Check your calendars ’cause the Keystone Pipeline is getting approved before you know it.
If you looked at the original impetus for quick approval of the pipeline over a year ago, you recall the reasons for denial from the Administration:
1. Approval is a issue for the State Department because it involves another country.
2. It will take more than the 6 weeks given by Congress to complete the approval process.
3. The route chosen was opposed by the Governor’s of the states the pipeline was going through.
4. The route chosen was opposed by environmentalists.
5. Approval was the purview of the Executive branch , not Congress.
Interestingly enough, the Administration reported to Congress soon after the bill was passed containing the provision to approve the pipeline that , as expected, the pipeline was being rejected as applied for. No kidding! We’re dealing with international issues and the President – regardless of party-is never going to cede control of expediting international issues. Congress got exactly what Congress knew they were going to get. Nada.
Although many gnashed, blustered, and spit, the company trying to secure the project did something very entrepreneurial … they began working on a back-up plan that could get approved. You see, that is what smart and effective business people do; they adapt to the situation in front of them and find a way to “get-it-done”.
Over the past year, a portion of the route was approved however it was not the controversial link that would get the product fully integrated from the northern border to the Gulf. That link was the real shiny object which was the source of all of the attention. Yet progress continued.
If you listened to the debate at the time, an actual timeline for approval was in fact laid out. It’s just no one wanted to hear it. Now it appears they are right on track with the timeline.
1. A new route was submitted
2. The opposition from the states is dwindling.
3. The environmentalists are not happy yet the new route did bypass the most sensitive water.
4. The State Department is close to completion on the application approval process.
5. Most importantly, Congress and the American public are not focused on the process so you can see that real progress is actually being made without any sniping.
This represents the perfect climate for getting a deal done.
Although Keystone oil will be refined in the US and then sold on the world market to the highest bidder, the project will in fact be approved. Some will celebrate and some will complain, however from a practical sense America always seems to get the job done when people are working together in good-faith.
Electricity from renewable sources currently makes up 14% of all electricity produced in the U.S.. The percentage will double in 10 years. We are well on our way to a truly integrated all-of-the-above strategy as we discover multiple options to transitions large portions of our energy portfolio from traditional fuels. This process will take time and investment. This journey will also take continued reliance on traditional energy solutions. Keystone is part of that solution and it’s approval is not the end of our world.
By the way, there is a presidential election going on. Do you really think we’re going to wait until January to see this project approved. Not a chance!
Keep your ears peeled. The Keystone Pipeline’s approval is imminent.