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Thursday, May 24, 2012

Well I have been paying a lot of attention to what everyone is saying, not just one party or the other.  I even listen to Rush just to get another perspective (it is usally filled with some pretty ugly "hate speak" but that is who he is. 

Recently the Keystone Oil Pipeline has become a major piece of the puzzle.  I have heard bits and pieces, and truly could not understand what all the fuzz was about.  If the current route is through protected areas, just adjust the current path to a less invasive one.  It seems that not importing oil could be a good thing, but of course, requiring less dependence on any oil, would be the best course of action.

I have done some research to find out a little more about this pipeline and have been surprised by my findings.  When researching I also try to get at least 2 sources that verify the information, and try to use sources that don't have a "dog in the fight"

The first surprising tidbit was: In 2007, President Bush signed into law Section 526 of the Energy Independence and National Security Act of 2007. It prohibits the US government, which is the largest single fuel purchaser in the U.S., from using taxpayer dollars to purchase fuels that have a higher carbon footprint than conventional oil.  This law is important because Congress crafted it, in part, with the explicit intent to block the US from buying Canadian tar sands oil — considered the dirtiest oil on the planet.  According to Congressman Henry Waxman, Chair of the House Energy Committee, the US purchase of tar sands oil would clearly violate Section 526. As he wrote in a letter to the Senate Commerce Committee in 2008, the law “applies to fuels derived from unconventional petroleum sources such as tar sands which produce significantly higher greenhouse gas emissions then are produced by comparable fuel from conventional sources.”

Meanwhile the Canadian government has been working behind the scenes to strike Section 526 from the books to clear the way for tar sands extraction. Using Freedom of Information requests, the Pembina Institute and Climate Action Network Canadian, uncovered a 2008 strategy memo by Canadian Embassy official Hélène Viau, which urged US oil lobbyists to send letters to the U.S. Department of Energy and the Department of State to show “concerns with regard to section 526 and argue that oil sands products should not be targeted by this provision,” and to develop “a comprehensive oil sands advocacy strategy to focus on outreach to allies, influencers, legislators, etc.”

Canadian companies backing the Keystone XL – touted as enhancing US energy security with a big new surge of imported Canadian oil – actually expect it to supply more lucrative Gulf Coast export markets as well as raise Midwest oil prices by reducing “oversupply” in that region.
http://switchboard.nrdc.org/blogs/eshope/caught_in_the_act_canadas_lobb.html

Surprising, I did not know this.  Now I am beginning to see the "Big Picture" why there is so much controversy, it appears to be the profit of the oil companies vs Our Planet. 

Keystone XL will not lessen U.S. dependence on foreign oil, but transport Canadian oil to American refineries for export to overseas markets.
  • Keystone XL is an export pipeline. According to presentations to investors, Gulf Coast refiners plan to refine the cheap Canadian crude supplied by the pipeline into diesel and other products for export to Europe and Latin America. Proceeds from these exports are earned tax-free. Much of the fuel refined from the pipeline’s heavy crude oil will never reach U.S. drivers’ tanks.

  • Gas prices: Keystone XL will increase gas prices for Americans Especially Farmers
    • By draining Midwestern refineries of cheap Canadian crude into export-oriented refineries in the Gulf Coast, Keystone XL will increase the cost of gas for Americans.
    • TransCanada’s 2008 Permit Application states “Existing markets for Canadian heavy crude, principally PADD II [U.S. Midwest], are currently oversupplied, resulting in price discounting for Canadian heavy crude oil. Access to the USGC [U.S. Gulf Coast] via the Keystone XL Pipeline is expected to strengthen Canadian crude oil pricing in [the Midwest] by removing this oversupply. This is expected to increase the price of heavy crude to the equivalent cost of imported crude. The resultant increase in the price of heavy crude is estimated to provide an increase in annual revenue to the Canadian producing industry in 2013 of US $2 billion to US $3.9 billion.”
    • Independent analysis of these figures found this would increase per-gallon prices by 20 cents/gallon in the Midwest.
    • According to an independent analysis U.S. farmers, who spent $12.4 billion on fuel in 2009 could see expenses rise to $15 billion or higher in 2012 or 2013 if the pipeline goes through. At least $500 million of the added expense would come from the Canadian market manipulation.
  • Jobs - Jobs - Jobs??:
    According to TransCanada’s own data, just 11% of the construction jobs on the Keystone I pipeline in South Dakota were filled by South Dakotans–most of them for temporary, low-paying manual labor.
    Dirty tar sands oil
    Pollution from tar sands oil greatly eclipses that of conventional oil. During tar sands oil production alone, levels of carbon dioxide emissions are three times higher than those of conventional oil, due to more energy-intensive extraction and refining processes. The Keystone XL pipeline would carry 900,000 barrels of dirty tar sands oil into the United States daily, doubling our country's reliance on it and resulting in climate-damaging emissions equal to adding more than six million new cars to U.S. roads.
    Water waste
    During the tar sands oil extraction process, vast amounts of water are needed to separate the extracted product, bitumen, from sand, silt, and clay. It takes three barrels of water to extract each single barrel of oil. At this rate, tar sands operations use roughly 400 million gallons of water a day. Ninety percent of this polluted water is dumped into large human-made pools, known as tailing ponds, after it’s used. These ponds are home to toxic sludge, full of harmful substances like cyanide and ammonia, which has worked its way into neighboring clean water supplies.
    Indigenous populations
    Northern Alberta, the region where tar sands oil is extracted, is home to many indigenous populations. Important parts of their cultural traditions and livelihood are coming under attack because of tar sands operations. Communities living downstream from tailing ponds have seen spikes in rates of rare cancers, renal failure, lupus, and hyperthyroidism. In the lakeside village of Fort Chipewyan, for example, 100 of the town’s 1,200 residents have died from cancer.
    The threat of spills remains. In summer 2010, a million gallons of tar sands oil poured into the Kalamazoo River in Michigan from a pipeline run by another Canadian company, Enbridge. The spill exposed residents to toxic chemicals, coated wildlife and has caused long-term damage to the local economy and ecosystem.
    Heightening concerns, TransCanada's Keystone I pipeline has spilled a dozen times in less than a year of operation, prompting a corrective action order from the Department of Transportation. Experts warn that the more acidic and corrosive consistency of the type of tar sands oil being piped into the U.S. makes spills more likely, and have joined the EPA in calling on the State Department to conduct a thorough study of these risks.
    The Keystone XL pipeline would traverse six U.S. states and cross major rivers, including the Missouri River, Yellowstone, and Red Rivers, as well as key sources of drinking and agricultural water, such as the Ogallala Aquifer which supplies two million Americans.
    Refining tar sands oil
    After traveling through the Keystone XL pipeline, tar sands oil would be brought to facilities in Texas to be further refined. Refining tar sands oil is dirtier than refining conventional oil, and results in higher emissions of toxic sulfur dioxide and nitrous oxide. These emissions cause smog and acid rain and contribute to respiratory diseases like asthma. Communities near the refineries where the Keystone XL pipeline would terminate, many of them low-income and communities of color, already live with dangerously high levels of air pollution. The Keystone XL pipeline would further exacerbate the heavy burden of pollution and environmental injustices these communities confront.

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