayed for the past 12 years due to opposition from U.

In this article. This has proved to be untrue. Dealing in tar sands oil is an expensive endeavor. Indeed, moving crude by rail to the Gulf costs substantially more than moving it by pipe. For companies considering whether to invest in a long-lived tar sands project which could last for 50 years , access to cheap pipeline capacity plays a major role in the decision to move forward or not. The oil industry lobbied hard to get KXL built by using false claims, political arm-twisting, and big bucks.

When TC Energy said the pipeline would create nearly , jobs, a State Department report instead concluded the project would require fewer than 2, two-year construction jobs and that the number of full-time, permanent jobs would hover around 35 after construction. Furthermore, we know that ambitious action on climate change—including investments in green energy alternatives—carries huge potential for job creation.

Dirty energy lobbyists claimed developing tar sands would protect our national energy security and bring U. But NRDC and its partners found the majority of Keystone XL oil would have been sent to markets overseas aided by a reversal of a ban on crude oil exports —and could have even led to higher prices at U. The decision echoed a seven-year State Department review process with EPA input that concluded the pipeline would fail to serve national interests.

Upon entering office, President Trump—with his pro-polluter cabinet of fossil fuel advocates, billionaires, and bankers—quickly demonstrated that his priorities differed. On his fourth day in office, Trump signed an executive order to allow Keystone XL to move forward.

When that failed—thanks to a lawsuit brought by NRDC and other groups—Trump reissued the cross-border permit himself. Opposition outside the courts was swift and strong as well. Even as Trump and TC Energy tried to revive the pipeline, polls showed that a majority of Americans opposed it. The market case had also deteriorated. Low oil prices and increasing public concern over the climate have led Shell, Exxon, Equinor then Statoil , and Total to either sell their tar sands assets or whittle them down.

Because of this growing market recognition, major new tar sands projects haven't moved forward with construction for years, despite investments from the government of Alberta, Canada. For example, in , Teck Resources withdrew its year application to build the largest tar sands mine in history, citing growing concern surrounding climate change in global markets.

On the campaign trail, Biden vowed to cancel the Keystone XL cross-border permit should he win the presidency—and on his first day in office, he made good on that promise. In June, TC Energy announced that it was abandoning its plans for building the pipeline for good—putting an end to a fossil fuel project that had loomed over waterways, communities, and the climate for more than a decade.

While the tar sands industry was once seen as an unbeatable opponent in a David-and-Goliath fight, the victory against Keystone XL shows that the tables have begun to turn—and that more power now lies with the advocates for climate justice than ever before. This story was originally published on April 7, and has been updated with new information and links. The notorious tar sands pipeline was a lightning rod in the fight against climate change and the seemingly unstoppable oil industry.

Frontline Indigenous youth, who have been standing up against destructive oil pipelines for years, are imploring President Biden to join them in protecting their water, lands, and cultures.