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Obama Vetoes Keystone XL Pipeline Bill 437

An anonymous reader writes: As expected, President Obama has vetoed a bill that would have given the green light for construction of the Keystone XL Pipeline. "By saying no to the legislation, Mr. Obama retains the authority to make a final judgment on the pipeline on his own timeline. The White House has said the president would decide whether to allow the pipeline when all of the environmental and regulatory reviews are complete. ... Since 2011, the proposed Keystone pipeline, which would deliver up to 800,000 barrels daily of heavy petroleum from the oil sands of Alberta to ports and refineries on the Gulf Coast, has emerged as a broader symbol of the partisan political clash over energy, climate change and the economy."
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Obama Vetoes Keystone XL Pipeline Bill

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  • by Anonymous Coward on Tuesday February 24, 2015 @04:43PM (#49122123)

    I guess Tom Steyer got what he paid for.

    Hint: "environmentalist" billionaire Steyer made his billions off coal, now owns a huge stake in a Canadian pipeline that would compete with the Keystone, and spent a LOT of money playing an "environmentally concerned" person trying to stop the Keystone pipeline.

    And the /tards rant about Fox News and the Kochs...

    • by bhv ( 178640 ) on Tuesday February 24, 2015 @05:02PM (#49122291)

      Pretty sure Berkshire Hathaway (BNSF Railway) is dancing a little jig today as well.

      • by Penguinisto ( 415985 ) on Tuesday February 24, 2015 @05:29PM (#49122561) Journal

        This, especially this. Pushing petroleum through pipelines instead of on his railroads would make him very sad, and nobody wants to make one of the biggest DNC contributors sad, now do they?

        Meanwhile the partisans will clog up Facebook and similar with variations of 'yay our Lord and Savior saved teh environmentz!' versus 'teh imperialz president OMG!'... ...while the fat cats laugh at the little people a little before they plan their next chess move (and lobbyists) in Washington DC.

        Meanwhile the world begins to do its best impression of Titanic-Meets-Iceberg ever.

        Fucking politics, gotta love it (eyeroll).

        • Re: (Score:3, Interesting)

          by sycodon ( 149926 )

          I heard an Oil Train just derailed and blew up the other day.

          At least the Oil Clean Up crews and probably funeral homes will have increased business.

        • by Anonymous Coward on Tuesday February 24, 2015 @05:55PM (#49122819)

          With all the smoke coming from the left and right, is the Keystone XL pipeline a good or bad idea?

          Right now, gas prices are relatively low, but they are rising, and oil will be back in the triple digits soon enough, almost definitely by Memorial Day. So, having the ability to use oil sands is a good thing since oil prices have replaced standard inflation for the reason for price hikes on virtually any type of good/service out there, and once oil starts going to $150-250 a barrel, the economy here in the US will grind to a halt, just like it did in 1972 and 2008. Plus, an oil sands pipeline is a lot cheaper than another theater of conflict in the Middle East.

          Of course, there are the downsides of the pipeline:

          It paralyzes growth in alternative energies, because medium term to long term, oil needs to be relegated for making plastic, not causing more climate change.

          It makes people rich who are not exactly good global citizens. ISIS just destroyed a major part of mankind's history today by torching museums and libraries in Mosul today, and demand for oil just supports nations and groups like that. Oil used now just means wars later.

          The record of oil pipelines isn't exactly sterling, with regards to leaks. Assuming it follows most construction done by the absolute lowest bidder, it won't exactly be leak-proof, and it will be a crap-shoot of what the pipeline fouls up.

          tl;dr... is this pipeline a net good, or a net bad overall?

          • by Anonymous Coward on Tuesday February 24, 2015 @06:01PM (#49122897)

            The oil sands are already being refined.. much in the upper midwest.
            The pipeline will bypass the midwest refinery's and send the oil down to a duty free port on the gulf of mexico where it can be exported.
            This will cause gas prices to RISE in the midwest, as well as cause more oil products to leave north america causing energy to rise overall.

            The pipeline is ONLY being built to get to the pre-existing duty free port so that they can manipulate a higher price for the oil.

          • by Gorobei ( 127755 ) on Tuesday February 24, 2015 @08:12PM (#49123873)

            Right now, gas prices are relatively low, but they are rising, and oil will be back in the triple digits soon enough, almost definitely by Memorial Day.

            Then you can make a ton of money right now by buying WTI futures or options. The consensus Memorial day price is under $60 - you can clean up to the tune of 1000%s of profit if you put money on your "almost definite" knowledge.

        • I love how, in the meantime, we're sticking it to Canada too.

          Apparently, their politicians don't have a big problem being our political football, but eventually Canadians are going to start taking it personally. Their media will play it up, politicians will then use it, and then they'll say fuck it.

          They could build the shit to deal with that oil if they had to, but they were under the impression that we had refineries willing to buy it. Heh, we even got them to build the pipeline.

          Obama does one thing very w

      • by guru42101 ( 851700 ) on Tuesday February 24, 2015 @05:34PM (#49122617)

        Actually BNSF hates shipping oil. It's too high risk in terms of brand value loss when a spill occurs. Source: I work for a different Berkshire subsidiary.

        Now in my own opinion. I prefer the pipeline, however the maintenance of pipes is generally crap and leaks are common. If there was a guarantee of proper maintenance then I'd be all about it vs the other available options. Perhaps this could be done by requiring an environment clean up, but we've seen how well that works in the past

        • by bobbied ( 2522392 ) on Tuesday February 24, 2015 @05:54PM (#49122813)

          You *do* realize that the oil that would be flowing though the XL Pipe literally goes solid at room temperature? Environmental risk exists, but it's not like this stuff is going to get too far away from a leak before cooling.

          • You *do* realize that the oil that would be flowing though the XL Pipe literally goes solid at room temperature?

            How do you think they push it down the pipe, then? Do they heat it up to such a high level so that it maintains an easy flow throughout the entire pipeline, assuming that it might get re-heated at pumping stations? Or do they mix it with something else to allow it to flow easier regardless of temperature? Assuming they do heat it instead of just adding an agent to make it flow easier, how long would it take to cool and solidify in the open air after spilling? What's the flow rate of the pipeline, if the

        • however the maintenance of pipes is generally crap and leaks are common.

          Citation needed. (Disclaimer: I work in the pipeline industry, but not for TCPL nor have any stake in KXL).

          This simply isn't true and is fear-mongering about pipelines at it's best. Sure, you can point to a few stories, but fact remains pipelines have over a 99.999% safe delivery rate. The vast majority of spills are where there's breaks in the line - eg. pump stations, terminals, manifolds, etc., and those are only are already-contained and monitored property. Opponents like to point to devastating sp

      • by xfizik ( 3491039 )
        Berkshire Hathaway also owns a large stake in Suncor, one of the largest oil sands producers.
  • by RingDev ( 879105 ) on Tuesday February 24, 2015 @04:48PM (#49122163) Homepage Journal

    This bill would move forward with the XL portion of the pipeline. The Keystone pipeline currently terminates at the refineries near Chicago, Il. The XL portion of the pipeline would extends the line to the Gulf Coast, allowing for the oil to be more easily re-sold on the world market as opposed to being land locked into the US market.

    The XL portion was never meant to reduce oil prices in the US, it was meant to increase profit margins by reducing costs to transport the oil and oil products to higher priced markets.

    Can we take down the environmentalism straw man yet?

    -Rick

    • by Gliscameria ( 2759171 ) on Tuesday February 24, 2015 @04:55PM (#49122219)
      My biggest complaint about this is that they were using eminent domain to take people's land for a project that is not primarily for the public good.
    • Re: (Score:3, Insightful)

      by lgw ( 121541 )

      The XL portion was never meant to reduce oil prices in the US, it was meant to increase profit margins by reducing costs to transport the oil and oil products to higher priced markets.

      Can we take down the environmentalism straw man yet?

      Nope - because oil is a world market. It will certainly reduce prices in the US by increasing the global oil supply.

      The US is a net exporter of everything energy-related except oil. Becoming a net exporter of oil would be terriffic - both for environmental reasons (using less), and because we'd no longer have a strategic interest in the Middle-East (of course, oil supply form there also affects world markets, but we'd be self-sufficient if it came to a real war, and so would maybe engage in fewer small wa

      • by RingDev ( 879105 ) on Tuesday February 24, 2015 @05:12PM (#49122411) Homepage Journal

        "Nope - because oil is a world market"

        Correct, except that it costs money to move. Having a continuous pipeline from Alberta to the Gulf Coast makes it dramatically cheaper to get the crude to the world market. Having the line terminate in Chicago makes it cheaper to refine and distribute regionally. This offsets shipping costs of bringing imported fuels in to the middle of the country. While oil as a whole is a fungible commodity in the concept of investment and pricing, the realistic implementation of it is still dependent on infrastructure and transportation.

        "It will certainly reduce prices in the US by increasing the global oil supply."

        The XL pipeline doesn't alter the world's supply. The same oil is already being pumped and refined, it just makes it cheaper to get to higher priced markets. It would reduce prices in the US if it were more profitable to sell in the US, which is largely what we currently see with the Keystone pipeline terminating in Chicago. With the termination point in the Gulf, the reduced cost of international distribution allows a greater profit to be earned by shipping it to other countries.

        "Becoming a net exporter of oil would be terriffic"

        And the XL pipeline would have no meaningful impact here. This is Canadian oil.

        "and because we'd no longer have a strategic interest in the Middle-East "

        The US doesn't currently have any strategic oil interests of our own in the Middle-East, and the XL pipeline would not impact that. The US only imports ~1/4 of our total oil consumption, the vast majority of that comes from Canada and Central America because it's closer and cheaper than floating barges over from Saudi Arabia.

        Europe on the other hand, has extremely limited oil supplies, they are quite dependent on Russia, the eastern block states, and the Middle East for their fuel. And the XL pipeline, even with direct access to the coast, isn't going to push enough oil to offset any sort of major disruption from Saudi Arabia or Russia.

        So in closing, no, the XL pipeline would not change us into a net exporter, it would not reduce gas prices in the US, and it would not have a meaningful impact on the global oil supply.

        -Rick

        • by rmdingler ( 1955220 ) on Tuesday February 24, 2015 @06:20PM (#49123049) Journal
          You sound like a poster who knows a thing or two about the oil business. Since through three of your posts, and I haven't read down very far, there has been no mention of the quality of your tar sands crude, perhaps we should start there. It's not Brent sweet light crude, it's not West Texas Intermediate, shit, it's fucking bitumen. It's great for asphault, roofing shingles, and sealing your canoe per the First Canadians first use.

          The shit's dirty. If we needed fuel to escape orbit to avoid imminent planetary disaster, and we've squandered our other options, maybe, but damn, just on the outside chance the climate change scientists are correct in their hypothesis... right?

      • The cost of producing the tar sands oil is high enough ($75-$95/barrel) that at current prices (below $55/barrel) it's uneconomical to produce so it won't help reduce prices until the price goes back up over $95/barrel.

      • Becoming a net exporter of oil would be terriffic - both for environmental reasons (using less)

        Using less only here? You mean it doesn't get burned by anyone once it's ben exported? Or are you talking about the diesel for the trains?

      • How would importing oil from Canada and then exporting it elsewhere make the US a net exporter of oil?
      • by sjames ( 1099 )

        But the pipeline wouldn't make the U.S. an exporter. It would be carrying Canadian oil so they could bypass the U.S. market and sell it to others who are willing to pay more.

      • by xfizik ( 3491039 )
        Wouldn't being self-sufficient make the US engage in more wars? No dependence on others would mean no real consequences... Pretty much like now.
    • by puzzled_decoy ( 3900563 ) on Tuesday February 24, 2015 @05:05PM (#49122333)

      What?

      The Keystone pipeline has four phases, three of which are complete. The first three bring oil down to the Gulf Coast from Canada. XL has nothing to do with that.

      The XL potion brings oil from Canada through Montana and Nebraska before it connects to the rest of the pipe. It has an initial capacity of 700,000 barrels, and can be increased to 900,000. http://www.downstreamtoday.com... [downstreamtoday.com]

      Also, there is massive shipping operations in Texas that allows the oil to easily be transported to coastal parts of the U.S.

      So I really don't know where you got that info, but maybe double check it next time...?

      • by RingDev ( 879105 )

        Ahh good call. My knowledge is dated. The 3rd phase was the leg that connected the gulf cost and it was completed last year.

        I should have double checked. If you excuse me, I'm going to go wipe this egg of my face.

        -Rick

    • by mjm1231 ( 751545 )

      That depends. Can we take down the "job creation" straw man while we're at it?

    • In what way is Chicago landlocked? The entire point of its existence is the fact that it's a good port to ship things from the interior of the US out the St. Lawrence Seaway to the rest of the world.

    • by chill ( 34294 ) on Tuesday February 24, 2015 @05:30PM (#49122571) Journal

      Almost.

      The Keystone-Cushing extension (Phase II), running away480-kilometre (300 mi) from Steele City to storage and distribution facilities (tank farm) at Cushing, Oklahoma, completed in February 2011.

      The Gulf Coast Extension (Phase III), running 784-kilometre (487 mi) from Cushing to refineries at Port Arthur, Texas was completed in January 2014, and a lateral pipeline to refineries at Houston, Texas and a terminal will be completed in mid-2015.

      It is only the Phase IV leg, running from between Hardisty, Alberta, and Steele City, Nebraska that wasn't approved. That part crosses the U.S.-Canadian border.

      Obama signed off on the rest (symbolically, I believe, as I don't think it required Federal approval), back in 2011.

  • by WhiteDragon ( 4556 ) on Tuesday February 24, 2015 @04:53PM (#49122203) Homepage Journal

    Actually, after looking it up, I see that it is only his 3rd. For comparison, George W. Bush did 11, Bill Clinton did 36, George H.W. Bush did 29, and Ronald Reagan did 39. Is that because he's signing lots of things, or because the congress is sending him so few bills?

    • From what I have read, it is because congress sent him so few bills. http://www.politifact.com/trut... [politifact.com]
    • by Amigan ( 25469 ) on Tuesday February 24, 2015 @05:00PM (#49122267) Homepage
      Harry Reid served as backstop to make sure unpopular vetoes (and Senate votes) wouldn't take place 2009-2014. Republican majority in the Senate means more bills *might* make it to the President's desk, but only if Dems don't use that evil 'filibuster' thingee that Republicans used.
      • by dwye ( 1127395 )

        There is a simple cure for the filibuster threat - demand that they actually hold one. You try speaking for 12 or more hours straight with no bathroom breaks and no sitting down. Supposedly, back in the 1960s when Southern senators were holding them fairly often, it took the designated speaker a week to get ready and almost as long to recover.

        • You can only filibuster a bill that has jumped enough of the procedural wickets to be debated on the floor. As the Senate rules now stand, a number of these wickets involve super majority votes. So to block a bill, you only need to pick one of these choke points and kill it there. The filibuster is only a last ditch effort to delay a bill by a vocal minority who can manage to get the floor during a debate on a bill. Once a senator starts talking during a debate, the floor is his for as long as he keeps
    • by the_skywise ( 189793 ) on Tuesday February 24, 2015 @05:02PM (#49122295)

      Few bills - His first two years was a Democrat controlled congress so anything that reached his desk was something he wanted.

      Ever since, until this year, the Republicans controlled the house and the Democrats the Senate and Reid basically played bad cop to Obama's good cop. Reid would block and deflect any legislation that wasn't in the Democrats interest so all legislation was slowed down considerably as most bills originate in the house. (which is why there's been no budget bill for years just continuing resolutions on the one passed years ago, Reid would never act on them). Now the Republicans have control of the congress so legislation Obama doesn't want has reached his desk.

      Even though this legislation could be reasonably stated to be a bipartisan bill. There's not enough votes currently to override but it's not an insurmountable number, either.

      • by Trepidity ( 597 )

        Even though this legislation could be reasonably stated to be a bipartisan bill.

        Eh, that's stretching it a bit, at least in the Senate. It's bipartisan in the sense that it got more than 0% of the Democrats to vote for it, but not much more: 20% of the D caucus voted for it, 80% against.

        • OTOH, more than 58% of Senate Democrats voted for the Iraq war as did 40% of the House Democrats.

          I guess Democrats wanted the Iraq war a lot more than they want the pipeline, and they wanted the war *way* more than Republicans ever wanted Obamacare.

    • Actually, after looking it up, I see that it is only his 3rd. For comparison, George W. Bush did 11, Bill Clinton did 36, George H.W. Bush did 29, and Ronald Reagan did 39. Is that because he's signing lots of things, or because the congress is sending him so few bills?

      It's been the Senate under democrat control that's been blocking just about everything of any political consequence from reaching his desk. Even now, with the cloture 2/3'rds cloture rule, the democrats are generally preventing debate on anything they don't want to see on Obama's desk. The XL pipeline happened to garner enough support to get though the series of 4 (I think) of the 66% required votes to get it passed though the Senate.

  • by Anonymous Coward

    or why the fuck is' this on slashdot (beside every fucking news-channel/-site/-blog in the us)...?

  • Is this legal?

    Mr. Obama retains the authority to make a final judgment on the pipeline on his own timeline

    I mean, if congress passes it first, that makes it potentially law if the President agrees. But can a president sit on something until any time he chooses or veto his previous veto?

    If so, I can see some strategic uses for that:

    1. 1. Congress declares war
    2. 2. President vetos declaration of war
    3. 3. Six months later President vetos his veto of war and simultaneously authorizes surprise attack.
    • If I'm not mistaken, Congress can override the veto with a 2/3rds majority. It's all part of the checks and balances we supposedly have.
    • Re:Reversable Veto? (Score:4, Informative)

      by sjames ( 1099 ) on Tuesday February 24, 2015 @05:43PM (#49122721) Homepage Journal

      Yes, it is absolutely legal. He already had the authority to make the decision so he would in no way be "vetoing his veto".

      If Congress is unsatisfied with this outcome, they may attempt to override that veto, but they probably can't get enough votes for that.

  • by musixman ( 1713146 ) on Tuesday February 24, 2015 @05:22PM (#49122497)
    It's simple, the oil will be shipped by train as it is now. Which obviously emits way more greenhouse gasses then a pipeline. Rich people aren't gonna "stop" trying to make money of energy because of no pipeline lol.
    • Rail is a bottleneck on the tar sands, as the developers aren't going to mine far beyond their capcity to transport the product, which is why they want the pipeline. Which gives more time for a less fascist government to replace Harper, or just forget about the whole project with the current cheap price of oil. But once you've got an investment like a completed pipeline, you're going to want to get your money back, even if means waiting years for the price of oil to go back up.

  • Right now this oil moves via rail, which is far riskier than a pipeline.

  • by bcoinbilly ( 4005939 ) on Tuesday February 24, 2015 @06:58PM (#49123315)
    Sounds like he researched this bill and came to a conclusion that it would be better to veto it. I doubt any partisan behavior had anything to do with as he never striked me as a partisan President. I bet even some republicans secretly wanted this bill vetoed.
  • by CaptainDork ( 3678879 ) on Tuesday February 24, 2015 @07:37PM (#49123631)

    ... Bakken oil came through and made Canadian shale unnecessary. The US has more oil than God, now.

    Oil companies are going to go all OPEC on us and start cutting back on production to manipulate prices for maximizing profits.

    Canadian oil is a buzz killer. That's why you won't see much opposition to the veto.

  • Stupid idea anyway (Score:4, Interesting)

    by WillAffleckUW ( 858324 ) on Tuesday February 24, 2015 @07:54PM (#49123757) Homepage Journal

    Unless you want to live in a 140 F (40 C) world, you need to leave 2/3 of all the coal and tar sands in the ground and not export them like morons.

    Earth will get along fine after we kill ourselves off due to our shortsighted nature.

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