Quantcast
Environmental News for a Healthier Planet and Life

Study Finds that U.S. Gas Prices Will Increase if Keystone XL Pipeline Is Built

Energy
Study Finds that U.S. Gas Prices Will Increase if Keystone XL Pipeline Is Built

Natural Resources Defense Council

American drivers will face higher gasoline prices if the Keystone XL Tar Sands pipeline from Canada to the Gulf of Mexico were built, according to a new analysis by the Natural Resources Defense Council (NRDC).

That finding adds to the long list of reasons why the proposed pipeline should not be built, said the study, released on May 22.

“The pipeline’s proponents say it’s the solution to high gas prices. The truth is exactly the opposite—the pipeline would raise gas prices,’’ said Anthony Swift, NRDC attorney. “This is one of the most misunderstood issues surrounding this misguided Canadian project.”

If built, the Keystone XL pipeline daily would transport up to 830,000 barrels of the world’s dirtiest oil through America’s heartlands and breadbasket—diverting oil from Midwestern refineries, which now produce more gasoline per barrel than any other region in the U.S.

“The result would be less gasoline for American drivers—and higher prices at the pump,’’ Swift said.

The proposed pipeline would turbo-charge U.S. gas prices by increasing the prices that Midwestern refineries pay for crude oil—a fact that TransCanada, the company seeking to build the pipeline, has confirmed.

Today Midwestern refineries buy crude oil at deep discounts, allowing them to produce gasoline far more cheaply than they could otherwise. Keystone XL would change that, the study said.

“The oil industry is increasingly looking to lucrative international diesel markets to increase its profits,” said Lorne Stockman, research director at Oil Change International. “Keystone XL sends tar sands crude to refineries that are maximizing diesel production for export—and that means less gasoline for U.S. consumers.”

And based on TransCanada’s own analysis, under current market conditions Keystone XL would add $20 to $40 to the cost of a barrel of Canadian crude—adding tens of billions to the cost of oil throughout the U.S.

“Tar sands producers mislead the public into thinking these pipelines benefit consumers while instead these pipelines are just massive profit machines for the big oil companies,” said Tzeporah Berman, co-Founder of Forest Ethics.

“America does not need the Keystone XL pipeline—and does not need all the attendant harms that it would do to our air, our lands, our waters and our climate,’’ Swift said. "The solutions to our energy needs lie in reducing our demand for oil, increasing fuel efficiency standards, and eliminating subsidies for the oil and gas industry.”

Find the report by clicking here.

For more information, click here.

A dugong, also called a sea cow, swims with golden pilot jacks near Marsa Alam, Egypt, Red Sea. Alexis Rosenfeld / Getty Images

In 2010, world leaders agreed to 20 targets to protect Earth's biodiversity over the next decade. By 2020, none of them had been met. Now, the question is whether the world can do any better once new targets are set during the meeting of the UN Convention on Biodiversity in Kunming, China later this year.

Read More Show Less

EcoWatch Daily Newsletter

President Joe Biden signs executive orders in the State Dining Room at the White House on Jan. 22, 2021 in Washington, DC. Jabin Botsford / The Washington Post via Getty Images

By Andrew Rosenberg

The first 24 hours of the administration of President Joe Biden were filled not only with ceremony, but also with real action. Executive orders and other directives were quickly signed. More actions have followed. All consequential. Many provide a basis for not just undoing actions of the previous administration, but also making real advances in public policy to protect public health, safety, and the environment.

Read More Show Less

Trending

Melting ice forms a lake on free-floating ice jammed into the Ilulissat Icefjord during unseasonably warm weather on July 30, 2019 near Ilulissat, Greenland. Sean Gallup / Getty Images

A first-of-its-kind study has examined the satellite record to see how the climate crisis is impacting all of the planet's ice.

Read More Show Less
Probiotic rich foods. bit245 / iStock / Getty Images Plus

By Ana Maldonado-Contreras

Takeaways

  • Your gut is home to trillions of bacteria that are vital for keeping you healthy.
  • Some of these microbes help to regulate the immune system.
  • New research, which has not yet been peer-reviewed, shows the presence of certain bacteria in the gut may reveal which people are more vulnerable to a more severe case of COVID-19.

You may not know it, but you have an army of microbes living inside of you that are essential for fighting off threats, including the virus that causes COVID-19.

Read More Show Less
Michael Mann photo inset by Joshua Yospyn.

By Jeff Masters, Ph.D.

The New Climate War: the fight to take back our planet is the latest must-read book by leading climate change scientist and communicator Michael Mann of Penn State University.

Read More Show Less