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Senators' bill looks to push Keystone pipeline forward

Jan 31, 2012 | 04:31 PM | Catherine Ngai

Tags  Keystone, TransCanada, pipeline, Nebraska, oil, energy, XL, Obama


NEW YORK — A group of 44 senators introduced a bill this week to approve TransCanada Corp.’s Keystone XL pipeline despite President Obama’s recent rejection of the project.

The proposal—made by 43 Republicans and one Democrat—would move the project forward and give Nebraska time to determine an alternative route. Environmentalists had previously taken issue with the pipeline’s proposed path through Nebraskan wetlands.

"Our legislation not only acknowledges the vital national interest this project represents on many levels, but also works in a bipartisan way to begin construction," Sen. John Hoeven (R., N.D.), one of the bill’s lead sponsors, said in a statement. "It will create thousands of jobs, help control fuel prices at the pump and reduce our reliance on Middle East oil, and it can be accomplished with congressional authority, just as the Alaska Pipeline was nearly 40 years ago."

If passed, the legislation would require the U.S. State Department to enter into a memorandum of understanding with Nebraska within 30 days to assist with rerouting. It would also allow Nebraska unlimited time to identify a new route to ensure environmental safety.

In January, the Obama administration denied TransCanada a permit for the pipeline (AMM, Jan. 19). TransCanada said it would reapply.

TransCanada claims the project would create 20,000 jobs and help U.S. manufacturers of steel pipe, vales and structural supports, among others.

The company previously told AMM it was stockpiling pipe for the project at sites across the United States and Canada as the mega-project awaited Obama’s approval (AMM, Nov. 10).


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