Quantcast

Keystone XL Export Pipeline: Bad for Americans, Bad for the Economy

Energy

Kevin Grandia

The core talking points for the supporters of TransCanada's Keystone XL pipeline center around U.S. domestic energy security and economic growth. However, Keystone is an "export pipeline" that will take tar sands oil from Alberta, Canada, and pump it down to a tax-free zone in Texas and out to foreign markets.

In other words, the European Union, China and Latin America get the oil, the foreign-owned oil companies get the cash and North Americans get a few jobs and oil spills!

It's a complicated issue for sure, so I've tried to break out the main points in an infographic. Please feel free to download and share it, use it and tear it apart. All the information has been fact-checked and verified by energy policy experts.

Click for enlarged view.

Taking into account the fundamental data from the U.S. and global oil markets, the end location of the Keystone XL, the infrastructure being built at refineries processing the bitumen and the commitment of oil companies to selling their product for the best price, it is easy to see Keystone XL offers greater energy security and economic growth, just not in America.

Europe and Latin America will have more energy security thanks to a massive fuel pipeline they can tap as long as they're willing to pay.

Additionally, oil companies will have a new bounty of profit to play with. Yes, some of that will fall back into American hands, but not as much as it would if the majority of the products to be processed in Port Arthur were sold in America, or if the refineries were not located in a Foreign Trade Zone and had to pay a tax on their products.

As for the promise of new jobs, there is a short-term influx on cash for constructing the pipeline, but the latest estimates find that there will only be about 35 permanent jobs over the long term. These pipelines, once built, demand very little maintenance. That is, of course, until there is an oil spill.

In making the final decision on whether to approve the Keystone XL pipeline, it comes down to whether President Obama is comfortable with making more cash for foreign oil companies—that are already the most wealthy companies in the world—for the long-term pay off of 35 permanent jobs and the oil spills that will inevitably occur.

Seems like a no-brainer to me.

Visit EcoWatch’s KEYSTONE XL page for more related news on this topic.

——-

EcoWatch Daily Newsletter

Children are forced to wear masks due to the toxic smoke from peat land fires in Indonesia. Aulia Erlangga / CIFOR

By Irene Banos Ruiz

Pediatricians in New Delhi, India, say children's lungs are no longer pink, but black.

Our warming planet is already impacting the health of the world's children and will shape the future of an entire generation if we fail to limit global warming to well below 2 degrees Celsius (35.6°F), the 2019 Lancet Countdown Report on health and climate change shows.

Read More Show Less
Private homes surround a 20 inch gas liquids pipeline which is part of the Mariner East II project on Oct. 5, 2017 in Marchwood, Penn. Robert Nickelsberg / Getty Images

The FBI is looking into how the state of Pennsylvania granted permits for a controversial natural gas pipeline as part of a corruption investigation, the AP reports.

Read More Show Less
Sponsored
Three cows who were washed off their North Carolina island by Hurricane Dorian have been found alive after swimming at least two miles. Carolina Wild Ones / Facebook

Three cows who were washed off their North Carolina island by Hurricane Dorian have been found alive after swimming at least two miles, The New York Times reported Wednesday.

Read More Show Less
The Dakota Access pipeline being built in Iowa. Carl Wycoff / CC BY 2.0

The fight between the Standing Rock Sioux and the owners of the Dakota Access Pipeline is back on, as the tribe opposes a pipeline expansion that it argues would increase the risk of an oil spill.

Read More Show Less
Scanning electron micrograph of Yersinia pestis, which causes bubonic plague, on proventricular spines of a Xenopsylla cheopis flea. NIAID / Flickr / CC BY 2.0

A middle-aged married couple in China was diagnosed with pneumonic plague, a highly infectious disease similar to bubonic plague, which ravaged Europe in the middle ages, as CNN reported.

Read More Show Less
Sponsored
Milk made from almonds, oats and coconut are among the healthiest alternatives to cow's milk. triocean / iStock / Getty Images Plus

Dairy aisles have exploded with milk and milk alternative options over the past few years, and choosing the healthiest milk isn't just about the fat content.

Whether you're looking beyond cow's milk for health reasons or dietary preferences or simply want to experiment with different options, you may wonder which type of milk is healthiest for you.

Read More Show Less
Greta Thunberg stands aboard the catamaran La Vagabonde as she sets sail to Europe in Hampton, Virginia, on Nov. 13. NICHOLAS KAMM / AFP via Getty Images

Greta Thunberg, the teenage climate activist whose weekly school strikes have spurred global demonstrations, has cut short her tour of the Americas and set sail for Europe to attend COP25 in Madrid next month, as The New York Times reported.

Read More Show Less
The Lake Delhi Dam in Iowa failed in 2010. VCU Capital News Service / Josh deBerge / FEMA

At least 1,688 dams across the U.S. are in such a hazardous condition that, if they fail, could force life-threatening floods on nearby homes, businesses, infrastructure or entire communities, according to an in-depth analysis of public records conducted by the the Associated Press.

Read More Show Less