Analysis : Keystone Xl Pipeline

1423 WordsMar 4, 20156 Pages
Isabella Moreno Mr. Lipham Hon Economy, A Block 15 February 2015 Spring Research Paper: Keystone XL Pipeline The Keystone XL pipeline is a proposed expansion of the existing Keystone system, being proposed to transport greater volumes of Canadian oil sands crude to world market. It would transport Canadian crude oil to the U.S. Gulf Coast for refining or export. Trans Canada’s proposed XL pipeline has emerged as a symbolic flashpoint in the complex debate over energy, the environment, and the economy. Pipeline advocates argue that the project will creates tens of thousands of jobs and by increasing the flow of Canadian Oil into the U.S., will lower gasoline prices and strengthen energy security. Pipeline opponents counter that any…show more content…
If market conditions change, the capacity of the pipeline could be increased to 830,000 barrels per day (bpd). The overall pipeline is estimated to cost 7$ billion. The Canadian company, TransCanada, initially proposed the pipeline in 2005 and applied to the State Department for a construction permit in 2008. The State Department has the permitting authority for the project because it crosses an international border, and the secretary of state must determine whether the project is “in the national interest”—a decision that includes economic, environment, national security and foreign policy consequences. In January 2014, the state department released an environmental impact statement concluding that the pipeline was unlikely to significantly increase the rate of carbon pollution in the atmosphere. That analysis kicked off a 90-day review process in which Secretary of State John Kerry requested comment from eight other agencies including E.P.A. and the Commerce Defense and Homeland Security departments. The State department just finished collecting comments from agencies as to whether the project is in the nation’s best interest. Once Secretary of State John Kerry revised the comments, he sent a recommendation to Obama, who make the final decision. On Tuesday February 24, President Obama vetoed legislation
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