Keystone XL

Sun, 2012-01-08 12:14Ben Jervey
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Bechtel Whistleblower Warns Against Keystone XL; Witnessed Shoddy Work on TransCanada’s Keystone I

Back in August, DeSmogBlog’s own Emma Pullman co-produced a startling infographic about how the first section of TransCanada’s Keystone pipeline system was “Built to Spill,” with a dozen spills recorded in the pipeline’s first year of operation.

According to a must-read bombshell Op-Ed in the Lincoln Journal Star, these spills came as no big surprise to the workers closest to the project. The piece, published on New Years Eve by a former Bechtel engineer who worked on that original stretch of pipeline, tells the story of gross safety negligence and lax oversight in constuction of that first Keystone line, and warns against letting TransCanada again bring that threat to American soil.

Mike Klink was an inspector for the project, and claims he was fired by the company after repeatedly raising concerns about the substandard materials and poor construction of the pipeline. Klink warns that the company's missteps and shortcuts that already resulted in 12 spills in one year should serve as fair warning against TransCanada’s proposed Keystone XL pipeline.

Wed, 2012-01-04 18:36Brendan DeMelle
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API’s New ‘Vote 4 Energy’ Ad Campaign Is Thinly Veiled Election Year Bullying

American Petroleum Institute President Jack Gerard today announced the oil and gas industry’s latest election-year scare campaign to threaten the demise of the U.S. economy unless Big Oil gets its every wish in Washington. This year the wish list includes approval of the Keystone XL pipeline, expanded offshore drilling on both coasts, opening up the Arctic National Wildlife Refuge and more federal lands in the West to drilling, and smaller buffer zones between drilling operations and drinking water supplies.

What if Washington doesn’t comply by delivering Keystone XL and the rest of the wish list? Gerard, the oil industry’s chief bully, threatens “huge political consequences” for Barack Obama. 

You can almost set your watch to this industry’s tired plays on this front. If it’s January of a presidential election year, it must be time for the oil industry to threaten Washington politicians to ensure they continue to do the industry’s bidding. The threats are delivered in the form of outlandishly expensive advertising campaigns and punditry tours, aided by a captive media that serves its role as stenographer for the industry’s inflated jobs figures and misleading claims.

The API campaign is nothing more than a fresh skin on a very old and stale argument – that President ______ (insert current name) needs to continue opening up more of the nation’s lands, particularly public lands, for oil and gas drilling, OR ELSE ______(insert latest political talking point), in this case “jobs jobs jobs” will be lost (a bogus argument)

CNN notes the close correlation between API’s target states and some of the hottest states in the 2012 U.S. elections – hint: they’re the same.

Fri, 2011-12-30 13:49Farron Cousins
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The Year In Dirty Energy: Keystone XL

This year, a deal between TransCanada and the U.S. government almost allowed one of the most disastrous plans in energy history to win aproval. The deal would have allowed TransCanada to build the Keystone XL pipeline across the U.S. border to carry an exceptionally dirty form of oil from Alberta's tar sands through several U.S. states to refineries along the Texas gulf coast.

But thanks to some bizarre GOP politicking in the year-end fight over payroll tax cut legislation, the table is set for President Obama to reject this fossil folly. The likely demise of one giant ill-advised pipeline is no small feat, but it doesn't mean the world can forget about the tar sands, by a long shot. The world is still addicted to oil, and Canada's fossil-friendly leaders will continue their quest to sell the tar sands bitumen on the global market.

Ever since our founding in 2006, DeSmogBlog has helped spread the word about the dangerous health and climate impacts that the tar sands pose to the environment and the global climate. Over the past year, we focused our research particularly on the dirty tricks employed by the oil industry in an effort to get the Keystone XL pipeline approved.

After Friends of the Earth exposed the fact that TransCanada's Keystone XL lobbyist Paul Elliott had worked on Hillary Clinton's 2008 presidential campaign and enjoyed special access with former colleagues, DeSmogBlog revealed further ties between TransCanada lobbyists and the U.S. government. For example:

On the web of lobbyists with connections to Hillary Clinton:

However, the tar sands industry’s use of former Clinton associates to lobby on the controversial project extends beyond Mr. Elliott. DeSmogBlog has uncovered seven other influencers or lobbyists with ties to Clinton and Obama who have lobbied on behalf of tar sands interests for approval of the Keystone XL pipeline.

McKenna Long & Aldridge is one of the key outside firms registered to lobby for TransCanada Pipelines, which paid the McKenna firm at least $190,000 over the last 5 years to lobby on their pipeline issues, including $40,000 in the first half of 2011. McKenna employees donated $41,650 in campaign contributions to Hillary Clinton in 2008, according to the Center for Responsive Politics.

For the full report, see Hillary Clinton's Keystone XL Crony Lobbyists Problem.

Tue, 2011-12-27 22:15Farron Cousins
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The Year In Dirty Energy: Money, Corruption, And Misinformation

It is said that power corrupts, and absolute power corrupts absolutely. That statement has proven itself true time after time in both politics and business, but I would like to amend that statement slightly: Power corrupts, but money and power corrupt absolutely. This year has been no different. We’ve seen unprecedented amounts of money flowing from the dirty energy industry into the hands of politicians in order to achieve everything on their corporate wish lists.

From near constant hammering of the Environmental Protection Agency, to getting approval for dirty energy projects, corporate money has corrupted every level of politics this year.

I already covered the extensive efforts of the Koch brothers in a previous post, but they are hardly the only culprits who are attempting to undermine democracy and decency by pouring money into politics. Here are a few other stories of interest that DeSmogBlog has covered over the last 12 months:

The biggest “non-event” for climate denier dollars this year was the Heartland Institute’s “Denial-a-palooza” conference:

Fri, 2011-12-09 16:49Farron Cousins
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House Republicans Working On Huge Polluter Giveaways

The Republican-controlled U.S. House of Representatives is playing hardball with President Obama’s proposal to extend a payroll tax cut extension, and now they’ve found a way to use the extension as a means to grant their polluter friends everything on their holiday wish list.

According to Reuters, Republicans in the House added the approval of the recently-killed (albeit temporarily) Keystone XL Pipeline to the payroll tax cut extension bill, granting the project immediate approval if the rider stays connected to the bill. From Reuters, via Raw Story:

House of Representatives will include approval of a Canada-to-Texas oil pipeline in a payroll tax cut bill, House Speaker John Boehner said on Thursday, raising the political stakes on the issue.

The move by House Republicans marked a challenge to President Barack Obama, who has warned he would veto any bill that linked quick approval of TransCanada Corp’s Keystone XL pipeline to extending a tax cut for American workers that is due to expire on December 31.

But Senate Majority Leader Harry Reid (D-NV) quickly denounced the House GOP effort, making clear that it will not survive the Senate

Fri, 2011-12-09 16:07Steve Horn
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Congressmembers Implicated in Insider Stock Trading on TransCanada, Keystone XL Pipeline

When it comes to TransCanada Corporation's Keystone XL pipeline approval process, corruption has been rampant, as well covered by DeSmogBlog as it unfolded. The Keystone XL pipeline, currently in limbo, would carry tar sands crude – a thick and dirty fossil fuel called bitumen – from the Alberta tar sands through the heartland region and eventually down to Port Arthur, Texas, to be refined and placed on the global export market.

This week, a new layer of corruption was revealed by Sunlight Foundation Reporting Group, this one involving insider trading of TransCanada's stocks by four members of Congress, as well as by U.S. Ambassador to the United Nations, Susan Rice.

The politicians implicated and amount of money they invested in stock are as follows, according to Sunlight Foundation Reporting Group:

  • Rep. Michael McCaul, R-Texas, reported in his 2010 financial disclosure form–the most recent available, filed on May 15, 2011–that he owned Transcanada stock worth between $115,002 and $300,000 (financial disclosure forms ask members to report their assets within broad ranges).”
  • Sen. Thad Cochran, R-Miss., reported owning between $15,001 and $51,000 in TransCanada stock in his 2010 financial disclosure; according to his office, the ranking member of the Senate Appropriations Committee sold his stock on January 5, 2011.”
  • Rep. Judy Biggert, R-Ill., has held Trans Canada stock since 2004; her most recent disclsosure shows she owns a stake in the company worth between $1,001 and $15,000.”
  • Rep. Carolyn McCarthy, D-N.Y.…reported a $798 interest in Trans Canada.”
  • U.S. Ambassador to the UN, Susan E. Rice filed that she owned between $250,001 and $500,000 of TransCanada stock.”
Thu, 2011-11-10 13:27Ben Jervey
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Breaking: State Department Delays Keystone XL Decision Until 2013

The State Department announced today that they would “seek additional information” about the Keystone XL pipeline, meaning that they will take another 12 months at least to re-review the proposed pipeline route. This new review will build on (or make up) for the woefully-incompletely Environmental Impact Statement.

Here's the State Department's official language:


…given the concentration of concerns regarding the environmental sensitivities of the current proposed route through the Sand Hills area of Nebraska, the Department has determined it needs to undertake an in-depth assessment of potential alternative routes in Nebraska. …
Among the relevant issues that would be considered are environmental concerns (including climate change), energy security, economic impacts, and foreign policy.

The decision comes in the immediate wake of a massive protest at the White House on Sunday, as roughly 12,000 anti-pipeline activists circled the White House in a “solidarity hug.” The action was the latest in a series of protests and events staged by opponents of the proposed TransCanada pipeline that would funnel tar sands crude from Canada down to the Gulf Coast in Texas, much of it bound for export to other nations.

The decision to delay is a clear testament to the power of public engagement in the political process and good old-fashioned protest. But the battle isn't over yet.

Wed, 2011-11-09 06:00Ben Jervey
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Valero Positioning To Export Tar Sands Oil, Guarding Pot of Gold at End of Keystone XL Pipeline

In the heated Keystone XL debate, the Canadian company TransCanada, which is attempting to build the line, and the Koch brothers, who are throwing their considerable weight behind it in the interest of their Koch Industries’ subsidiaries, receive a lot of attention.
 

But there are other benefactors that are worth a closer look, as nobody stands to benefit as much in the longer term (if the Keystone XL pipeline is ever built) as the companies that operate the refineries on the Gulf Coast.

Let’s step back and review what the refineries actually do. The diluted tar sands bitumen (or “DilBit”) that would flow through Keystone XL is an ultra-acidic, highly viscous mess, that doesn’t at all resemble the refined petroleum products like diesel or gasoline or even jet fuel that are sold on the commercial markets. DilBit is, in the words of Keith Schneider, ”thick as peanut butter and more acidic, highly corrosive, and abrasive” than typical crude.

This tar sands DilBit needs to be refined before it can be sold. But only certain refineries are capable of handling the corrosive DilBit.

Refiners along the Texas Gulf Coast, where the Keystone XL pipeline would ultimately deliver tar sands DilBit from Canada, are eager to accomodate. The company that appears positioned to receive and refine more of TransCanada’s crude than anyone else is the Valero Energy Corporation (NYSE: VLO).

Mon, 2011-11-07 10:45Brendan DeMelle
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Inspector General To Investigate Keystone XL Conflicts

NRDC's Switchboard blog reports that the Inspector General will investigate the conflicts of interest and incompetence surrounding the Keystone XL pipeline permitting process.

NRDC reports: 

One day after 12,000 protesters stood outside of the White House calling on President Obama to reject the Keystone XL pipeline, the Office of the Inspector General has announced an investigation into bias and conflicts of interest associated with the project’s permitting.  The review responded to a letter sent by in late October by Senator Bernie Sanders, Representative Steve Cohen and 11 other members of Congress.

Read the Inspector General's letter announcing the Keystone XL investigation [PDF]
  

Sun, 2011-11-06 10:46Farron Cousins
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Bogus Job Numbers Used To Sell Keystone XL Pipeline

As thousands of protestors gather at The White House today to voice opposition to the Keystone XL Pipeline plan, one of the major selling points from the pipeline proponents is revealed as flawed and perhaps completely bogus. According to The Washington Post, the prospect of job creation – the reason so many people in America support the pipeline – isn’t as rosy as TransCanada would have us believe. In fact, their numbers don’t add up at all.

TransCanada threw out a figure of 20,000 jobs (13,000 construction, 7,000 for suppliers) that would be created directly and indirectly through the pipeline construction process. This is the figure that politicians have used to sell the pipeline to their constituents. But as The Washington Post points out, TransCanada chief executive Russ Girling admits the 20,000 figure is far from honest:

Girling said Friday that the 13,000 figure was “one person, one year,” meaning that if the construction jobs lasted two years, the number of people employed in each of the two years would be 6,500. That brings the company’s number closer to the State Department’s; State says the project would create 5,000 to 6,000 construction jobs, a figure that was calculated by its contractor Cardno Entrix.

As for the 7,000 indirect supply chain jobs, the $1.9 billion already spent by TransCanada would reduce the number of jobs that would be created in the future.

A TransCanada statement Sept. 30 said the project would be “stimulating over 14,400 person years of employment” in Oklahoma alone. It cited a study by Ray Perryman, a Texas-based consultant to TransCanada, saying the pipeline would create “250,000 permanent jobs for U.S. workers.”

But Perryman was including a vast number of jobs far removed from the industry. Using that technique in a report on the impact of wind farms, Perryman counted jobs for dancers, choreographers and speech therapists.

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