The developer of the highly controversial Keystone XL oil pipeline, TC Energy, has made the decision to pull the plug from the project. The Keystone XL oil pipeline would have enabled the transportation of oil to the United States from Canada, and it also would have created multiple thousands of jobs.
TC Energy, a company based in Canada, ultimately cancelled the project, worth upwards of $8B, after Joe Biden elected to cancel the permit for the 2,000-mile pipeline, which ultimately would have delivered oil from the sands of Alberta, Canada to the oil refineries present across the Gulf Coast.
Biden’s cancellation of the permit constitutes the follow-up to his executive order for cancelling the pipeline, one of Biden’s “Day 1” executive orders presumably designed to combat climate change. The executive order quickly drew fierce backlash from Republican representatives, as well as even some Democrat representatives, who noted that Biden’s cancellation of the pipeline would ultimately kill multiple thousands of construction jobs.
Once Biden made this decision, TC Energy promptly suspended work on the pipeline. However, as of this week, the company confirmed that had decided to cancel the project entirely.
According to TC Energy, the company intends to continue coordinating with “indigenous groups,” “stakeholders,” and “regulators” in order to meet varied regulatory and environmental commitments, as well as ensuring “a safe termination of and exit from the project.”
Steve Daines, a Republican Senator hailing from Montana, remarked that the cancellation of the Keystone XL Pipeline project was not only “Biden’s fault” in its entirety, but also “devastating” to individuals depending upon it for work.
In contrast, Donald Trump had permitted for the pipeline to be constructed, as well as cross the Canada-U.S. border, prior to Biden’s overturning of Trump’s decision.
Prior to Trump’s decision, the proposed pipeline had been stalled for well over a decade due to innumerable challenges from varied environmental advocates, who raged about the possibility of oil spills and increased climate change.
According to David Turnbell, who is the strategic communications director at Oil Change International, the Keystone XL pipeline has now experienced formal abandonment, courtesy of “more than a decade of resistance” from various groups of individuals, ranging from climate activists to indigenous communities “along its route and around the world.”
The pipeline was initially proposed in 2008, though Barack Obama rejected the pipeline in 2015 after the cross-border application languished in the State Department for seven years.
However, once Trump revived the project, and by default the American economy, TC Energy began preliminary construction of the pipeline in 2020. However, it was not anticipated to be fully operational until 2023.