Enbridge

Thu, 2014-12-11 09:00Steve Horn
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Obama Signals Keystone XL "No" on Colbert Report As Enbridge "KXL Clone" He Permitted Opens

In his December 8 “Colbert Report” appearance, President Barack Obama gave his strongest signal yet that he may reject a presidential permit authorizing the Alberta to Cushing, Oklahoma northern leg of TransCanada's Keystone XL tar sands pipeline. 

Yet just a week earlier, and little noticed by comparison, the pipeline giant Enbridge made an announcement that could take the sails out of some of the excitement displayed by Obama's “Colbert Report” remarks on Keystone XL North. That is, Enbridge's “Keystone XL Clone” is now officially open for business

“Keystone XL Clone,” as first coined here on DeSmogBlog, consists of three parts: the U.S.-Canada border-crossing Alberta Clipper pipeline; the Flanagan, Illinois to Cushing Flanagan South pipeline; and the Cushing to Freeport, Texas Seaway Twin pipeline.

Enbridge announced that Flanagan South and its Seaway Twin connection are now pumping tar sands crude through to the Gulf of Mexico, meaning game on for tar sands to flow from Alberta to the Gulf through Enbridge's pipeline system.

Alberta Clipper, now rebranded Line 67, was authorized by Hillary Clinton on behalf of the Obama State Department in August 2009 and got a quasi-official permit to expand its capacity by the State Department over the summer. That permit is now being contested in federal court by environmental groups.

Flanagan South, meanwhile, exists due to a legally contentious array of close to 2,000 Nationwide Permit 12 permits handed out by the U.S. Army Corps of Engineers, which — as with Alberta Clipper expansion — has helped Enbridge usurp the more democratic and transparent National Environmental Policy Act (NEPA) review process

Tue, 2014-11-18 19:10Steve Horn
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Gulf-Bound Tar Sands for Export? Follow the Oiltanking Trail

The U.S. Senate failed to get the necessary 60 votes to approve the northern leg of TransCanada's Keystone XL pipeline, but incoming Senate Majority Leader Mitch McConnell (R-Ky.) already promised it will get another vote when the GOP-dominated Senate begins its new session in 2015.

Though the bill failed, one of the key narratives that arose during the congressional debate was the topic of whether or not the tar sands product that may flow through it will ultimately be exported to the global market. President Barack Obama, when queried by the press about the latest Keystone congressional action, suggested tar sands exports are the KXL line's raison d'etre.

Obama's comments struck a nerve. Bill sponsor U.S. Sen. Mary Landrieu (D-La.) and supporter U.S. Sen. John Hoeven (R-ND) both stood on the Senate floor and said Keystone XL is not an export pipeline in the minutes leading up to the bill's failure.

“Contrary to the ranting of some people that this is for export…Keystone is not for export,” said Landrieu, with Hoeven making similar remarks.

But a DeSmog probe into a recent merger of two major oil and gas industry logistics and marketing companies, Oiltanking Partners and Enterprise Products Partners, has demonstrated key pieces of the puzzle are already being put together by Big Oil to make tar sands exports a reality. 

And both Keystone XL and Enbridge's “Keystone XL Clone” serve as key thoroughfares for making it happen.

Mon, 2014-11-03 15:41Chris Rose
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“Citizen Interventions” Have Cost Canada’s Tar Sands Industry $17B, New Report Shows

Oil companies and fossil fuel investors seeking further developments in the Alberta tar sands have been dealt another setback with the publication of a report showing producers lost $17.1 billion USD between 2010-2013 due to successful public protest campaigns.

Fossil fuel companies lost $30.9 billion overall during the same period partly due to the changing North American oil market but largely because of a fierce grassroots movement against tar sands development, said the report — Material Risks: How Public Accountability Is Slowing Tar Sands Development.

A significant segment of opposition is from First Nations in Canada who are raising sovereignty claims and other environmental challenges, added the report, which was produced by the Institute for Energy Economics and Financial Analysis (IEEFA) and Oil Change International (OCI).

Tar sands producers face a new kind of risk from growing public opposition,” Tom Sanzillo, director of finance at IEEFA, and one of the lead authors on the report, said. “This opposition has achieved a permanent presence as public sentiment evolves and as the influence of organizations opposed to tar sands production continues to grow.”

Mon, 2014-09-01 13:46Steve Horn
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Labor Day News Dump: FERC Hands Enbridge Permit for Tar Sands by Rail Facility

On the Friday before Labor Day — in the form of an age-old “Friday News Dump“ — the Federal Energy Regulatory Commission (FERC) handed a permit to Enbridge, the tar sands-carrying corporate pipeline giant, to open a tar sands-by-rail facility in Flanagan, Ill. by early-2016. 

With the capacity to accept 140,000 barrels of tar sands product per day, the company's rail facility serves as another step in the direction towards Enbridge's quiet creation of a “Keystone XL Clone.” That is, like TransCanada's Keystone Pipeline System sets out to do, sending Alberta's tar sands all the way down to the Gulf of Mexico's refinery row — and perhaps to the global export market.

Flanagan sits as the starting point of Enbridge's Flanagan South pipeline, which will take tar sands diluted bitumen (“dilbit”) from Flanagan to Cushing, Okla. beginning in October, according to a recent company earnings call. From there, Enbridge's Seaway Twin pipeline will bring dilbit to Port Arthur, Texas near the Gulf.

Enbridge made the prospect of a tar sands-by-rail terminal public for the first time during its quarter two investor call.

“In terms of the rail facility, one of the things we're looking at is – and the rail facility is really in relation to the situation in western Canada where there is growing crude oil volumes and not enough pipeline capacity to get it out of Alberta for a two or three year period,” Guy Jarvis, president of liquids pipelines for Enbridge, said on the call.

“So, one of the things we're looking at doing is constructing a rail unloading facility that would allow western Canadian crudes to go by rail to Flanagan, be offloaded, and then flow down the Flanagan South pipeline further into Seaway and to the Gulf.”

FERC has given Enbridge the permit it needs to make that happen.

Sun, 2014-08-31 08:00Steve Horn
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Legal Case: White House Argues Against Considering Climate Change on Energy Projects

Just over a month before the United Nations convenes on September 23 in New York City to discuss climate change and activists gather for a week of action, the Obama White House Council on Environmental Quality (CEQ) argued it does not have to offer guidance to federal agencies it coordinates with to consider climate change impacts for energy decisions.

It came just a few weeks before a leaked draft copy of the Intergovernmental Panel on Climate Change's (IPCC) latest assessment said climate disruption could cause “severe, pervasive and irreversible impacts for people and ecosystems.”

Initially filed as a February 2008 petition to CEQ by the International Center for Technology Assessment, the Sierra Club and the Natural Resources Defense Council (NRDC) when George W. Bush still served as President, it had been stalled for years. 

Six and a half years later and another term into the Obama Administration, however, things have finally moved forward. Or backwards, depending on who you ask. 

NEPA and CEQ

The initial February 2008 legal petition issued by the plaintiffs was rather simple: the White House's Council for Environmental Quality (CEQ) should provide guidance to federal agencies it coordinates with to weigh climate change impacts when utilizing the National Environmental Policy Act (NEPA) on energy policy decisions. 

A legal process completely skirted in recent prominent tar sands pipeline cases by both TransCanada and Enbridge, NEPA is referred to by legal scholars as the “Magna Carta” of environmental law.

Magna Carta; Photo Credit: Wikimedia Commons

CEQ oversees major tenets of environmental, energy and climate policy. It often serves as the final arbiter on many major legislative pushes proposed by Congress and federal agencies much in the same way the White House's Office of Information and Regulatory Affairs (OIRA) does for regulatory policy. 

Wed, 2014-08-27 13:10Steve Horn
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State Dept. Overseers of Contentious Enbridge Tar Sands Pipeline Workaround Have Industry, Torture Ties

The Sierra Club, National Wildlife Federation (NWF) and other green groups recently revealed that pipeline giant Enbridge got U.S. State Department permission in response to its request to construct a U.S.-Canada border-crossing tar sands pipeline without earning an obligatory Presidential Permit.

Enbridge originally applied to the Obama State Department to expand capacity of its Alberta Clipper (now Line 67) pipeline in November 2012, but decided to avoid a “Keystone XL, take two” — or a years-long permitting battle — by creating a complex alternative to move nearly the same amount of diluted bitumen (“dilbit”) across the border.

The move coincides with the upcoming opening for business of Enbridge's “Keystone XL” clone: the combination of the Alberta Clipper expansion (and now its alternative) on-ramp originating in Alberta and heading eventually to Flanagan, Ill., the Flanagan South pipeline running from Flanagan, Ill. to Cushing, Okla. and the Cushing, Okla. to Port Arthur, Texas Seaway Twin pipeline.

Together, the three pieces will do what TransCanada's Keystone XL hopes to do: move dilbit from Alberta's tar sands to Port Arthur's refinery row and, in part, the global export market.

Environmental groups have reacted with indignation to the State Department announcement published in the Federal Register on August 18. The public commenting period remains open until September 17.

Jim Murphy, senior counsel for NWF, referred to it as an “illegal scheme,” while a representative from 350.org says Enbridge has learned from the lessons of its corporate compatriot, TransCanada.

“When we blocked Keystone XL, the fossil fuel industry learned that they have a much stronger hand to play in back rooms than on the streets,” said Jason Kowalski, policy director for 350.org. “They will break the law and wreck our climate if that's what it takes for them to make a buck.”

But as the old adage goes, it takes two to tango. 

That is, influential State Department employees helped Enbridge find a way to smuggle an additional 350,000 barrels of tar sands per day across the border without public hearings or an environmental review. 

Tue, 2014-08-19 15:40Steve Horn
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Court: Key Environmental Law Doesn't Apply to Part of Enbridge Keystone XL "Clone"

Keystone XL Clone Flanagan South

A U.S. District Court for the District of Columbia has ruled that Enbridge’s 600-mile-long Flanagan South Pipeline, a Keystone XL “clone,” is legally cleared to proceed opening for business in October

Approved by the U.S. Army Corps of Engineers via a controversial regulatory mechanism called Nationwide Permit 12 (NWP 12), Judge Kentanji Brown Jackson, an Obama-appointed judge, ruled NWP 12 was not a federal government “action.” Thus, Brown posited that Enbridge did not need to use the National Environmental Policy Act (NEPA) regulatory process and NWP 12 was up to snuff.

The case pitted the Sierra Club and the National Wildlife Federation (NWF) against the Army Corps of Engineers and Enbridge and has lasted for just over a year, with the initial complaint filed on August 13, 2013 (Case #: 1:13-cv-01239-KBJ). 

Sierra Club and NWF submitted the recent precedent-setting Delaware Riverkeeper v. Federal Energy Regulatory Commission (FERC) case as supplemental authority for Sierra Club v. U.S. Army Corps of Engineers on the day that decision was handed down. 

But Jackson brushed it aside, saying it doesn't apply to Flanagan South, despite the fact that the Delaware Riverkeeper v. FERC decision said that a continuous pipeline project cannot be segmented into multiple parts to avoid a comprehensive NEPA review.

Although Enbridge will operate this project as a single pipeline, Flanagan South was broken up into thousands of “single and complete” projects by the Army Corps of Engineers. This helped Enbridge skirt the requirement of a more comprehensive and public-facing NEPA review, which involves public hearings and a public comment period.

“Here, not only was there no NEPA analysis of this massive project, there was never any public notice or opportunity for involvement before it was constructed across four states,” Sierra Club attorney for the case, Doug Hayes, told DeSmogBlog. “The entire thing was permitted behind closed doors.”

For all intents and purposes, then, Flanagan South is a fait accompli and tar sands diluted bitumen (“dilbit”) will begin pumping through it as summer turns to fall. 

Fri, 2014-08-15 17:30Steve Horn
Steve Horn's picture

Investor Call: Enbridge's Keystone XL Clone Opens in October, Rail Facility to Follow

In a recent quarter two call for investors, Enbridge Inc executives said the company's “Keystone XL” clone — the combination of the Flanagan South and Seaway Twin pipelines — will open for business by October.

As previously reported by DeSmogBlog, Enbridge has committed a “silent coup” of sorts, ushering in its own Alberta to Port Arthur, Texas pipeline system “clone” of TransCanada's Keystone XL tar sands pipeline. Unlike Keystone XL's northern leg, however, Enbridge has done so with little debate. 

With the combination of the Alberta Clipper (now called Line 67, currently up for expansion), Flanagan South and Seaway Twin pipelines, Enbridge will soon do what TransCanada has done via its Keystone Pipeline System.

That is, bring Alberta's tar sands to Gulf of Mexico refineries and send it off to the global export market.

According to Guy Jarvis, president of liquids pipelines for Enbridge, even though the Cushing, Oklahoma to Port Arthur, Texas Seaway Twin is technically operational, it will not become functional until Flanagan South opens in October. 

“The base plan had been, and still is, to do the line fill of the Seaway Twin from Flanagan South. So we don't expect to see too much off the Seaway Twin until Flanagan South does go into service,” Jarvis said on the investor call.

“It does have the capability to be line filled at Cushing if the barrels are available and the market signals would suggest that you would want to do that. But at this point in time, we think it will be the base plan that it is filled on from Flanagan South.”

Beyond piping diluted bitumen (“dilbit”) to market, Enbridge also has plans to market dilbit via rail in a big way.

Mon, 2014-07-21 14:26Justin Mikulka
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Maine Residents Fight American Petroleum Institute Lobbyists Over Ban on Tar Sands Shipments

Portland, Maine, has become the latest battleground in the fight against tar sands oil, with local residents facing off against energy industry forces in an attempt to ban tar sands oil from the city’s port.

The South Portland Clear Skies Ordinance, would ban tar sands oil from being loaded on to ships at the local port. City council will take a final vote on the measure today.

Three weeks ago, about 200 people attended a presentation on the proposed ordinance, many wearing blue “clear skies” t-shirts to show their support. Only three people spoke against the ordinance at that meeting.

But on July 7, when many of the same 200 people in blue t-shirts showed up at the meeting when the city council was set to vote on the ordinance, they were met with a surprise. The meeting room was packed with people in red shirts that read “American Energy” on the front and “SoPo Jobs” on the back.

Wed, 2014-07-09 09:32Guest
Guest's picture

The Fish Are Fine, Kinder Morgan Says

Chinook salmon

Ecojustice lawyers were among the many to file motions to the National Energy Board late last week regarding Kinder Morgan’s poor and non-existent responses to questions posed to it by intervenors. And while we were generally disappointed by Kinder Morgan’s evasive approach, we were shocked at one reply in particular.

When asked whether there is any evidence from cold water oil spills to suggest marine fish are impacted, Kinder Morgan’s response was that: “Harm to marine fish populations seems to be the exception, rather than the rule, following marine oil spills.”

That’s right   Kinder Morgan’s view is that when oil is spilled in water, there is little harm to fish, and it is more likely the fish will be just fine.

The motion Ecojustice lawyers filed on behalf of our clients, Living Oceans Society and Raincoast Conservation Foundation, asks the Board to order Kinder Morgan to fully respond to our clients’ first round of information requests about the Trans Mountain Expansion Project.

Kinder Morgan received more than 10,000 questions from intervenors. As we wrote last month, the company asked for an extension of the time limit to respond, but got only 14 of the 23 days they asked for. Our clients supported the request, in the interest of allowing Kinder Morgan time to provide as much information as possible.

Kinder Morgan's slippery responses

But now that the responses are in, we wonder whether the extra nine days would have made a difference. Responses from the company have ranged from vague to incomplete to non-existent. In short The information provided by Kinder Morgan is not nearly good enough. Of the 253 responses our clients received from the company, at least 77 – approximately 30 per cent – were inadequate. 

In 20 responses, Kinder Morgan refused to answer the question in whole or in part, by:

  • Claiming it was “not relevant” to the review (including the record of leaks and ruptures on Kinder Morgan’s other pipeline systems, and the make and model of clean-up equipment); or
  • Stating that it did not have the information (including air monitoring information), because the data do not exist, because the answer was not in the documents they relied on in the application, or because they had not done the necessary work to answer.

In five responses, Kinder Morgan gave a response which only partially answered the question or provided an answer but not the supporting data requested.

In the remainder of the responses, Kinder Morgan simply didn’t answer the questions it was asked. Here’s a snapshot of the ways the company answered questions with non-answers:

  • Cited a large document or report rather than provide an clear answer;
  • Referred to a document that did not contain any answer to the question; 
  • Said it would file an answer later; or
  • Cited a legal standard rather than address facts. 

As we mentioned above, when our clients asked if there was evidence from cold water oil spills, beyond evidence from the Exxon Valdez oil spill, of marine fish communities or habitat being impacted for more than two years after a spill, this was Kinder Morgan’s response: “Harm to marine fish populations seems to be the exception, rather than the rule, following marine oil spills.” 

In support of that mystifying non-answer, Kinder Morgan cited a 264-page report from Enbridge’s reply evidence in the Northern Gateway pipeline hearings. 

We’ve written about how, in the wake of the 2012 omnibus budget bill, reviews of major pipeline projects have been scaled back dramatically, sacrificing good science and process for “efficiency.” The Kinder Morgan Trans Mountain Expansion Project hearing, with its 15-month time limit and lack of oral cross-examination, is a prime example of how this shift is deeply problematic. 

We are now halfway through the two rounds of intervenor information requests, which are intervenors’ only chance to ask Kinder Morgan questions about its 15,000-page application. Our clients are increasingly worried that they will be unable to meaningfully challenge Kinder Morgan’s evidence, particularly given its evasive approach to our information requests. 

But as for the fish, according to Kinder Morgan, they will be just fine.

- See more at: http://www.ecojustice.ca/blog/the-fish-are-fine-kinder-morgan-says#sthas...

Ecojustice lawyers were among the many to file motions to the National Energy Board late last week regarding Kinder Morgan’s poor and non-existent responses to questions posed to it by intervenors. And while we were generally disappointed by Kinder Morgan’s evasive approach, we were shocked at one reply in particular.

When asked whether there is any evidence from cold water oil spills to suggest marine fish are impacted, Kinder Morgan’s response was that: “Harm to marine fish populations seems to be the exception, rather than the rule, following marine oil spills.”

That’s right   Kinder Morgan’s view is that when oil is spilled in water, there is little harm to fish, and it is more likely the fish will be just fine.

The motion Ecojustice lawyers filed on behalf of our clients, Living Oceans Society and Raincoast Conservation Foundation, asks the Board to order Kinder Morgan to fully respond to our clients’ first round of information requests about the Trans Mountain Expansion Project.

Kinder Morgan received more than 10,000 questions from intervenors. As we wrote last month, the company asked for an extension of the time limit to respond, but got only 14 of the 23 days they asked for. Our clients supported the request, in the interest of allowing Kinder Morgan time to provide as much information as possible.

Kinder Morgan's slippery responses

But now that the responses are in, we wonder whether the extra nine days would have made a difference. Responses from the company have ranged from vague to incomplete to non-existent. In short The information provided by Kinder Morgan is not nearly good enough. Of the 253 responses our clients received from the company, at least 77 – approximately 30 per cent – were inadequate. 

In 20 responses, Kinder Morgan refused to answer the question in whole or in part, by:

  • Claiming it was “not relevant” to the review (including the record of leaks and ruptures on Kinder Morgan’s other pipeline systems, and the make and model of clean-up equipment); or
  • Stating that it did not have the information (including air monitoring information), because the data do not exist, because the answer was not in the documents they relied on in the application, or because they had not done the necessary work to answer.

In five responses, Kinder Morgan gave a response which only partially answered the question or provided an answer but not the supporting data requested.

In the remainder of the responses, Kinder Morgan simply didn’t answer the questions it was asked. Here’s a snapshot of the ways the company answered questions with non-answers:

  • Cited a large document or report rather than provide an clear answer;
  • Referred to a document that did not contain any answer to the question; 
  • Said it would file an answer later; or
  • Cited a legal standard rather than address facts. 

As we mentioned above, when our clients asked if there was evidence from cold water oil spills, beyond evidence from the Exxon Valdez oil spill, of marine fish communities or habitat being impacted for more than two years after a spill, this was Kinder Morgan’s response: “Harm to marine fish populations seems to be the exception, rather than the rule, following marine oil spills.” 

In support of that mystifying non-answer, Kinder Morgan cited a 264-page report from Enbridge’s reply evidence in the Northern Gateway pipeline hearings. 

We’ve written about how, in the wake of the 2012 omnibus budget bill, reviews of major pipeline projects have been scaled back dramatically, sacrificing good science and process for “efficiency.” The Kinder Morgan Trans Mountain Expansion Project hearing, with its 15-month time limit and lack of oral cross-examination, is a prime example of how this shift is deeply problematic. 

We are now halfway through the two rounds of intervenor information requests, which are intervenors’ only chance to ask Kinder Morgan questions about its 15,000-page application. Our clients are increasingly worried that they will be unable to meaningfully challenge Kinder Morgan’s evidence, particularly given its evasive approach to our information requests. 

But as for the fish, according to Kinder Morgan, they will be just fine.

- See more at: http://www.ecojustice.ca/blog/the-fish-are-fine-kinder-morgan-says#sthas...
Dyna Tuytel, staff lawyer

This is a guest post by Ecojustice staff lawyer Dyna Tuytel.

Ecojustice lawyers were among the many to file motions to the National Energy Board late last week regarding Kinder Morgan’s poor and non-existent responses to questions posed to it by intervenors. And while we were generally disappointed by Kinder Morgan’s evasive approach, we were shocked at one reply in particular.

When asked whether there is any evidence from cold water oil spills to suggest marine fish are impacted, Kinder Morgan’s response was that: “Harm to marine fish populations seems to be the exception, rather than the rule, following marine oil spills.”

That’s right — Kinder Morgan’s view is that when oil is spilled in water, there is little harm to fish, and it is more likely the fish will be just fine.

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