Page 4 - NorthAmOil Annual Review 2021
P. 4

NorthAmOil                                       JANUARY                                          NorthAmOil




       Keystone XL’s fate sealed





       as Biden takes office







       New US President Joe Biden took immediate steps to cancel

       the Keystone XL pipeline upon taking office in January, despite

       operator TC Energy’s last-ditch efforts to save the pipeline



        NORTH AMERICA    THE future of the planned Keystone XL pipeline   However, the project had become such a
                         appears to have been decided in Janaury. New  controversial one, having served as a lightning
       WHAT:             US President Joe Biden included the cancella-  rod for environmental protests for over a dec-
       New US President Joe   tion of the pipeline’s presidential permit in an  ade. Thus it may have been expected that TC
       Biden included the   executive order signed on January 20, his first  Energy’s last-ditch efforts would fail to change
       cancellation of Keystone   day in office. The sweeping executive order also  Biden’s mind.
       XL in his first set of   contained other measures related to protecting
       executive orders.  the environment and mitigating climate change,  Climate focus
                         including a moratorium on leasing activities in  In the executive order revoking Keystone XL’s
       WHY:              the Arctic National Wildlife Refuge (ANWR).  permit, climate change was cited as one of the
       Biden’s early actions   The move is not surprising, given that for-  main reasons for the decision.
       indicate at least some   mer US President Barack Obama, under whom   “The Keystone XL pipeline disserves the US
       shift away from fossil   Biden served as vice-president, had previously  national interest,” the executive order said. “The
       fuels.            rejected the pipeline before it was approved by  United States and the world face a climate crisis.
                         outgoing President Donald Trump. In addition,  That crisis must be met with action on a scale
       WHAT NEXT:        Biden is moving swiftly to undo some of the  and at a speed commensurate with the need to
       Keystone XL was thought   Trump administration’s decisions, which “do  avoid setting the world on a dangerous, poten-
       to be the energy project   not serve the US national interest”, according to  tially catastrophic, climate trajectory,” it contin-
       most at risk, though the   the incoming government.    ued. “At home, we will combat the crisis with an
       oil and gas industry will                              ambitious plan to build back better, designed to
       see other impacts in the   Last-ditch effort           both reduce harmful emissions and create good
       longer term.      Keystone XL’s developer, TC Energy, was trying  clean-energy jobs. Our domestic efforts must go
                         to save the project until the end, and unveiled a  hand in hand with US diplomatic engagement.
                         plan earlier in January for the pipeline to achieve  Because most greenhouse gas [GHG] emissions
                         net-zero greenhouse gas (GHG) emissions if it  originate beyond our borders, such engagement  The project had
                         was brought into service, which was targeted for  is more necessary and urgent than ever. The
                         2023.                                United States must be in a position to exercise   become such a
                           The company said net-zero emissions would  vigorous climate leadership in order to achieve a   controversial one,
                         be achieved by buying renewable energy from  significant increase in global climate action and
                         electricity providers, and purchasing renewable  put the world on a sustainable climate pathway.   having served as
                         energy credits or carbon offsets where direct  Leaving the Keystone XL pipeline permit in
                         access to renewable power is not available.  place would not be consistent with my Admin-  a lightning rod
                           TC Energy also pledged that additional  istration’s economic and climate imperatives.”
                         renewable sources would be developed along                               for environmental
                         the pipeline’s route by 2030, phasing out any  Response                    opposition for
                         potential need for renewable credits or carbon  TC Energy expressed its disappointment
                         offsets.                             with the decision to revoke its border permit   over a decade.
                           Biden has a long-term goal of putting the US  for Keystone XL, citing job losses and North
                         on the path towards net-zero emissions by 2050,  American energy security. The company added
                         and in the immediate term, he will be focused  that the cancellation would “negatively impact
                         on driving an economic recovery following  ground-breaking industry commitments to use
                         the coronavirus (COVID-19) pandemic. TC  new renewable energy”.
                         Energy hoped that Keystone XL’s job creation   Canadian Prime Minister Justin Trudeau also
                         potential, combined with these new environ-  released a statement saying his government was
                         mental goals, would help to sway Biden in his  disappointed with the cancellation but rec-
                         stance on the pipeline.              ognised Biden’s decision to fulfil his election



       P4                                       www. NEWSBASE .com                                Annual Review 2021
   1   2   3   4   5   6   7   8   9