Houston Democratic Congressman Gene Green says he’s disappointed with the White House’s decision to block the Keystone XL Pipeline. He says he’s still hopeful the State Department and builder TransCanada will be able to work out an alternative route.
"What the president has done – he has given a road map, literally, to be able to build the pipeline. He said they could reapply, but they need to develop an alternative route through the sensitive areas of the Nebraska Sand Hills."
But Green says there’s a risk longer delays will lead Canada to sell the oil to China instead. Scott Segal is a partner with the Washington office of Houston law firm Bracewell & Giuliani.
"In order to get that material to China, one has to put it in oil tankers that will themselves be powered by diesel fuel. So the actual total carbon footprint of extracting oil sands related crude and sending it to China is much greater than if you put it through the relatively more fuel efficient Keystone pipeline and send it to relatively more efficient US refiners in the State of Texas."
TransCanada has announced plans to reapply for a permit.