Representative Walter Jones sent the email below with two articles on the Keystone Pipeline:
I thought you might be interested in seeing two editorials from today-one from the Wall Street Journal, and even one from the Washington Post-regarding President Obama’s decision to reject the Keystone XL pipeline. The editorials do a great job of showing what is at stake with Keystone XL and why President Obama should reconsider.
It is incomprehensible for this president to spend so much time talking about jobs, and then to reject a proposal that would create thousands of jobs. Americans are tired of the lip service; we want action. Keystone XL has been studied to death. Even the president’s own State Department has twice determined that the project would have “no significant impacts” on the environment. It’s time for the president to stop the excuses and start creating jobs.
Obama’s Keystone pipeline rejection is hard to accept
By Editorial Board, Published: January 18
ON TUESDAY, President Obama’s Jobs Council reminded the nation that it is still hooked on fossil fuels, and will be for a long time. “Continuing to deliver inexpensive and reliable energy,” the council reported, “is going to require the United States to optimize all of its natural resources and construct pathways (pipelines, transmission and distribution) to deliver electricity and fuel.”
It added that regulatory “and permitting obstacles that could threaten the development of some energy projects, negatively impact jobs and weaken our energy infrastructure need to be addressed.”
Mr. Obama’s Jobs Council could start by calling out . . . the Obama administration.
On Wednesday, the State Department announced that it recommended rejecting the application of TransCanada Corp. to build the Keystone XL oil pipeline, and Mr. Obama concurred. The project would have transported heavy, oil-like bitumen from Alberta — and, potentially, from unconventional oil deposits in states such as Montana — to U.S. refineries on the Gulf of Mexico coast.
Environmentalists have fought Keystone XL furiously. In November, the State Department tried to put off the politically dangerous issue until after this year’s election, saying that the project, which had undergone several years of vetting, required further study. But Republicans in Congress unwisely upped the political gamesmanship by mandating that State make a decision by Feb. 21. Following Wednesday’s rejection, TransCanada promised to reapply — so the administration has again punted the final decision until after the election.
We almost hope this was a political call because, on the substance, there should be no question. Without the pipeline, Canada would still export its bitumen — with long-term trends in the global market, it’s far too valuable to keep in the ground — but it would go to China. And, as a State Department report found, U.S. refineries would still import low-quality crude — just from the Middle East. Stopping the pipeline, then, wouldn’t do anything to reduce global warming, but it would almost certainly require more oil to be transported across oceans in tankers.
Environmentalists and Nebraska politicians say that the route TransCanada proposed might threaten the state’s ecologically sensitive Sand Hills region. But TransCanada has been willing to tweak the route, in consultation with Nebraska officials, even though a government analysis last year concluded that the original one would have “limited adverse environmental impacts.” Surely the Obama administration didn’t have to declare the whole project contrary to the national interest — that’s the standard State was supposed to apply — and force the company to start all over again.
Environmentalists go on to argue that some of the fuel U.S. refineries produce from Canada’s bitumen might be exported elsewhere. But even if that’s true, why force those refineries to obtain their crude from farther away? Anti-Keystone activists insist that building the pipeline will raise gas prices in the Midwest. But shouldn’t environmentalists want that? Finally, pipeline skeptics dispute the estimates of the number of jobs that the project would create. But, clearly, constructing the pipeline would still result in job gains during a sluggish economic recovery.
There are far fairer, far more rational ways to discourage oil use in America, the first of which is establishing higher gasoline taxes. Environmentalists should fight for policies that might actually do substantial good instead of tilting against Keystone XL, and President Obama should have the courage to say so.
The Anti-Jobs President
Obama rejects the Keystone XL pipeline and blames Congress.
The central conflict of the Obama Presidency has been between the jobs and growth crisis he inherited and the President’s hell-for-leather pursuit of his larger social-policy ambitions. The tragedy is that the economic recovery has been so lackluster because the second impulse keeps winning.
Yesterday came proof positive with the White House’s repudiation of the Keystone XL pipeline, TransCanada’s $7 billion shovel-ready project that would support tens of thousands of jobs if only it could get the requisite U.S. permits. Those jobs, apparently, can wait.
Unless the President objected, December’s payroll tax deal gave TransCanada the go-ahead in February to start building the pipeline, which would travel 1,661 miles from Alberta to interconnections in Oklahoma and then carry Canadian crude to U.S. refiners on the Gulf Coast.
The State Department, which presides over the Keystone XL review because it would cross the 49th parallel, claimed yesterday that the two-month Congressional deadline was too tight “for the President to determine whether the Keystone XL pipeline is in the national interest.” The White House also issued a statement denouncing Congress’s “rushed and arbitrary deadline,” which merely passed with overwhelming bipartisan support.
This is, to put it politely, a crock.
Keystone XL has been planned for years and only became a political issue after the well-to-do environmental lobby decided to make it a station of the green cross. TransCanada filed its application in 2008, and State determined in 2010 and then again last year that the project would have “no significant impacts” on the environment, following exhaustive studies. The Environmental Protection Agency chose to intervene anyway, and the political left began to issue ultimatums and demonstrate in front of the White House, so President Obama decided to defer a final decision until after the election.
The missed economic opportunity was spelled out Tuesday by Mr. Obama’s own Jobs Council, which released a report that endorsed an “all-in approach” on energy, including the “profound new opportunities in shale gas and unconventional oil.” The 27 members handpicked by the President recommended that he support “policies that facilitate the safe, thoughtful and timely development of pipeline, transmission and distribution projects,” and they warned that failing to do so “would stall the engine that could become a prime driver of U.S. jobs and growth in the decades ahead.”
Only last week the White House issued a “jobs” report praising domestic energy production, but that now looks like political cover for this anti-jobs policy choice.
State did give TransCanada permission to reapply using an alternate route, timetable indefinite. The construction workers, pipefitters, mechanics, welders and electricians who might otherwise be hired for the project—well, they must be thrilled with this consolation prize. Not to mention all the other Americans who might fill “spin-off” jobs on the pipeline’s supply chain like skilled manufacturers and equipment suppliers, or still others who might work in oil refining and distribution.
Environmentalists seem to think they can prevent the development of Canada’s oil-rich tar sands, and that their rallies against Keystone XL will keep that carbon in the ground. They can’t, and it won’t. America’s largest trading partner will simply build a pipeline to the Pacific coast from Alberta and sell its petroleum products to Asia instead, China in particular.
Such green delusions are sad, and Mr. Obama’s pandering is sadder, though everything the country stands to lose is saddest. If Mitt Romney and the other GOP candidates have any political wit, they’ll vindicate the Keystone’s “national interest” and make Mr. Obama explain why job creation is less important than the people who make a living working for the green anti-industrial complex.