Monday, January 16, 2012

Obama's Keystone XL Pipeline Dilemma

So what is the Keystone XL Pipeline?

Well basically, the Keystone Pipeline System is a pipeline system setup to transport synthetic crude oil and diluted bitumen from the Athabasca Oil Sands in Northeastern Alberta, Canada to multiple destinations in the United States.

Destinations include American refineries in Illinois, Cushing oil distribution hub in Oklahoma, and proposed connections to refineries along the Gulf Coast of Texas.

In July of 2011, the House passed H.R. 1938, the North American-Made Energy Security Act, by 279-147.

The bill requires President Obama to issue a final order granting or denying a permit to construct Keystone XL by no later than November 1, 2011.  But that didn't happen!

Moderates and Conservatives have been attempting to put pressure on the Obama White House to take American energy independence seriously and to expand U.S. access to oil from our friendly, democratic, and politically stable neighbor to the north, as well as drill here now.

In November, 2011, President Obama bowed to pressure from Foreign Oil and Liberal Environmentalist Groups and decided to postpone making a decision on the Keystone XL Pipeline until 2013 - well after the 2012 Presidential Election.

Let's face it, President Obama is no fool.

He probably knows that he needs the Liberal Left Environmentalist and big dollar contributions from Foreign Oil to keep the White House this November. 
Well, to his surprise on November 30th, after Obama's attempt to postpone his highly political decision, Senate Republicans introduced legislation forcing President Obama to either shit or get off the pot.   

They passed legislation legally requiring Obama to either approve or disapprove the Keystone XL Pipeline within 60 days of last November - unless of course, President Obama declares the Keystone XL project not in the National interest of the United States.

Now it's time to make a decision because the 60 days are up, and that's Obama's Keystone XL Pipeline dilemma! Now what does he do, either way he loses.

If he gives in to the interest of the nation, he angers his base and may cost himself re-election and millions upon millions of dollars in campaign donations.  If he scraps it, then he angers the people and throws the dice to see what will happen - or if they will even remember - on election day.

A dilemma is a problem offering two possibilities, neither of which is practically acceptable. This decission should not be considered a dilemma because there is one very practical acceptable option - do what is right for the nation and the American people - and allow it!

You see, the Keystone XL Pipeline is vital to the National interest of the United States - and there are many reasons.

First off, besides our energy security, the Keystone XL Pipeline is good for America and our National Security. Fact is, it is estimated that the Keystone XL Pipeline will deliver up to 850,000 barrels of crude from our wonderful Canadian neighbors to the North.

Imagine the concept her! Oil from a friendly, stable, democratic neighbor!

Depending on ourselves is what America did best for almost all of our history. It's only been since the 1970s that Americans have become almost totally dependant on Foreign Oil.  The Keystone XL Pipeline will help us to reach the point agian of no longer living with the threat of supplies being cut off. This is a big deal!

And friends, I agree with one writer who said, every barrel of oil that we import from Canada is a barrel that Americans don’t have to import from Saudi Royalty, Foreign Oil Dictatorships and Despots, and unstable regimes who do not have our best interest in mind.

Another factor to consider is that the Keystone XL Pipeline is totally market-driven. This means that $7 Billion in a real shovel-ready project will be funded entirely by private investments from private companies - and not the American Taxpayer.

The Keystone XL Pipeline will help us at the pump. Why? Well, friends, it's simply because we will no be held hostage by Foreign Oil reducing our oil supply or create a horseshit shortage just to raise prices.

Americans are sick and tired of paying high prices because of Foreign Oil jacking around the prices at their whim!

Of course, I really believe that most Americans are also sick and tired of our Federal Government, in the form of the EPA or one of their other regulatory agencies, slapping us with more fees and taxes at the pump.

So yes, the Keystone XL Pipeline will help stabilize gasoline prices. Can you imagine returning to the days when you knew what gas would cost without having to ask, "How much did it go up overnight?" 

Fact is that unlike an oil tanker that may be traded and bought several different times by different companies and countries, and yes each time being marked up by oil speculators, the price of oil from the Keystone XL Pipeline will be almost entirely fixed at the start of its journey in Canada to the refineries here in the U.S..

Lastly, studies show that the Keystone XL Pipeline will stimulate our economy because it is estimated that the Keystone XL Pipeline will be the catalyse to $20.9 Billion in new business expenditures. That adds another $9 Billion to the U.S. GDP (Gross Domestic Product), which means an increase personal incomes by $6.5 Billion by generating $2.3 Billion in equipment and retail sales, and create 500,000 jobs over the next 10 years.

With more than a half million American jobs at stake, and the energy independence of America attainable, all President Obama has to do is green light the 1,700-mile XL line "as soon as possible."

On January 11th, 2012, over 100 organizations representing Millions of job creators across America got together and sent a letter to President Obama in support of the Keystone XL pipeline.

The letter notes that the Keystone XL pipeline would have a minimal impact on the environment, and it would create thousands of jobs while strengthening the energy security of the United States.

The letter also notes that by fully utilizing Canada's oil sands, which already benefit 2,400 U.S. businesses, America could generate more than 500,000 new U.S. jobs and $775 billion in GDP by 2035.

The letter:

January 11, 2012

President Barack Obama
The White House
1600 Pennsylvania Avenue, NW
Washington, DC 20500

Dear Mr. President:

The undersigned organizations urge you to approve the Keystone XL pipeline as soon as possible. With your approval, this shovel-ready project will provide 20,000 jobs in construction and manufacturing in the next two years, and add tens of thousands of additional jobs throughout the economy in other sectors including service, retail and distribution. With our nation’s stubbornly high unemployment, it would be irresponsible to let such good-paying jobs slip away.

The Keystone XL pipeline has been under review for more than three years. The August 26, 2011 final EIS found that the project will have “limited adverse environmental impacts” during construction and operation. Additionally, the document concluded that the pipeline “would have a degree of safety greater than any typically constructed domestic oil pipeline system under current regulations.”

The State Department should be commended for its thorough and comprehensive environmental assessment, and for conducting more than 100 public meetings on the project, including nine hearings along the proposed pipeline route and in Washington, DC last summer.

The State Department’s announcement that it was delaying a decision on Keystone XL cited a need to study an alternative route in Nebraska around the Sandhills region. The federal payroll tax legislation recently passed with strong bipartisan support and signed into law allows the State Department and Nebraska as much time as necessary to identify and review a new route, while allowing construction to begin elsewhere along the pipeline route.

The Keystone XL pipeline will also greatly enhance America’s energy security. With the current situation in the Middle East, and tensions in the Strait of Hormuz continuing to rise, approving this pipeline is the right energy and national security policy for America.

Canada is already our largest supplier of imported oil – almost 2.4 million barrels per day, or one fourth of our imports. With this proposed pipeline, our crude imports from Canada could reach 4 million barrels a day by 2020, twice what we currently import from the Persian Gulf. Enhancing our energy partnership with Canada will strengthen America’s energy future.

In addition, studies show that fully utilizing Canada’s oil sands crude, including the necessary pipeline infrastructure, can generate more than 500,000 new U.S. jobs and $775 billion in GDP by 2035.

Today there are already at least 2,400 American companies in 49 states supporting the development of oil sands by either providing supplies and services in Canada or for pipeline and refinery projects here in the U.S. In addition, it’s important to note that for every dollar we spend on Canadian products, including oil, Canadians return up to 90 cents through purchases of U.S. goods and services.

Mr. President, the significant job creation, economic growth, energy security and national security
benefits of this project make clear it is in the national interest. We strongly urge you to act swiftly to
approve the Keystone XL pipeline.


Alaska Oil and Gas Association
American Chemistry Council
American Concrete Pressure Pipe Association
American Council of Engineering Companies of Iowa
American Exploration & Production Council
American Foundry Society
American Highway Users Alliance
American Petroleum Institute
American Rental Association
Americans for Tax Reform
Arkansas Environmental Federation
Arkansas Independent Producers and Royalty Owners Association
Arkansas Oil Marketers Association
Arkansas State Chamber of Commerce/Associated Industries of Arkansas
Associated Equipment Distributors
Associated Food and Petroleum Dealers of Michigan
Associated General Contractors of Minnesota
Associated General Contractors of Missouri
Associated General Contractors of Wisconsin
Associated Industries of Florida
Associated Industries of Missouri
Association of Oil Pipelines
Business Roundtable
Chemical Industry Council of Illinois
Consumer Energy Alliance
Foundry Association of Michigan
Hispanic Alliance for Prosperity
Hispanic Leadership Fund
Illinois Association of Aggregate Producers
Illinois Association of Convenience Stores
Illinois Chamber of Commerce
Illinois Manufactures Association
Illinois Petroleum Marketers Association
Illinois Trucking Association
Independent Petroleum Association of America
Indiana Cast Metals Association
Industrial Supply Association
International Foodservice Distributors Association
International Warehouse Logistics Association
Iowa Engineering Society
Iowa Good Roads Association
Iowa Motor Truck Association
Kansas Chamber of Commerce
Louisiana Mid-Continent Association
Mechanical Contractors Association of Chicago
Metropolitan Milwaukee Association of Commerce
Michigan Association of Convenience Stores
Michigan Manufacturers Association
Michigan Petroleum Association
Michigan Railroads Association
Michigan Trucking Association
Mid-Continent Oil & Gas Association of Oklahoma
Mid-West Truckers Association
Minneapolis Regional Chamber of Commerce
Minnesota Chamber of Commerce
Montana Petroleum Association
NAHAD – The Association for Hose & Accessories Distribution
National Association of Convenience Stores
National Association of Wholesaler-Distributors
National Association of Manufacturers
National Electrical Contractors Association
National Federation of Independent Business
National Federation of Independent Business/Illinois
National Petrochemical & Refiners Association
National Roofing Contractors Association
National Taxpayers Union
Natural Gas Supply Association
New England Fuel Institute
New Mexico Oil & Gas Association
North American Equipment Dealers Association
North Carolina Chamber of Commerce
North Carolina Petroleum and Convenience Marketers
North Dakota Petroleum Council
Ohio Association of Convenience Stores
Ohio Cast Metals Association
Ohio Chamber of Commerce
Ohio Chemistry Technology Council
Ohio Council of Retail Merchants
Ohio Oil and Gas Association
Ohio Petroleum Marketers & Convenience Store Association
Pennsylvania Chamber of Commerce
Pennsylvania Foundry Association
Petroleum Association of Wyoming
Petroleum Equipment Suppliers Association
Petroleum Marketers Association of America
Portland Cement Association
Small Business & Entrepreneurship Council
SouthWestern Equipment Dealers Association
Southwestern Illinois Employers Association
Texas Cast Metals Association
Texas Oil & Gas Association
The Chicagoland Chamber of Commerce
The FPDA Motion & Control Network
U.S. Chamber of Commerce
U.S. Oil & Gas Association
U.S. Oil & Gas Association AL/MS Division
West Virginia Chamber of Commerce
West Virginia Manufacturers Association
West Virginia Oil Marketers & Grocers Association
Western States Petroleum Association
Will County (IL) Center for Economic Development
Wisconsin Association of General Contractors
Wisconsin Cast Metals Association
Wisconsin Engine Manufacturers & Distributors Alliance
Wisconsin Manufacturers and Commerce
Wisconsin Transportation Builders Association

-- end of signers.

For me, I can only pray that President Obama puts politics aside and approves the Keystone XL Pipeline.

I can only hope that he understands that what he may lose in political points with Foreign Oil and the Liberal Left Environmentalist, he'll make up with a sense of pride and satisfaction knowing that he helped America achieve a stronger more secure future as an energy independent nation.

With energy independence, no American representative will again feel the need to bow to oil rich Saudi Kings!

That's just how I see it.

Story by Tom Correa

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