Breaking News: End of the Line for Keystone XL Pipeline

After TransCanada hit the "pause button," President Obama hit "reject." The seven-year saga has come to an end, announced President Obama in a noon White House statement to the press on Friday where he took no questions.

2 minute read

November 6, 2015, 1:00 PM PST

By Irvin Dawid

"This morning, Secretary Kerry informed me that, after extensive public outreach and consultation with other Cabinet agencies, the State Department has decided that the Keystone XL Pipeline would not serve the national interest of the United States," stated the president. "I agree with that decision."

He added that the controversial "pipeline would neither be a silver bullet for the economy, as was promised by some, nor the express lane to climate disaster proclaimed by others." He offered these reasons for the State Department's rejection of application by TransCanada Corp., the pipeline's developer. In order:

  1. The pipeline would not make a meaningful long-term contribution to our economy.
  2. The pipeline would not lower gas prices for American consumers. The national average gas price is down about 77 cents over a year ago.  It’s down a dollar over two years ago. [See related post].
  3. Shipping dirtier crude oil into our country would not increase America’s energy securityThree years ago, I set a goal to cut our oil imports in half by 2020...we met that goal last year... (F)or the first time in two decades, the United States of America now produces more oil than we buy from other countries.

He went on to refute the claim the "old rules said we couldn’t promote economic growth and protect our environment at the same time." 

(H)omegrown American energy is booming, energy prices are falling, and over the past decade, even as our economy has continued to grow, America has cut our total carbon pollution more than any other country on Earth.

America is now a global leader when it comes to taking serious action to fight climate change.  And frankly, approving this project would have undercut that global leadership.  And that’s the biggest risk we face -- not acting.  

Is the seven-year saga really over? Well, not exactly. Clearly it won't go anywhere under President Obama, but depending on the outcome of next November's presidential election, TransCanada could start the process all over again.

In their Nov. 6 news release today they left open the possibility of "filing a new application to receive a Presidential Permit for a cross border crude oil pipeline from Canada to the United States."

Friday, November 6, 2015 in The White House

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