Ultimately it is an election year and it will create a lot of jobs and it will be a lot of money and Americans are concerned about energy, they’re concerned about energy independence, they’re concerned about high gasoline prices. So to vote — to limit the amount of oil coming in to this country especially coming into it from a place like Canada would be a very difficult thing for Obama to do while facing what’s going to be a tough re-election. So most analysts, yes, they do expect it will be built.
Independent analysts whose work wasn’t paid for by the oil industry believe that the claims Hargreaves made are likely false. The tar sands pipeline will be as bad for the American economy as it is for the environment:
Keystone XL Could Kill American Jobs. TransCanada and the American Petroleum Institute cite a study by the Perryman Group, commissioned by TransCanada, that claims the pipeline’s construction will generate 20,000 American jobs. The U.S. State Department’s analysis, drafted by Cardno Entrix and also commissioned by TransCanada, estimates that the construction will only involve 5,000 to 6,000 workers, including non-American employees.
The only study independent of TransCanada influence, by the Cornell Global Labor Institute, finds that even the State Department’s employment figures are too rosy. In the first stages of the pipeline project, steel from Canada and India was used, and only 11 percent of workers were local hires. The pipeline will reduce air quality in both Canada and the U.S., increasing health care costs and thus killing jobs, for decades after the brief construction period of the pipeline.
Keystone XL Will Increase Gasoline Prices. Gasoline prices are expected to rise in 15 Midwest states, because the pipeline will allow Canadian oil producers to bypass that market and reach Texas refineries for export to China and the rest of the global market. In Canada, TransCanada says that one of the benefits of the pipeline is that it will raise the price of heavy crude oil in the Midwest.
Keystone XL Will Threaten Energy Independence. Canadian tar sands oil won’t reduce American dependence on foreign oil. The Keystone XL pipeline is designed to feed the global market, instead of U.S. demand. Its primary effect on American energy policy will be to increase the profits and thus the political influence of oil industry players like Exxon Mobil and Koch Industries, while accelerating the threats of global warming. Climate change, the greatest threat to global security, could reach a point of no return if Canada’s tar sands are fully exploited.
The Keystone XL debate is not economy versus environment — it’s a battle between dirty energy and clean energy.
CNN, whose campaign coverage has been sponsored for years by the coal and oil industry, has a shoddy track record of promoting dirty, risky, and expensive fossil fuel technologies, from “clean coal” to Arctic drilling.
Transcript: Read more