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How Obama Might OK Pipeline By Gerald F. Seib 2/19/13 One of President Barack Obama's trickiest political tasks early in his second term has nothing to do with taxes, budget or the debt ceiling. Rather, it will be his decision this spring on whether to give the go-ahead to the Keystone XL pipeline. Keystone XL—the proposed new spur of a transcontinental pipeline that would carry heavy crude oil from Canada to refineries on the U.S. Gulf Coast—was splitting Mr. Obama's Democratic coalition even before it became highly politicized when a decision was put off during last year's presidential campaign. Now, the temperature is rising. Environmentalists, whose admiration for Mr. Obama is about matched by their hatred of the pipeline and the oil it would transport, were busy over the weekend protesting in Washington in an attempt to stop the pipeline. Still, unions back the idea because of the construction and refining jobs it could create, and nine Democratic senators have joined 44 Republicans in a letter asking for approval. There is ample reason to think the second-term Obama White House, seeing openings to shake America's dependence on Middle East oil, would like to find a way to give the green light. And if that's so, a combination of forces are lining up in a way that should make it possible for Mr. Obama to get to a "yes" answer, while limiting the political fallout. One argument Mr. Obama can muster for Keystone XL is that the delay in approval that he ordered last year has worked, at least as far as environmental concerns go. It bought time for a change that addresses a principal worry, which was the route of the pipeline. Initially, the pipeline was to go through Nebraska's ecologically sensitive Sand Hills region. Even within deep-red Nebraska, environmental concerns about that route ran high enough to create a roadblock. Now, the route has been changed. A Nebraska state agency said last month the environmental risks of this new route would be "minimal," and Republican Gov. Dave Heineman just gave it a green light. Environmental groups aren't concerned merely with the route of the pipeline, of course, but with its very reason for existence: its use in facilitating the further burning of oil, and specifically oil extracted from Canada's tar sands, which is dirtier than average to produce. But on this front, the pipeline's symbolic importance outstrips its practical impact. Stopping Keystone won't stop Canada from producing the oil. The Canadians have too much invested in oil-sands extraction to simply stop. One likely effect of shutting down the pipeline—aside from deeply straining U.S.-Canadian relations—would be to divert the same oil into exports to Asia, for use by China, a country that is doing far less on other fronts to deal with climate change and dirty auto emissions than is the U.S. More immediately, tar-sands oil still would find its way to the U.S. by other routes—rail, truck and other pipelines—meaning its use won't be extinguished, but the efficiency by which it is brought to market would be diminished. More important, though, is the broader environmental backdrop of the Keystone decisions. The U.S. is starting to make meaningful progress on reducing greenhouse-gas emissions, despite the hard reality that it can't yet shake its addiction to oil. Thanks to a combination of forces—the increasing use of relatively clean natural gas, improved energy efficiency and, yes, a world-wide recession—the U.S. actually is on track to meet its goal of reducing its greenhouse-gas emissions to 17% below 2005 levels by 2020, a goal Mr. Obama laid out in late 2009. The U.S. is outpacing Europe in reducing carbon emissions. Which opens the door to the real path Mr. Obama can travel in selling Keystone XL approval to his party's base. It is possible to combine Keystone with other environmental moves to show that progress in cutting greenhouse gases will continue even as the pipeline is built. In his State of the Union address last week, Mr. Obama called on Congress to construct a "bipartisan, market-based solution to climate change," citing specifically an approach Republican Sen. John McCain and then-Democratic Sen. Joe Lieberman advanced several years ago. But if Congress doesn't act, Mr. Obama said, he would explore "executive actions" to reduce pollution and address climate change. That suggests the president would consider moving beyond an existing Environmental Protection Agency proposal to regulate emissions from new power plants and perhaps put new limits on emissions from existing coal-powered plants. Whatever the president has in mind specifically, it should be easier to sell Keystone XL if that decision is paired with one showing that the progress the U.S. already has made on climate change will continue, even if the U.S. can't soon kick its oil habit. That is precisely the picture Mr. Obama ought to be able to paint as the big decision point nears. Original article here
Nebraska utility says power project for Keystone XL will be delayed Associate Press 2/17/13 COLUMBUS, Neb. — A Nebraska utility says the new route for a proposed oil pipeline that would carry Canadian crude oil through the state will delay work on electric transmission lines for the pipeline. Nebraska Public Power District officials said they won’t be able to build the transmission lines by the deadline TransCanada set for the end of 2014. Nebraska Public’s Chief Operating Officer Tom Kent said there’s no way the transmission lines will be ready by 2015, the Columbus Telegram reported. “We have a lot of work to do,” he said. TransCanada’s proposed Keystone XL pipeline will carry Canadian crude to the Gulf Coast if it can win President Barack Obama’s approval. The proposed $7 billion pipeline would cross Montana, South Dakota, Nebraska, Kansas, Oklahoma and Texas. TransCanada also has proposed connecting it to the Bakken oil field in Montana and North Dakota. The southern section of the pipeline between Oklahoma and the Gulf Coast is already under construction, but TransCanada needs a presidential permit for the northern section because the pipeline crossed the U.S.-Canadian border. TransCanada altered the pipeline’s proposed path through Nebraska last year to avoid the environmentally sensitive Sandhills region and a couple towns’ drinking water wells. Nebraska Gov. Dave Heineman recently signed off on the new route. That new route forces the utility to redo design and planning work for all the areas where the pipeline route changed. Officials estimated that could take 12 to 24 months to complete. The utility expects to spend $44 million on the transmission lines, but TransCanada will have to reimburse the utility regardless of whether the pipeline is ultimately built. Environmentalists oppose the project because they worry the pipeline could contaminate groundwater reserves and threaten ecologically sensitive areas in Nebraska and other states along its 1,700-mile path. Thousands of people attended a protest in Washington, D.C., on Sunday to urge Obama to reject the pipeline. The crowds marched from the National Mall to the White House. Pipeline backers say the project will create thousands of jobs both in the construction of the pipeline and at refineries. Opponents say the pipeline won’t create nearly as many jobs as TransCanada has projected. Project supporters also say the project would give the United States a steady source of oil from a friendly neighboring country. Original article here
On January 29, 2013 I was on KETV's 6 o'clock news to talk about the bipartisan letter that I sent to president Obama signed by 144 other members of Congress urging him to approve the Keystone XL pipeline.
"So I think we should embrace it and develope a stakeholder-driven system of high standards for doing the work." Former President Bill Clinton said about the Keystone XL Pipeline.
Pain at the Pump In January 2009, the average price of gas was $1.85. Today prices are almost two dollars more per gallon. The only thing that has happened over the last few years is that America has dramatically curtailed production of our American resources, placing a greater reliance on foreign sources of energy. The result has been a volatility at the gasoline pump that has put a greater burden on Nebraskans, who are struggling to make ends meet in this difficult economy. We have seen prices hit new record levels beyond what we saw in 2008. While prices have fluctuated, they remain too high. I believe that we must have reliable supplies available to help stem the spikes and the upward trend As a husband and a father of three, I know how skyrocketing gasoline prices can affect your family's budget. I understand the questions you may have about why America is going through these prices spikes in both oil and gasoline. That is why I have created this resource, so that you may be able to better understand why gasoline prices and the price of oil are what they are and what I am doing, as your Representative in Congress, to help prevent these price spikes, so that you can keep more of your hard earned money and not put it into your gas tank. Click here for more information
On January 29, 2013 I was on KETV's 6 o'clock news to talk about the bipartisan letter that I sent to president Obama signed by 144 other members of Congress urging him to approve the Keystone XL pipeline.
Pain at the Pump In January 2009, the average price of gas was $1.85. Today prices are almost two dollars more per gallon. The only thing that has happened over the last few years is that America has dramatically curtailed production of our American resources, placing a greater reliance on foreign sources of energy. The result has been a volatility at the gasoline pump that has put a greater burden on Nebraskans, who are struggling to make ends meet in this difficult economy. We have seen prices hit new record levels beyond what we saw in 2008. As a husband and a father of three, I know how skyrocketing gasoline prices can affect your family's budget. I understand the questions you may have about why America is going through these prices spikes in both oil and gasoline. That is why I have created this resource, so that you may be able to better understand why gasoline prices and the price of oil are what they are and what I am doing, as your Representative in Congress, to help prevent these price spikes, so that you can keep more of your hard earned money and not put it into your gas tank. Should you have any questions that cannot be answered by what I have posted, please feel free to contact my office in Washington 202.225.4155 or in Omaha 402.397.9944 and I or my staff will help find answers to your questions. Sincerely, Lee Terry
Congressman Terry: Taking Action I have worked with my colleagues to lower gasoline prices, create American jobs, generate revenue to help reduce our nation's debt and deficit and strengthen our national security by decreasing our reliance on foreign oil.
Congressman Terry's Comments on Gasoline and Oil Prices:
Keystone XL Pipeline:Congressman Terry sponsored HR 1938, the North American-Made Energy Security Act. This bill would require the President to make a national interest determination on the Keystone XL pipeline project by November 1, 2011. This project has been the most studied cross border pipeline ever. While the determination of national interest for other pipelines has been between 18 and 24 months, this project will hit the 3 year mark on September 19. Congressman Terry's bill does not tell the President what decision should be made; it just gives him a hard deadline to make the decision. Recently former President Bill Clinton came out in favor of the pipeline saying "The extra cost of running it is infinitesimal compared to the revenues” the pipeline could produce. “I think we should embrace it and develop a stakeholder-driven system of high standards for doing the work.”
What Others are Saying:
Current Gasoline and Oil Information
-Gasoline and Diesel Fuel Update -The Facts about Gas Prices -AAA's Daily Fuel Gauge Report -This Week in Petroleum -Short Term Energy Outlook -U.S. Pump Price Update -NACS 2011 Annual Fuels Report -Current Gas Prices in the Second District
Click on pictures to enlarge Why are Gas Prices so High?
Click on pictures to enlarge What's Happening in Washington D.C.: Legislative Action: H.R. 1229-the Putting the Gulf Back to Work Act: A bill that ends the Adminstration's de facto moratorium in the Gulf of Mexico in a responsible, transparent manner by reforming current law to improve safety and setting firm time-lines for considering permits to drill. Approved by the U.S. House of Representatives on May 11, 2011 by a bipartisan vote of 263-163. H.R. 1230-the Restarting American Offshore Leasing Now Act: A bill that would require the Obama Administration to move forward promptly to conduct offshore lease sales in the Gulf of Mexico and offshore Virginia that the Obama Administration has delayed or canceled. Approved by the U.S. House of Representatives on May 5th, 2011 by a bipartisan vote of 266-149. H.R. 1231-the Reversing President Obama's Offshore Moratorium Act: A bill that would lift the President's ban on new offshore drilling by requiring the Administration to move forward in the 2012-2017 lease plan with energy production in areas containing the most oil and natural gas resources. Approved by the U.S. of Representatives on May 12, 2011 by a vote of 243-179. H.R. 910-the Energy Tax Prevention Act: A bill to blocks EPA's costly greenhouse gas regulatory regime, which threatens to increase the price of energy-including gasoline-and ship American jobs overseas. Approved by the House of Representatives on April 7th, 2011 by a vote of 255-172. H.R. 1705-the Transparency in Regulatory Analysis of Impacts on the Nation Act: A Bill to require an analysis of how major rules recently issued or planned by the EPA would affect U.S. businesses and energy prices, including the impact on global competitiveness. Hearing held by the Energy and Power Subcommittee on April 7, 2011. Energy and Commerce Press Releases: Congressional Hearings:
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