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Yedlin: Pipeline decision signals U.S. not open for business
Calgary Herald ^ | November 11, 2011 | Deborah Yedlin

Posted on 11/14/2011 7:44:33 AM PST by thackney

So much for the U.S. being the bastion of free enterprise and respecting due process.

With the State Department announcing Thursday it wants to explore alternative routing for TransCanada's Keystone XL pipeline, after the project has been subject to 36 months of review - dutifully following a prescribed process that resulted in thousands of pages of documentation - the U.S. has signalled to the world it is not open for business.

Businesses need certainty and transparency to make investment decisions; that has been destroyed with one news release.

Read between the lines and things get even more interesting.

This announcement was directed from the White House, but the State Department is "wearing it."

Thus, if there was any doubt, it's clear this was politically motivated, predicated on the upcoming U.S. presidential election, the need to keep deep-pocketed Democratic donors happy while not alienating either supporters of the Keystone project or those who oppose it. How else can one explain what is effectively a change in the rules that will delay approval of the project until the first quarter of 2013 - conveniently after the presidential election.

This decision has been taken without due regard to the consequences of what happens to business investment when the rules are changed on the fly: Obama should ask former Alberta Premier Ed Stelmach about that one.

With this move, the geopolitical risk often ascribed to investing in countries where the rules have been known to change unexpectedly - say, Russia, Libya or Venezuela - is now going to be used when describing the business climate in the U.S.

Canada and the U.S. have a very important trading relationship; this decision has inextricably injected an element of mistrust into that relationship which won't be easily repaired.

That a publicly traded Canadian company, with transparent governance and processes based in a free and democratic society can be subject to this kind of treatment does not bode well for companies from other countries seeking to invest in the U.S.

The U.S. companies with operations in Canada, especially those operating in the oilsands, should be feeling mighty betrayed that their own government doesn't appear to understand the economics behind the need for this kind of continental energy infrastructure.

Being able to get oil into Gulf Coast refineries, which have already spent money re-tooling their facilities to accept the heavier barrels, would eliminate the WTI-Brent differential that has been sitting between the $15 and $20 US per barrel. Receiving WTI pricing for those barrels means companies that are not integrated on the refining side have been leaving millions of dollars on the table every day.

The same holds true for companies producing light oil from the Bakken formation in North Dakota. The Keystone pipeline was going to get those barrels to the Gulf Coast, resulting in more revenues for companies, not to mention needy government coffers.

The statement issued by the State Department said this latest review would, examine environmental concerns, including climate change.

Setting aside for a minute that all these issues were likely addressed in sufficient detail throughout the last 36 months, one wonders what could possibly surface that would be new and relevant in the coming 15 months or so?

The energy security and economic impact issues undoubtedly were examined in full - and remain irrefutable. The project would result in thousands of shovel-ready jobs and plenty of coin for government coffers.

The fact the U.S. wants to go down the environmental road - including looking at climate change - in the upcoming round smacks of nothing other than sheer hypocrisy.

The U.S. is further away from any sort of climate change initiatives than Canada - and if it really wanted to address the climate change issue it would follow Canada's lead and start phasing out coal-fired power generation.

In other words, to suggest the review of the last 36 months and the approvals received are insufficient is tough to buy into.

Ultimately, this is politics of a different sort and the unfortunate piece is it's not just TransCanada caught in the middle - it's the thousands of people that could have been immediately employed, not to mention those who will be affected by companies who will choose a country other than the U.S. as a place to invest.

Prime Minister Steven Harper will be seeing Obama in Hawaii today. No doubt he will be looking at someone who was supposed to be a trusted neighbour in a different light and wondering whether Chinese President Hu Jintao might be a more reliable ally.


TOPICS: Canada; News/Current Events
KEYWORDS: energy; keystonexl; pipeline; tarsands

1 posted on 11/14/2011 7:44:35 AM PST by thackney
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To: thackney

“..The statement issued by the State Department said this latest review would, examine environmental concerns, including climate change...”

:::::::::::::::

What a crock. Obama pandering to the green vote and money laundering machine. Nothing new here....move along!


2 posted on 11/14/2011 7:48:23 AM PST by EagleUSA
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To: thackney

For the Democrats, high-paying jobs and lower gas prices aren’t as important as those environmental group campaign donations and votes.


3 posted on 11/14/2011 7:49:11 AM PST by blueunicorn6 ("A crack shot and a good dancer")
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To: thackney

“Alternative routing”? If you can’t figure it out in 36 months, you’ll never figure it out. It all boils down to the fact that some feel we need to continue to pay the middle east for our oil. The other fact is the willful distruction of our country and the lack of will of our politicians to put a stop to it.


4 posted on 11/14/2011 7:49:27 AM PST by RC2
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To: thackney

with comrade obama at the helm, whaddaya expect?

how to get the lower class folks who don’t pay attention to politics

to see that the democrat party increases their costs

while enslaving them to lower wages?


5 posted on 11/14/2011 7:50:25 AM PST by ken21
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To: thackney

And we won’t be open for business until we tar and feather the libtard marshmallows currently infesting the top levels of our government.

Again, I humbly offer my services to operate the guillotine.

I promise to do my duties with decency - and with a big, big smile.


6 posted on 11/14/2011 7:50:38 AM PST by Da Coyote (Liberalism - when you absolutely, positively have no ability to produce wealth.)
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To: thackney

On all these threads I always note that I have the two leading Republican office holders in this state (Nebraska) opposing this pipeline. REPUBLICANS.


7 posted on 11/14/2011 7:51:26 AM PST by throwback ( The object of opening the mind, as of opening the mouth, is to shut it again on something solid)
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To: EagleUSA
the State Department said this latest review would, examine environmental concerns, including climate change

Translated, in the past 36 months of review, we haven't found a reason to deny it yet. We will keep looking.

8 posted on 11/14/2011 7:51:45 AM PST by thackney (life is fragile, handle with prayer)
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To: thackney
"State Department announcing Thursday it wants to explore alternative routing for TransCanada's Keystone XL pipeline"


9 posted on 11/14/2011 7:54:31 AM PST by Liberty Valance (Keep a simple manner for a happy life :o)
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To: thackney
My guess is the Canadian SandTar oil will just go to China. Hell we don't need to be energy independent. Our friends in OPEC will keep us supplied in petroleum for the next 100 or so years until Nobama’s renewable energy goes on line.
and by then, hens will be laying hard boiled eggs. We will have lemonade springs and cops will all have wooden legs on that rock Candy Mountain It will be a virtual Utopia.
10 posted on 11/14/2011 7:54:35 AM PST by Tupelo ( 2012 TEA PARTYER but no longer a Republican)
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To: thackney

Face it. The inmates are running this asylum.


11 posted on 11/14/2011 7:59:14 AM PST by F.J. Mitchell (Cain is able to deliver.)
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To: RC2
“Alternative routing”? If you can’t figure it out in 36 months, you’ll never figure it out.

Good news! They found a route that was acceptable.

From here it goes by tanker to Asia.

12 posted on 11/14/2011 8:00:50 AM PST by thackney (life is fragile, handle with prayer)
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To: thackney

bump for later.


13 posted on 11/14/2011 8:01:25 AM PST by Free Vulcan (Vote Republican! You can vote Democrat when you're dead.)
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To: thackney

If Canada finally gets pissed off and says to the U.S., “Forget it, we’re going with another plan”, and we lose the thousands of jobs this would create...... Katy bar the door if Obama dares come to my “oil refinery area” of Texas to camapign in 2012. His campaign rally will turn into a melee at best, a riot at worst.


14 posted on 11/14/2011 8:09:22 AM PST by no dems (Why do you never see "Obama" bumper stickers on cars going to work in the morning?)
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To: thackney

Business has STOPPED in the United States until Jan. 2013...
Which “by the way” was and “IS” the plan...

That is what the Cloward-Piven tactic is supposed to “DO” and does..
Funny.. you don’t hear much of Cloward-Piven anymore since Glen Beck exited stage right..

Its almost like there is “conspiracy” to hide the term from America..
O’Really doesnt mention it, not Hannity.. or Greta.. even Savage and Levin don’t mention it anymore..

Its like the grand plan of leftists (Cloward-Piven) ceased to exist...
Amazing how through has been the “deduction” from common parlance..
Meaning the very PLAN (thats on-going NOW) has been deducted from common thought...
It is amazing that it could have been done. but it was done..

Which leaves only one thought!!!!!...
America is being milked by some very smart dairy farmers...
YOU... Yes.. You!!.... have been reduced to a Milk Cow..
AND.. “YOU” are worried about which Bull will be trotted out for the republican primarys..
WELL.. DUUUUGH!.. “shut up and chew your cud”...


15 posted on 11/14/2011 8:11:22 AM PST by hosepipe (This propaganda has been edited to include some fully orbed hyperbole...)
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To: thackney
The Obama MO...delay, calculate, stall, delay, figure political advantages, delay, obfuscate, keep supporters happy, delay, think about it, ponder, delay, express concern, delay, and in the end...vote PRESENT.
16 posted on 11/14/2011 8:11:41 AM PST by JPG (The loons at OWS will soon be at each others throats.)
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To: penelopesire

Yedlin knocks it out of the park.


17 posted on 11/14/2011 8:12:05 AM PST by Hoodat (Because they do not change, Therefore they do not fear God. -Psalm 55:19-)
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To: thackney
The narcissistic Marxist in the WH found the perfect way, in his opinion, to delay his decision until after the election.

This is costing workers, companies and the U.S. billions just so Obama may not lose the votes of the enviros or some unions.

Obama is one pathetic person.

18 posted on 11/14/2011 8:17:41 AM PST by jazusamo (The real minimum wage is zero: Thomas Sowell)
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To: EagleUSA

I for the pipeline, but not its current route. I’m against running a pipe through one of the largest aquifers in the world that supplies a huge amount of irrigated water. 27% of the irrigated land in the U.S. overlies this aquifer which yields 30% of the nation’s groundwater used for irrigation. In addition, the aquifer supplies 82% of the drinking water for the people living within the boundaries of the aquifer.

(check the High Plains Regional Ground-Water Study: http://co.water.usgs.gov/nawqa/hpgw/factsheets/DENNEHYFS1.html )

Not to mention the fact that this is a state’s rights issues.


19 posted on 11/14/2011 8:17:59 AM PST by Husker
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To: Husker
I’m against running a pipe through one of the largest aquifers

Do you understand we have been running petroleum across this aquifer for decades in many pipelines without the problems the environmentalist have dreamed up?


20 posted on 11/14/2011 8:22:40 AM PST by thackney (life is fragile, handle with prayer)
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To: F.J. Mitchell

” Face it. The inmates are running this asylum.” Too True !!

OBummer wants us to be a service society , not a manufacturing society. As long as he controlls the power and fuel , we will never return to the manufacturing country we once were .

Bloomburg gives 1 million $$$ to the Sierra Club to fight the coal industry.
OBummer guts the oil production in the Gulf of Mexico
OBummer gives Solyndra 528 million $$$ (government subsidized and guarenteed ~ thus protecting his crony investors) for sun collecters that cost twice (2X) as much as imported collectors, and then wonders why it failed ?

If you really wanted the U.S. to be successful , you’d think he would limit our chief financial rival ( China)access to power/ fuel , while encouraging our own power /fuel developement.
The attitude of the WH is “up-side down”
The attitude of the WH is politics, re-election and ideology over logic and common sense .


21 posted on 11/14/2011 8:25:04 AM PST by Tilted Irish Kilt ( (The Obama Adminstration: 2nd wave of attacks on America after 9/11) by GlockThe Vote)
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To: thackney

As best I can tell, there are no pipelines that run through the aquifer where it is more than 50 feet saturated thickness. If my map skills are correct, the pipeline will be running through 600-800 feet of saturated thickness.

Feel free to run the pipeline through our state, but let’s bend it around our state and country’s crucial groundwater.


22 posted on 11/14/2011 8:27:26 AM PST by Husker
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To: Husker
“I’m against running a pipe through one of the largest aquifers in the world that supplies a huge amount of irrigated water. “

Why??

How could a pipeline running on top of the ground possibly threaten a underground water system?

Worst case scenario; if the pipeline had a catastrophic explosion, how would spilled oil on the ground pollute a underground water system?

Our country is clinically insane. We can't make any basic positive economic decisions anymore. We are paralyzed by misinformation and lack of logical decision making

23 posted on 11/14/2011 8:28:34 AM PST by HereInTheHeartland (I love how the FR spellchecker doesn't recognize the word "Obama")
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To: jazusamo
The narcissistic Marxist in the WH found the perfect way

Obama chanelling Sir Winston Churchill

Sir Winston to the war cabinet:

Number one priority is to destroy the Nazi production, refining and distribution of petroleum products.

Then attack manufacturing industries starting with the ball bearing factories.

24 posted on 11/14/2011 8:31:13 AM PST by spokeshave (Cain....100% American, 100% Black and 100% for the Constitution...999 an added benefit.)
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To: HereInTheHeartland

Where are you getting that the pipeline isn’t going to be buried?


25 posted on 11/14/2011 8:40:19 AM PST by Husker
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To: Husker
As best I can tell, there are no pipelines that run through the aquifer where it is more than 50 feet saturated thickness.

I do not read the map the same way. Nearly all of the Nebraska section is more than 50 feet thick and has multiple liquid petroleum pipelines across it.

The existing pipelines cross through thicker section in Texas and Oklahoma as well.

In addition, can you tell me the concern of the aquifer going deeper while the oil is lighter than water and would float on the top?

26 posted on 11/14/2011 8:42:31 AM PST by thackney (life is fragile, handle with prayer)
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To: thackney

The current pipeline runs along the very eastern edge of the aquifer. The biggest problem is the presence of benzene should there be a leak. Here is a peer-reviewed study: http://boldnebraska.org/uploaded/pdf/worst-case-keystone-spill-study-stansburyEmbargoeduntil11amEDTJuly11.pdf

I understand that I’m not going to change your mind and you won’t change mine. What this issue comes down to for Nebraskans is costs vs. risk. For us, we are in favor of the pipeline, but want it to take a different route due to the risks.


27 posted on 11/14/2011 8:55:39 AM PST by Husker
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To: throwback

Most people seem to not get this - the pipeline may be more about increasing Canadian Co oil profits at THE COST OF PRICE INCREASES in 15 midwest states.

http://grassrootsne.com/?p=14125

http://www.startribune.com/opinion/otherviews/117832183.html

http://wyden.senate.gov/newsroom/press/release/?id=158ffa9a-6380-4c2a-bbec-180c16839018

http://journalstar.com/news/local/article_b4b866cd-8b1e-56eb-a9d2-84852cfcb402.html

http://grassrootsne.com/?p=4549


28 posted on 11/14/2011 9:10:37 AM PST by pitviper68
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To: Husker
The current pipeline runs along the very eastern edge of the aquifer.

That is not the only pipeline crossing the aquifer carrying petroleum (crude and refined products).

I understand that I’m not going to change your mind and you won’t change mine.

Understood.

29 posted on 11/14/2011 9:46:24 AM PST by thackney (life is fragile, handle with prayer)
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To: thackney

So it has come to this.

Canadians lecturing US about free enterprise.


30 posted on 11/14/2011 9:50:26 AM PST by Buckeye McFrog
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To: thackney

By damn, run it thru Iowa. We’ll take it.


31 posted on 11/14/2011 11:01:22 AM PST by Free Vulcan (Vote Republican! You can vote Democrat when you're dead.)
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To: pitviper68
I read some of the information at the first link. The way it reads to me, TransCanada’s nefarious plot is to find a broader market for it's oil. The result would be that they would have more buyers. More buyers, same amount of product = more pricing power. Excuse me. Is that not the way markets are supposed to work? Plus if it raises prices in the MidWestern states, is it not just as likely that it lowers them elsewhere. It's a global market. You pour more oil into it from anywhere, prices should tend to lower if the markets are free. Also, it's curious that the Republican Governor and Senator from Nebraska are opposed, but both heavily support ethanol. If this pipeline would actually increase the price of gasoline, they should be thrilled with the pipeline since it pumps up the farm lobby by enabling them to follow the increasing price of gasoline with ethanol just behind at its obligatory 10 cent discount of course. Speaking of ethanol and market manipulation...
32 posted on 11/14/2011 11:49:27 AM PST by throwback ( The object of opening the mind, as of opening the mouth, is to shut it again on something solid)
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To: Tilted Irish Kilt

Our most dangerous foe is the most powerful man in the country............. World.


33 posted on 11/15/2011 8:45:36 AM PST by F.J. Mitchell (Cain is able to deliver.)
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