Tag Archives: Canadian oil

Keystone Pipeline causes heartburn

The pipeline that most members of Congress seem to support is causing me some grief.

It’s the Keystone project. It will carry petroleum from Alberta, through the middle of the United States, to Texas Gulf Coast ports. Then it will be shipped abroad, where refineries will process it into all sorts of products.

http://www.politico.com/story/2014/11/house-passes-keystone-xl-bill-112903.html?hp=b1_c3

The House of Representatives has approved legislation supporting it. The Senate is going to vote next week.

Should they agree with their House colleagues?

Sure. Why not?

President Obama isn’t sold on the project. He’s signaling he might veto the Keystone Pipeline bill if and when it lands on his desk. How come? Well, he doubts it will be a big job producer and notes that Canada is going to export the oil “everywhere else.” Thus, he believes it won’t have an impact on gasoline prices.

I’ll disagree with that last statement.

The fuel is going to pour into the worldwide supply that continues to outstrip worldwide demand. Therefore, the price of oil — and gasoline — continues to decline.

The federal government already has issued reports that suggest the pipeline would have minimal environmental impact.

I guess I just can’t get too worked up over this project one way or the other.

However, if I had a vote on it, I’d probably vote to build it, help our northern friends, pump more oil into the world market and hope it continues to keep downward pressure on the price of gasoline at the pump.