Biden Cancels Keystone XL Pipeline
Although many of Montana’s leaders are upset with the economic input of President Joe Biden’s decision to cancel the Keystone XL pipeline, Fort Peck Tribal Chairman Floyd Azure said the decision is positive news for the area.
“It’s been a long, hard-fought battle,” Azure said. “We’re glad it’s over, and just hope it remains that way.”
First proposed in 2008, the 1,700 pipeline was planned to carry roughly 800,000 barrels of oil a day from Alberta to the Texas Gulf Coast. The Montana route included running from Phillips County to the southeast corner of Fallon County including the counties of Valley, Mc-Cone, Dawson and Prairie.
Azure said his largest concerns were possible contamination of both the Milk and Missouri rivers. He noted that these are the last water resources in this region.
“I have 30,000 people I have to worry about and whether they will get water,” Azure said.
He says he had definite concerns about the impact on the area’s water despite hearing positive comments from pipeline supporters. “They also said the Titantic wouldn’t sink, but it did on its first voyage.”
Azure worried also about potential workers on the pipeline from outside the area, “They have no idea of where the people are coming from and what they will bring.” He mentioned how a population leap because of the Bakken oil boom created an increased drug problem in northeastern Montana.
As far as economic impact, Azure feels the pipeline was going to benefit only landowners, the state and some workers. He believes the pipeline was going to create about only 200 full-time jobs.
Alan Olson, executive director for the Montana Petroleum Association, is very disappointed with Biden’s decision. Olson noted that the permitting portion of the project started back in 2008 and included four years of environmental reviews for state permits.
Considering all the time and money invested and that the project received a presidential permit, Olson expects the TC Energy Corp. to take the matter to court.
“If this is how the Biden Administration is going to handle things, I think we’re in a lot of trouble everywhere,” Olson said. He explained the project was going to result in thousands of jobs for the country. The majority of the construction work in Montana was going to be conducted by a Bozeman company.
“People will have to find somewhere else to work,” Olson said. “It’s infrastructure development. It’s job creation by industry rather than government. It’s private companies not tax dollars.”
The decision will also have tax consequences for the Montana counties impacted.
“I haven’t seen many good things coming out for the oil and gas industry,” Olson said of Biden’s first days in office.
Montana’s delegation members in Washington, D.C., each expressed their disappointment in Biden’s decision.
U.S. Sen. Steve Daines, R-Mont, said, “It’s only day one, and with the stroke of a pen, Biden has already taken steps to kill American energy projects like the Keystone XL Pipeline, which is critical to energy producing states like Montana,” U.S. Rep. Matt Rosendale, R-Mont., noted, “America’s energy sector is important to our economy and critical to our national security by helping make us energy independent. This pipeline means a lot for our country and Montana.”
Montana Gov. Greg Gianforte wrote, “A symbolic gesture for your fledgling, hours-old administration, this decision has real and devastating consequences in Montana. With your executive order, gone are the thousands of good-paying American jobs, hundreds of millions of dollars in revenue to support our local communities and schools, the opportunity to advance America’s green energy infrastructure and America’s energy security.”
