The Keystone XL pipeline is officially dead
The developer of the Keystone XL oil sands pipeline abandoned the project on Wednesday after more than a decade of effort.
Why is this important: TC Energy’s decision ends one of the century’s most high-profile battles over climate change and energy. But the move is not surprising.
Get market news worthy of your time with Axios Markets. Subscribe for free.
President Biden canceled a cross-border permit in January, prompting TC Energy to suspend construction on the project that would bring hundreds of thousands of barrels a day from Alberta, Canada, to U.S. markets.
In addition to strong public and legal opposition from activists, market forces, including the boom in domestic production in the United States, helped undermine the momentum of the project.
What they say : “This project is ultimately scrapped thanks to more than a decade of resistance from indigenous communities, landowners, farmers, ranchers and climate activists along its route and around the world,” said David Turnbull of Oil Change International in a press release.
Yes, but via Reuters: Alberta Premier Jason Kenney said: âWe remain disappointed and frustrated with the circumstances surrounding the Keystone XL project, including the cancellation of the presidential permit for the pipeline crossing.
Catch up quickly: TC Energy, then known as TransCanada, first proposed the 1,200-mile pipeline over a decade ago, but resistance grew throughout the Obama administration.
President Obama rejected it in late 2015 after a lengthy review, saying the approval would undermine U.S. leadership on climate change (among other reasons).
The decision was made despite a state department concluded that approval or denial of the project would not have a major effect on emissions, as it was unlikely to affect the rate of oil sands extraction.
President Trump relaunched the project in 2017, but it still faced legal battles.
More from Axios: Sign up to get the latest market trends with Axios Markets. Subscribe for free