TransCanada Wins Bid for Underwater Gas Pipeline Across Gulf of Mexico
TransCanada, owner of the proposed Keystone XL pipeline currently being contested in federal court and in front of a North American Free Trade Agreement (NAFTA) legal panel, has won a $2.1 billion joint venture bid with Sempra Energy for a pipeline to shuttle gas obtained from fracking in Texas' Eagle Ford Shale basin across the Gulf of Mexico and into Mexico.
The 500-mile long Sur de Texas-Tuxpan pipeline, as reported previously by DeSmog, is part of an extensive pipeline empire TransCanada is building from the U.S. to Mexico. The pipeline network is longer than the currently operating southern leg of the Keystone pipeline (now dubbed the Gulf Coast Pipeline). Unlike Keystone XL, though, these piecemeal pipeline section bid wins have garnered little media attention or scrutiny beyond the business and financial press.
The Sur de Texas-Tuxpan proposed pipeline route avoids the drug cartel violence-laden border city of Matamoros by halting at Brownsville and then going underwater across the U.S.-Mexico border to Tuxpan.
After it navigates the 500-mile long journey, Sur de Texas-Tuxpan will flood Mexico's energy grid with gas under a 25-year service contract. That energy grid, thanks to the efforts of the U.S. State Department under then-Secretary of State and current Democratic Party presumptive presidential nominee Hillary Clinton, has been privatized under constitutional amendments passed in 2013.
TransCanada and Sempra were the only bidders. TransCanada owns the joint venture with Sempra—coined the Infraestructura Marina del Golfo, Spanish for “marine infrastructure of the Gulf”—on a 60-percent basis.
“We are extremely pleased to further our growth plans in Mexico with one of the most important natural gas infrastructure projects for that country's future,” Russ Girling, TransCanada's president and CEO, said in a press release announcing the bid win. “This new project brings our footprint of existing assets and projects in development in Mexico to more than US$5 billion, all underpinned by 25-year agreements with Mexico's state power company.”
State Department Role, FERC and Presidential Permits for Sur de Texas-Tuxpan
David Leiter, a campaign finance bundler for Hillary Clinton's presidential campaign and former chief-of-staff for then-U.S.Senator and current Secretary of State John Kerry, lobbied the White House and the U.S. State Department in 2013 and 2014 on behalf of Sempra Energy on gas exports-related issues.
Sempra has a proposed liquefied natural gas (LNG) export terminal on the northwest, Baja California coast of Mexico called Energía Costa Azul (“Blue Coast Energy”) LNG. Leiter's wife, Tamara Luzzatto, formerly served as chief-of-staff to then-U.S.Sen. Hillary Clinton.
Because the pipeline is set to carry natural gas, as opposed to oil, it does not need a U.S. State Department permit (though tacit and non-permitted unofficial approval could still prove important). Instead, it seemingly technically requires U.S.Federal Energy Regulatory Commission (FERC) approval, as well as a presidential permit.
It is unclear if Sur de Texas-Tuxpan will require a presidential permit, though, given the precedent set in the Wild Earth Nation, Et Al v. U.S. Department of State and Enbridge Energy case.
In that case, the Judge allowed Enbridge to break up its tar sands diluted bitumen (“dilbit”)-carrying Alberta Clipper (Line 67) pipeline into multiple pieces—helped along with off-the-books and therefore unofficial State Department authorization—avoiding the more onerous presidential and National Environmental Policy Act (NEPA) permit review process altogether.
Due to the legal precedent set in another related case, Delaware Riverkeeper vs. FERC, oil and gas industry law firm Baker Botts explicitly recommended against utilizing the “segmentation” approach in a January 2015 memo that came out before the Enbridge case ruling.
“Project proponents should be careful to avoid potential 'segmentation' of a project into smaller parts simply to try to avoid a more thorough NEPA review,” wrote Baker Botts attorney Carlos Romo. “Segmentation occurs when closely related and interdependent projects are not adequately considered together in the NEPA process.”
The presidential candidates Clinton and Donald Trump have yet to comment on this pipeline or the topic of U.S.-Mexico cross-border pipelines on the campaign trail. But Financial Times, in an April article, pointed out that even Trump—who has pledged he will build a wall between the U.S. and Mexico—has little to say and will likely do little to halt cross-border lines like Sur de Texas-Tuxpan.
Though still fairly early on in the process, Florian's words have proven true so far.
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"These are not just wildfires, they are climate fires," Jay Inslee, Governor of Washington State, said as he stood amid the charred remains of the town of Malden west of Seattle earlier this month. "This is not an act of God," he added. "This has happened because we have changed the climate of the state of Washington in dramatic ways."
'These Aren't Wildfires'<p>Sam Ricketts, who led climate policy and strategy for Governor Jay Inslee's 2020 presidential campaign, tweeted on September 11 that "These aren't wildfires. These are #climatefires, driven by fossil fuel pollution."</p><p>"The rate and the strength and the devastation wrought by these disasters are fueled by climate change," Ricketts told DW of fires that have burnt well over 5 million acres across California, Oregon, Washington State, and into neighboring Idaho. </p><p>In a two-day period in early September, Ricketts notes that more of Washington State burned than in almost any entire fire season until now, apart from 2015. </p><p>California, meanwhile, was a tinderbox after its hottest summer on record, with temperatures in Death Valley reaching nearly 130 degrees Fahrenheit, according to the U.S. National Weather Service. It has been reported as the hottest temperature ever measured on Earth.</p>
<div id="29ad9" class="rm-shortcode" data-rm-shortcode-id="8346fe7350e1371d400097cd48bf45a2"><blockquote class="twitter-tweet twitter-custom-tweet" data-twitter-tweet-id="1306969603180879872" data-partner="rebelmouse"><div style="margin:1em 0">Drought-parched wetlands in South America have been burning for weeks. https://t.co/pjAKdFcKPg #Pantanal https://t.co/ImN2C5vwcp</div> — NASA Earth (@NASA Earth)<a href="https://twitter.com/NASAEarth/statuses/1306969603180879872">1600440810.0</a></blockquote></div><p>As evidenced by Australia's apocalyptic Black Summer of 2019-2020, fires are burning bigger and for longer, with new records set year-on-year. Right now, Brazil's vast and highly biodiverse Pantanal wetlands are suffering from catastrophic fires.</p>
#climatefires Started in Australia<p>Governor Inslee this month invoked the phrase climate fires for arguably the first time in the U.S., according to Ricketts.</p><p>But the term was also used as fires burnt out of control in Australia in late 2019. In the face of a 2000km (more than 1,200 miles) fire front, and government officials and media who <a href="https://www.dw.com/en/trump-climate-change-denial-emissions-environment-germany-fake-heartland-seibt/a-52688933" target="_blank">played down the link to climate change</a>, Greens Party Senator Sarah Hanson-Young and a friend decided that reference to bushfires was inadequate. </p><p>"We both just said, we've got to start calling them climate fires, that's what they are," the Australian Senator told DW.</p><p>Hanson-Young says scientists have been warning for decades that these would be the effects of global heating. "We've been told these kinds of extreme weather events and destruction is what climate change would look like, and it's right here on our doorstep," she said from her home state of South Australia — where by early September fire warnings had already been issued.</p><p>"Calling them climate fires was making it absolutely crystal clear. It is essential that there's no ambiguity," she said </p><p>Having deliberately invoked the term, Hanson-Young soon started to push it on social media via a #climatefires hashtag. </p>
How to Talk About the Urgency of Global Heating<p>The need to use more explicit language when talking about extreme weather events linked to climate change is part of a broader push to express the urgency of global heating. In 2019, activist Greta Thunberg tweeted that the term "climate change" did not reflect the seriousness of the situation. </p><p>"Can we all now please stop saying 'climate change' and instead call it what it is: climate breakdown, climate crisis, climate emergency, ecological breakdown, ecological crisis and ecological emergency?" she wrote. </p><p>"Climate change has for a long time been talked about as something that is a danger in the future," said Hansen-Young. "But the consequences are already here. When people hear the word crisis, they understand that something has to happen, that action has to be taken."</p><p><span></span>Some terms are now used in public policy, with state and national governments, and indeed the EU Parliament, declaring an official climate emergency in the last year. </p>
Words That Reflect the Science<p>But while the West Coast governors all fervently link the fires to an unfolding climate crisis, U.S. President Donald Trump continues to avoid any reference to climate. In a briefing about the fires, he responded to overtures by Wade Crowfoot, California's Natural Resources Secretary, to work with the states on the climate crisis by stating: "It'll start getting cooler. You just watch." Crowfoot replied by saying that scientists disagreed. Trump rejoined with "I don't think science knows, actually." </p><p>It was reminiscent of the anti-science approach to the coronavirus pandemic within the Trump administration, <a href="https://www.dw.com/en/donald-trump-admits-playing-down-coronavirus-risks/a-54874350" target="_blank" rel="noopener noreferrer">at least publicly</a>. Fossil fuel companies are also benefiting from his disavowal of climate science, with the Trump administration having <a href="https://www.dw.com/en/opinion-trumps-paris-climate-accord-exit-isnt-really-a-problem/a-51124958" target="_blank" rel="noopener noreferrer">pulled out of the Paris Agreement</a> and reopened fossil fuel infrastructure like the Keystone XL pipeline. </p><p>But the science community has responded, with Scientific American magazine endorsing Trump's Democratic presidential challenger Joe Biden, the first presidential endorsement in its 175-year history. </p><p>Hanson-Young says the use of explicit language like climate fires has also been important in Australia due to the climate denialism of politicians and the press, especially in publications owned by Rupert Murdoch. As fires burnt out much of Australia's southeast coast, they were commonly blamed on arson — a tactic also recently used in the U.S.</p>
Climate Rhetoric Could Help Decide Election<p>The language of climate has begun to influence the U.S. presidential election campaign, with Democratic nominee Joe Biden labelling President Trump a "climate arsonist."</p><p>Biden is touting a robust climate plan that includes a 2050 zero emissions target and a return to the Paris Agreement. Though lacking the ambition of The New Green Deal, it has been front and center of his policy platform in recent days, at a time when five hurricanes are battering the U.S. Gulf Coast while smoke blanketing the West Coast spreads all the way to the East. </p><p>People are experiencing the climate crisis in a visceral way and almost universally relate to the language of an emergency, says Ricketts. "They know something is wrong."</p>
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