Long Overdue: Keystone XL Oil Pipeline (Or Something Like It)

In the first of many disastrous decisions, President Joe Biden killed the Keystone XL oil pipeline permit on his first day in office nearly four years ago. 

As a result, Americans -- and Nebraska workers -- have paid a heavy price in higher fuel prices and fewer private-sector jobs. Biden's politically motivated action has had significant consequences for Saline County's area economy.

In the Dorchester area, economic losses included lost construction jobs along with a dramatic reduction in use of local services and businesses -- including restaurants, hotels and retailers.

The move was not only unfair to a company that had invested billions of dollars and followed the rules, more than 1,000 jobs -- the majority unionized -- were eliminated. 

Nebraska property owners also took a major hit without the existence of a second Keystone pipeline that would have helped relieve the tax burden. See the Dorchester Times' previous reporting on this matter.

With the election of former President Donald Trump, there's now wide speculation that the 1,700-mile Keystone XL pipeline -- which would carry roughly 800,000 barrels of oil a day from Alberta to the Texas Gulf Coast -- could still become a reality.

As reported by national media, Chris Wright, Trump’s pick for energy secretary, has said restarting the pipeline was one of the most important things the government could do to boost energy supplies. But restarting the venture could be extremely difficult and costly, several media stories point out.

Three years ago, TC Energy, the Canadian-based sponsor of the Keystone XL Pipeline, said it was calling it quits. TC Energy recently spun off its pipelines business to a new company, South Bow, which hasn't indicated whether it will attempt to restart the Keystone XL, Fox Business reports.

Fox Business adds: Regardless of whether Keystone XL is ultimately restarted, there are likely to be more pipelines built crossing the Canada-U.S. border in the years ahead given the dynamics of the oil market.

"If you look around the globe, the supplies of diesel are relatively tight and the world needs more of it," said one oil executive. Pipelines like Keystone XL would allow Canadian oil to flow into the U.S. "in a more efficient, safe way" to alleviate the global supply shortage.

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