Company Drops Controversial Keystone XL Pipeline Project | Economic news


Critics welcome the announcement as a “victory” just months after US President Joe Biden revoked a permit for the pipeline.

The company behind a contentious oil pipeline that allegedly spanned between Canada and the United States officially scrapped the project, months after US President Joe Biden withdrew his license.

In one declaration On Wednesday, TC Energy announced it had ended the Keystone XL project “after a full review of its options” and in consultation with its partner, the government of Alberta, an oil-rich province in western Canada.

“The Company will continue to coordinate with regulators, stakeholders and Indigenous groups to meet its environmental and regulatory commitments and ensure a safe end and exit of the project,” said TC Energy.

Right-wing Premier of Alberta Jason Kenney’s government invested C $ 1.5 billion ($ 1.1 billion) in the Keystone project last year, saying the pipeline was necessary to support the provincial economy.

But the project faced years of fierce opposition from environmental groups, landowners and indigenous communities in Canada and the United States, who have argued that it threatens their lands and waters and will worsen the climate crisis.

In January, just hours after his inauguration, Biden kept a campaign pledge and revoked the presidential permit for the project issued by former President Donald Trump.

The 1,947 km (1,210 mile) Keystone XL pipeline was to stretch from the Canadian province of Alberta to the US state of Nebraska, and would have shipped 830,000 barrels of oil per day between the two countries.

“This is great news for the tribes who are fighting to protect our people and our lands,” Rosebud Sioux tribal president Rodney M Bordeaux said on Wednesday in a statement regarding the pipeline cancellation. “Treaties and laws give us protections, and we are committed to ensuring that these laws are respected. “

The Indigenous Environmental Network, a United States-based indigenous rights group, also welcomed the news. “After more than 10 years, we have finally defeated an oil and gas giant! Keystone XL is DEAD! We dance in our hearts for this victory! the group tweeted.

“From the oil sands to the Gulf, we have stood hand in hand to protect the next seven generations of life, the water and our communities. This is not the end, but simply the beginning of new victories. We know it in our hearts.

“We hope the Biden administration will continue to move this country in the right direction by opposing fossil fuel projects that threaten our climate, our waters and endangered wildlife. Good riddance of Keystone XL! mentionned Jared Margolis of the Center for Biological Diversity, another US-based group.

The government of Canadian Prime Minister Justin Trudeau had Keystone XL supported, but Trudeau said in January that he accepted Biden’s decision to cancel the project.

Kenney, the premier of Alberta, said in a statement Wednesday that his government remains “disappointed and frustrated with the circumstances surrounding the Keystone XL project, including the cancellation of the presidential permit for the pipeline crossing.”

“That said, Alberta will continue to play an important role in a reliable and affordable North American energy system. We will work with our U.S. partners to ensure that we are able to meet U.S. energy demand through the responsible development and transportation of our resources. “

The press release says the Government of Alberta is expected to incur a total cost of C $ 1.3 billion ($ 1.07 billion) for the project.





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