Keystone XL Pipeline Moving Forward

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Keystone XL Pipeline Moving Forward

 

After years of delay, the Keystone XL Pipeline cleared its last significant regulatory hurdle. TransCanada is now free to complete its controversial multi-billion pipeline project.

 

This final approval came when the Nebraska Public Service Commission granted approval for TransCanada to build the pipeline through that state. On a 3-2 vote, the PSC supported an alternate route for the Keystone XL Pipeline instead of TransCanada’s first choice. This new route will not go through the state’s Sandhill region.

 

President Obama had stopped this project at the federal level. TransCanada initially applied for a federal permit in 2008 to allow the pipeline to cross the U.S./Canadian border. In 2015, Congress passed legislation that would authorize the construction of the pipeline. President Obama vetoed this bill. Later that year, he rejected TransCanada’s application to build. President Trump reversed this action when he took office, clearing the way for Nebraska’s consideration of the issue.

 

Business and labor groups support the pipeline, saying that it will create jobs and provide the U.S. with a reliable supply of oil. Environmentalists oppose the pipeline because it will be carrying petroleum from oil sands in Canada. They also have concerns about the pipeline’s potential impact on Nebraska’s water supply.

 

Approval of the alternate route means that TransCanada will have to devise new agreements with landowners, something that will further delay the pipeline’s completion. However, barring any court challenges, the fight over the fate of the Keystone XL Pipeline appears to be over.

 

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