Shortly after his inauguration, President Joe Biden signed several executive orders, including one that revoked the President's cross-border approval required to complete the beleaguered Keystone XL pipeline project. A proper shutdown of construction for the project will begin. Keystone XL President Richard Prior notes that more than 1,000 mostly union jobs will be cut in the coming weeks.
First proposed in 2008, the 1,700-mile pipeline was expected to transport around 800,000 barrels of oil daily from Alberta, Canada, to the Texas Gulf Coast to further expand Canada's oil exports to the US and to more easily deliver products to Texas refineries. The project quickly became a source of tension and litigation over environmental issues.
President Biden made his intentions towards the project known during his election campaign and repeated them after the election. In light of the impending cancellation, TC Energy Corp. announced Late Sunday proposed to spend $ 1.7 billion on a solar, wind, and battery-powered operating system on the pipeline to ensure it is zero-emissions by 2030 and that it relies entirely on union work, APNews.com reports, hoping the new president would take a break. Despite this lure, President Biden stepped forward on his first afternoon in office and revoked approval, along with several other initiatives to reverse the guidelines introduced by his predecessor.
According to APNews.com, Alberta Prime Minister Jason Kenney asked for the opportunity on Monday this week to help build the long-controversial oil pipeline and faces legal damage if the permit is revoked. Since then, he has suggested that the Canadian government impose trade sanctions on the US if the decision is not reversed.
Prime Minister Justin Trudeau raised concerns and made completing the pipeline a top priority during a phone call to Biden in November. Since then, he has expressed disappointment but supported Biden's right to decision.
Associations with involvement in the development of the pipeline were dismayed by the cancellation of the project. Marty Durbin, President of the US Chamber's Global Energy Institute, issued a statement shortly after the contract was signed: “The Chamber rejects President Biden's action to revoke approval for the Keystone XL pipeline. The pipeline – which on Best Studied Infrastructure Project in American History – Already under construction and cleared myriad legal and environmental hurdles. This is a politically-motivated, non-scientific decision. It will harm consumers and put thousands of Americans in construction unemployed. The suspension of construction will also hinder the work of transporting oil more safely and efficiently and unfairly singling out the production of one of our closest and most important allies. “
Associated Equipment Distributors (AED), an international trade association representing companies involved in the distribution, rental and support of equipment for construction, mining, forestry, power generation, agricultural and industrial applications, also expressed dismay on the revocation of the cross-permission of the border president. The association has been a strong supporter of the Keystone XL project for more than a decade and has spoken out in favor of completing it.
“AED is deeply disappointed with the move by the Biden government to end this important energy infrastructure project,” said Brian McGuire, President and CEO of AED. “Completion of the Keystone XL pipeline would create thousands of jobs and significant economic activity with minimal environmental impact. It has been extensively investigated, including by the US State Department, and each finding was that it was a safe and reliable means of transporting energy. AED urges President Biden to reconsider his executive order and allow the Keystone XL pipeline to be completed. “
AED announced that it will continue to work with congressional, industry and labor allies to urge the Biden to reconsider Executive Ordinance and allow the project to complete.