The project would have created over 42,000 jobs and $3.4 billion in GDP, according to the Department of State.
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Canadian Prime Minister Justin Trudeau said he was disappointed with the decision, but added it would not hinder relations between the two countries.
Perhaps the most telling number that emerged last week in the Keystone XL debate was that the Association of Oil Pipe Lines reported to the National Post in Toronto that the USA has installed more than 12,000 miles of oil pipelines – the equivalent of 10 Keystone XLs – since 2010.
Obama has become far more assertive on environmental issues in his second term and the decision will be a key part of his legacy as he prepares to leave office after next year’s presidential election.
September 22, 2015 – Clinton, now seeking the Democratic nomination for president, says she opposes construction of the Keystone pipeline.
US President Barack Obama has rejected the proposed Keystone XL oil pipeline project. Because of falling oil prices, it’s mostly a partisan issue. The State Department’s environmental impact review concluded a year ago that the pipeline wouldn’t have a meaningful negative impact on carbon emissions.
One of Kern’s largest oil and gas producers, Los Angeles-based California Resources Corp., interpreted Obama’s rejection as a sign that domestic petroleum companies will have to step up and increase production.
“Although (TransCanada has) been trying to keep the Keystone pipeline alive, really their attention is diverted onto other projects; there is more emphasis on Energy East and other elements”, Julie Brough, vice president at investment managers Morgan Meighen & Associates, which owns TransCanada stock, said.
Indeed, Obama and dozens of his officials will burn fossil fuel all the way to the Paris climate change conference in three weeks, where the president will doubtless tout the Keystone XL decision as evidence of his environmental credentials.
The proposed Keystone XL Pipeline would transport oil from Canada to North Dakota, South Dakota and Nebraska, connecting to existing pipelines to haul 800,000-plus barrels of crude oil a day to refineries along the Texas Gulf Coast. Its contribution to the economy has been exaggerated by proponents and its contribution to climate change has been exaggerated by opponents.
“Frankly, approving this project would have undercut that global leadership”, the president said.
In the end, the President chose politics over policy.
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Those sentiments were echoed by the Sierra Club, whose executive director, Michael Brune, also expressed relief and hope. “Stopping the Keystone XL pipeline is a victory for the planet, for the health and well-being of the communities along the pipeline route, and for future generations to come”.
