Keystone XL is Better for Economy and Environment: Obama Vetoes Anyway
March 3, 2015
President Obama officially vetoed the Keystone XL pipeline project after bipartisan votes by both the House and Senate landed the bill on his desk.
The Keystone XL Pipeline is a proposed 1,179-mile (1,897 km), 36-inch-diameter crude oil pipeline beginning in Hardisty, Alberta and extending south to Steele City, Nebraska. The Keystone XL pipeline could transport 830,000 barrels of oil per day to Gulf Coast and Midwest refineries.
Approving the estimated $5.3 billion Keystone XL project would create approximately 9,000 construction jobs. When combined with the southern portion of the Keystone pipeline (the Gulf Coast Project), it is estimated the total $7 billion pipeline could:
- Create 13,000 construction and 7,000 manufacturing jobs.
- Add $20 billion to U.S. GDP.
- Add $5 billion in taxes revenue to local counties.
- Generate as much as $5.2 billion in property tax revenue for Montana, South Dakota, Kansas, Oklahoma, Nebraska, and Texas collectively.
- Over 2.6 million miles of pipeline in the United States that deliver both liquid petroleum products and natural gas, while the Keystone XL portion of the Keystone pipeline is less than 1,200 miles long.
- The Canadian Energy Pipeline Association predicts that pipeline projects are worth $1.298 trillion dollars to the Canadian economy and $15.52 billion dollars in additional salaries to its citizens.
- The U.S. State Department reported an increase of 42,000 jobs during the construction process, and roughly 118,000 jobs to maintain the pipeline and the refineries.
- 70 percent of petroleum and crude oil is shipped by pipeline, which in recent years has proven to be safer.
The Keystone XL is a critical infrastructure project for the energy security of the United States and for strengthening the American economy.
Source: Lloyd Bentsen, "The Effect of President Obama's Keystone XL Veto," National Center for Policy Analysis, February 25, 2015.
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