It echoes the lawsuit in arguing that the Obama administration felt it “necessary to demonstrate US leadership on climate change” by denying the cross-border permit, “even though the Administration concluded multiple times that the pipeline would have no significant impact on climate change”.
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The $3.1 billion Keystone XL pipeline would have connected Canada’s oil sands to American refineries on the Gulf Coast, offering the promise of improving prices.
BRET BAIER: The company behind the Keystone XL Pipeline is challenging President Obama’s rejection of that project.
TransCanada said in its complaint that the permit denial discriminated against it – noting that three other pipeline companies had been granted permits for similar operations carrying Alberta crude into the United States. Seeking $15 billion in costs and damages, TransCanada says the rejection was “arbitrary and unjustified” – and unconstitutional.
Frank Benenati, a White House spokesman, didn’t respond to a request for comment.
“We have undertaken a careful evaluation of the (U.S) administration’s action as it relates to NAFTA and believe there has been a clear violation of NAFTA in these circumstances”, TransCanada said.
“We’re aware of recent developments with this file and TransCanada”, he said.
The company also filed a lawsuit in a U.S. Federal Court in Texas, which is not damage-driven but instead seeks to declare U.S. President Barack Obama’s decision to reject the project was without legal merit.
North Dakota Sen. John Hoeven (R), a strong pipeline proponent, said Obama’s actions will now likely stick taxpayers with a big bill to the Canadian company.
“This is about a foreign company trying to undercut safeguards that protect the American people”, said Anthony Swift, director of Natural Resources Defense Council’s Canada project. TransCanada says it will “carefully consider” whether to reapply for a permit.
“TransCanada has been unjustly deprived of the value of its multibillion dollar investment by the US administration’s actions”, according to a statement.
“Keystone XL is dead and nothing about this legal maneuvering changes that”.
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With more than 65 years’ experience, TransCanada is a leader in the responsible development and reliable operation of North American energy infrastructure including natural gas and liquids pipelines, power generation and gas storage facilities.
