Pipelines Facing recent political obstruction

Politically-Motivated Maneuvers To Block Pipelines Cost Americans Thousands Of Jobs And Billions Of Dollars

A 2020 study by the Consumer Energy Alliance found that more than 66,000 jobs, $13.6 billion in investments, and more than $280 million per year in state and local tax revenue have been canceled or are at risk of being lost as a result of delayed pipeline projects. “Activists, litigation and permit delays have canceled or are threatening a minimum of $13.6 billion in economic activity, the creation and support of over 66,000 jobs and more than $280 million per year in state and local tax revenue just by targeting the pipeline projects in this report. Further, untold billions in cumulative consumer savings are being put at risk or have been permanently lost during an economic downturn simply because certain policymakers, regulators and even jurists will not approve pipelines.” (“How Pipelines Can Spur Immediate Post-Covid Economic Recovery,” Consumer Energy Alliance, 9/10/20)

Keystone XL

On his first day in office, Biden revoked the permit of the Keystone XL oil pipeline. “Construction on the long disputed Keystone XL oil pipeline halted Wednesday as incoming U.S. President Joe Biden revoked its permit on his first day in office. The 1,700-mile (2,735-kilometer) pipeline was planned to carry roughly 800,000 barrels of oil a day from Alberta to the Texas Gulf Coast, passing through Montana, South Dakota, Nebraska, Kansas and Oklahoma.” (Rob Gillies, “Keystone XL pipeline halted as Biden revokes permit,” Associated Press, 1/20/21)

During its construction, Keystone XL created 13,200 jobs. If it had been completed, the pipeline would have created 60,000 jobs and generated $3.6. billion in employment earning. (“Resources,” Keystone XL, Accessed 4/27/21)

(“Resources,” Keystone XL, Accessed 4/27/21)

New England Pipeline Shortage

Policymakers in New England states that have blocked new natural gas pipelines have forced the region to import Russian natural gas to meet skyrocketing demands. “Nevertheless, the cargoes are a startling reminder of the choices New England policymakers have made in regard to their energy security. The region is increasingly gas-dependent, today getting nearly half of its power from gas. Yet many policymakers in the deep-blue region are dead-set against any new gas pipelines, saying that the priority needs to be scaling up renewable energy and phasing out fossil fuels. Buying occasional shipments of LNG in the winter, they argue, is the better way to go. ‘LNG is a more efficient and economical way to meet energy needs during instances of high winter demand than building high-risk and costly pipelines that are not needed to maintain reliability,’ Chloe Gotsis, a spokeswoman for Massachusetts Attorney General Maura Healey (D), said by email. ‘Continuing to rely on pipelines is too risky for ratepayers and our climate.’ But in a scathing January editorial, The Boston Globe said that by fighting off gas infrastructure, environmentalists had effectively built a ‘Russian pipeline’ into the Arctic wild instead. The Russian gas arrives at a period of transition — or inertia, depending on your point of view — for the New England energy system. All six states in New England have goals to reduce greenhouse gases by 2050, and some, such as Connecticut and Massachusetts, want renewable energy to scale up to a dominant role. In the present, though, the region’s energy supply is tight and getting tighter, a situation that is highlighted with every winter chill.” (Saqib Rahim, “How Russian gas ended up on U.S. shores,” E&E News, 3/21/18)

• The Boston Globe even blasted these policies for financing Russian gas exploration with vastly damaging environmental effects “that now keeps the lights on in Massachusetts.” “To build the new $27 billion gas export plant on the Arctic Ocean that now keeps the lights on in Massachusetts, Russian firms bored wells into fragile permafrost; blasted a new international airport into a pristine landscape of reindeer, polar bears, and walrus; dredged the spawning grounds of the endangered Siberian sturgeon in the Gulf of Ob to accommodate large ships; and commissioned a fleet of 1,000-foot icebreaking tankers likely to kill seals and disrupt whale habitat as they shuttle cargoes of super-cooled gas bound for Asia, Europe, and Everett. On the plus side, though, they didn’t offend Pittsfield or Winthrop, Danvers or Groton, with even an inch of pipeline.” (Editorial, “Our Russian ‘pipeline,’ and its ugly toll,” The Boston Globe, 2/12/18)

According to the American Petroleum Institute, between 2016 and 2019, 90 percent of the $1.2 billion in liquid natural gas the U.S. has imported went to New England. “A pair of graphics prepared by API Chief Economist Dean Foreman help underscore the impacts of bad, consumer-impacting policies blocking needed natural gas infrastructure in New York and New England. First, because New York and New England don’t have enough natural gas pipeline capacity to meet the needs of consumers, especially during peak-demand months in the winter, the two have had to import liquefied natural gas (LNG) to help fill in the gaps. As Dean’s graphic shows, 90 percent of the $1.2 billion in LNG the U.S. has imported since 2016 went to NY/NE.” (Mark Green, “The $670 Million Question For New York, New England Consumers,” American Petroleum Institute, 4/4/19)

• “The bad news for consumers is that they paid about $670 million more for the imported LNG than they would have paid for domestic natural gas – that should have been available from the nearby Marcellus shale play with sufficient infrastructure to deliver it.” (Mark Green, “The $670 Million Question For New York, New England Consumers,” American Petroleum Institute, 4/4/19)

(Mark Green, “The $670 Million Question For New York, New England Consumers,” American Petroleum Institute, 4/4/19)

Dakota Access Pipeline

If the Dakota Access Pipeline were to cease operations because of current legal wrangling over its already-approved permits, it could hold up 500,000 barrels of fuel and cost Midwest farmers “$1 billion a year in losses because agricultural products would have to compete for limited rail car space.” “Another recent decision by a federal judge in the District of Columbia would take the unprecedented step of forcing the Dakota Access Pipeline to cease operations – nearly three years after it has been safely in daily operation6 – while its environmental permits are resubmitted and re-reviewed. These are permits that were already federally approved and included significant public input. If upheld, this decision has the potential to create total chaos in the Mid-Continent and Midwest by stopping more than 500,000 barrels a day of fuel from reaching families, truckers and markets. That would in turn have created cascading impacts for farmers and other industries who would have to compete for rail service to move their goods. Fortunately, a higher court ruled Dakota Access could keep operating until the case reaches a determination.7 An analysis by a commodity price-consulting group estimated the negative economic ripple effects for farmers in the Midwest could exceed $1 billion a year in losses because agricultural products would have to compete for limited rail car space.8 Arlen Suderman with Stone X Group consulting noted, “That means that ethanol plants have to wait for rail cars, and that means that grain companies have to wait for rail cars, or the cost of those cars are going to be a lot more expensive.” (“How Pipelines Can Spur Immediate Post-Covid Economic Recovery,” Consumer Energy Alliance, 9/10/20)

Line 5 in Michigan

In late 2020, Michigan Governor Gretchen Whitmer made moves to shutdown Enbridge Energy’s Line 5 pipeline that “transports more than half a million barrels a day of oil and natural gas liquids through Canada and the Great Lakes region.” “Enbridge Energy’s Line 5 transports more than half a million barrels a day of oil and natural gas liquids through Canada and the Great Lakes region. Late last year Ms. Whitmer moved to revoke and terminate an easement that lets the pipeline operate for 4.5 miles across the Straits of Mackinac. She’s seeking a state court injunction to force Enbridge to shut down Line 5 and “permanently decommission” the pipeline.” (Editorial, “Gretchen Whitmer’s Pipeline War,” The Wall Street Journal, 5/21/21)

A shutdown of Enbridge’s Line 5 would result in a loss of 33,755 jobs, $20.8 billion in economic activity and $2.36 billion in salaries, wages and benefits in the four-state region of Michigan, Ohio, Indiana and Pennsylvania. “Even with these limitations and exclusions, the potential economic losses that would likely attend the closure of the Enbridge Line 5 are huge. Based on the modeled business disruptions described, we used the IMPLAN economic input-output model to estimate total regional and state level economic losses. • For the four-state region (MI, OH, IN, PA) total annual economic losses of closing Line 5 are conservatively estimated at: ° $20.8 billion loss in economic activity. ° $8.3 billion reduction in combined Gross State Product ° $2.36 billion foregone labor earnings in salaries, wages and benefits. ° 33,755 lost jobs ° $265.7 million lower annual state tax revenues.” (“2021 The Regional Economic And Fiscal Impacts Of An Enbridge Line 5 Shutdown,” Consumer Energy Alliance, 5/21)

A Line 5 shutdown would also result in a shortage of 756,000 gallons of propane a day in Michigan, where 315,000 homes rely on the gas for home heating. “A Line 5 shutdown would mean a Michigan propane shortage of 756,000 US gallons a day—or 55% of the current amount supplied by Enbridge. Among the 50 states, Michigan has the highest rate of residential propane consumption in the country, with about 315,000 Michigan homes currently relying on propane. Line 5 serves an estimated 55% of the state’s propane needs, including approximately 65% of the propane used in the Upper Peninsula and northern Michigan, for which no viable alternatives exist.” (“Does Michigan really need Line 5?,” Enbridge, Accessed 6/7/21)

“A Line 5 shutdown would also cause a shortfall of 14.7 million gallons of gas, diesel and jet fuel a day—or 45% of the current Enbridge supply for refineries in Michigan, Ohio and the region.” (“Does Michigan really need Line 5?,” Enbridge, Accessed 6/7/21)

Line 3 In Minnesota

Activists have been attempting to block construction on a replacement section of Enbridge’s Line 3 through Minnesota through protests and legal wrangling, despite the fact that the project has fulfilled all regulatory and environmental permitting. “Construction on Line 3 resumed on June 1 after a spring break and, subsequently, several hundred protestors are now back in force aiming to stall construction and win more attention from the White House, including blockading roads and a pipeline pump station on June 7. The so-called ‘Treaty People Gathering’ is expected to continue on June 8. The group said in a statement that they are willing to put their bodies on the line to ‘tell the world that the days of tar sands pipelines are over. Only a major, nonviolent uprising — including direct action — will propel this issue to the top of the nation’s consciousness and force [President Joe] Biden to act. We are rising.’ The heavy oil pipeline is more than 60% completed in Minnesota after a two-month spring pause, with plans still on track for a fourth-quarter startup this year. Enbridge said June 7that it recognizes the ‘strong feelings’ of the protestors, but the project has gone through a thorough regulatory and environmental permitting process for six years.” (Jordan Blum, “New wave of protests aimed at Enbridge Line 3 replacement construction,” S&P Global, 6/7/21)

Line 3 tranports “crude oil required by refiners in Minnesota, neighboring states, Eastern Canada and the Gulf Coast.” “Line 3 has been, and continues to be, an essential component of Enbridge’s pipeline transportation network to deliver the crude oil needed by refiners, and used by residents. The replacement of Line 3 will ensure that Enbridge can transport the crude oil required by refiners in Minnesota, neighboring states, Eastern Canada and the Gulf Coast. As with the existing Line 3, the Project will be operationally integrated as part of the Enbridge Mainline System and will continue to transport crude oil from Hardisty, Alberta, Canada to Superior, Wisconsin.” (“Line 3 Replacement Project,” Enbridge, Accessed 6/7/21)

The Line 3 construction supports nearly 8,600 jobs, about $334 million in wages and “a $2 billion boost to the Minnesota economy.”  “Project benefits: Jobs: About 8,600 jobs (6,500 of them local) in Minnesota over a two-year period, including 4,200 union construction jobs, half of which are expected to be filled locally. Economic activity: A $2 billion boost to the Minnesota economy during design and construction, with $1.5 billion of that in Enbridge spending alone. Economic impact: About $334 million in payroll to workers (about 50% of that to local workers), and a $162-million construction-related gain for local economies, as a result of non-local workers in Minnesota, through purchase of local products/materials and use of local hotels, restaurants and services. Long-term property taxes: Increase property tax revenue in each county crossed by the Project. Enbridge pays more than $30 million in Minnesota property taxes annually; this will increase incrementally by more than $35 million beginning the first full year of service. Support for Minnesota refineries: The Line 3 Replacement Project will reduce apportionment, and continue reliable crude oil delivery; and provide energy savings on a per-barrel basis.” (“Line 3 Replacement Project,” Enbridge, Accessed 6/7/21)

Atlantic Coast Pipeline

In July 2020, construction of the Atlantic Coast Pipeline was cancelled after delays and legal challenges increased costs of the project. “Two of the nation’s largest utility companies announced on Sunday that they had canceled the Atlantic Coast Pipeline, which would have carried natural gas across the Appalachian Trail, as delays and rising costs threatened the viability of the project. Duke Energy and Dominion Energy said that lawsuits, mainly from environmentalists aimed at blocking the project, had increased costs to as much as $8 billion from about $4.5 billion to $5 billion when it was first announced in 2014.” (Ivan Penn, “Atlantic Coast Pipeline Canceled as Delays and Costs Mount,” The New York Times, 7/5/20)

The pipeline would have carried much-needed natural gas to “millions of families, businesses, schools and national defense installations across North Carolina and Virginia.” “The utilities said they had begun developing the project ‘in response to a lack of energy supply and delivery diversification for millions of families, businesses, schools and national defense installations across North Carolina and Virginia.’” (Ivan Penn, “Atlantic Coast Pipeline Canceled as Delays and Costs Mount,” The New York Times, 7/5/20)

“The lower cost of natural gas to fuel power generation lowers energy bills. Virginia and North Carolina electricity consumers could [have saved] up to $377 million annually.” (“Project Overview,” Atlantic Coast Pipeline, 11/16)

Construction of the Atlantic Coast Pipeline would also have supported 17,240 jobs and $2.7 billion in total economic activity. “Construction and operation of the ACP will result in a number of community and economic benefits in West Virginia, Virginia and North Carolina. Within the three-state area, the project will provide additional opportunities for new manufacturing, greater stability in energy prices, and air quality improvements through increased use of cleaner- burning natural gas as a fuel source for electric generation. The ACP will have significant economic impacts in the region. During construction, ACP is estimated to generate $2.7 billion in total economic activity and support 17,240 jobs. Additionally, capital expenditures during construction will generate $4.2 million annually in total tax revenue paid to local governments. Atlantic will pay property taxes to every locality through which it passes. Cumulatively, these payments could result in nearly $30 million annually by 2022.” (“Project Overview,” Atlantic Coast Pipeline, 11/16)

Mountain Valley Pipeline

In May 2021, the Mountain Valley Pipeline, a natural gas pipeline from West Virginia to Virginia, was delayed until the summer of 2022 and its estimated costs were boosted to $6.2 billion in the face of legal and regulatory battles against the pipeline’s construction. “U.S. pipeline company Equitrans Midstream Corp (ETRN.N) said on Tuesday the venture building the Mountain Valley natural gas pipeline from West Virginia to Virginia delayed its startup to the summer of 2022 and boosted its estimated cost to $6.2 billion. That timeline was in line with several analysts’ forecasts. Earlier, the Mountain Valley Pipeline (MVP) venture expected the project to enter service by the end of 2021 at an estimated cost of $5.8 billion-$6.0 billion. Equitrans said the delay was due to requests by environmental regulators in Virginia and West Virginia to the U.S. Army Corps of Engineers to extend the 120-day review period to evaluate MVP’s water quality certification applications. In anticipation of a lengthy legal battle, MVP in February decided to pull its previously approved Nationwide Permit 12, which allowed the pipeline to cross several waterbodies under one authorization, and instead file some 300 individual stream crossing permits with the Army Corps and states. MVP is one of several U.S. pipelines delayed by regulatory and legal fights with environmental and local groups that found problems with federal permits – like the Nationwide Permit – issued by the Trump administration. When MVP started construction in February 2018, it estimated the 303-mile, 2.0 billion cubic feet per day project would cost about $3.5 billion and enter service by late 2018.” (“Mountain Valley natgas pipeline start delayed to summer 2022,” Reuters, 5/4/21)

Beyond delivering affordable natural gas to the communities that need it, construction of the Mountain Valley Pipeline would sustain about 5,800 jobs, an average wage around $60,000 and $5.9 billion in economic activity. “Economic Benefits for Our Communities: Direct Spending:  With an estimated capital expense of $5.9 billion, the MVP project anticipates direct spending of $520 million in Virginia and $1.58 billion in West Virginia. Labor & Employment: The MVP project is estimated to sustain an average of 2,100 construction jobs in Virginia and 3,700 construction jobs in West Virginia through its targeted completion date. Wages and Benefits:  The MVP project has had a positive impact on wages and benefits to the overall economy, supporting an estimated average of $59,800 per person in Virginia and $60,600 per person in West Virginia. Tax Revenue:  Construction of the MVP project is expected to generate additional state and local tax revenue of approximately $49 million in Virginia and $82 million in West Virginia. Ad Valorem Taxes:  Once the MVP is operational, counties along the route will continue to receive tax revenues, generating an estimated $10 million annually in Virginia and $35 million annually in West Virginia.” (“Local Summaries,” Mountain Valley Pipeline, Accessed 6/7/21)

The colonial cyberattack Forced Reality over rhetoric on pipelines

The Recent Colonial Pipeline Cyber Attack Was A Case Study In How Important Pipeline Infrastructure Is In Every Day American’s Lives

On May 7, 2021, the Colonial Pipeline was shut down after a cyber attack by a Russian criminal group. “Most of the pipeline, which is the largest fuel transmission line from the Gulf Coast to the Northeast, has been offline since Friday. The company shut down its systems as a proactive measure after it fell victim to a ransomware attack by a criminal group known as DarkSide.” (Pippa Stevens, “Colonial Pipeline restarts after hack, but supply chain won’t return to normal for a few days,” CNBC, 5/12/21)

“Colonial runs 5,500 miles of pipeline between Texas and New Jersey and supplies the East Coast with nearly half the gasoline it uses, as well as jet fuel and heating oil.” (Will Englund and Ellen Nakashima, “Panic buying strikes Southeastern United States as shuttered pipeline resumes operations,” The Washington Post, 5/12/21)

“The pipeline is a critical part of U.S. petroleum infrastructure, transporting around 2.5 million barrels per day of gasoline, diesel fuel, heating oil and jet fuel.” “The pipeline is a critical part of U.S. petroleum infrastructure, transporting around 2.5 million barrels per day of gasoline, diesel fuel, heating oil and jet fuel. The pipeline stretches 5,500 miles and carries nearly half of the East Coast’s fuel supply. The system also provides jet fuel for airports, including in Atlanta and Baltimore.” (Pippa Stevens, “Colonial Pipeline restarts after hack, but supply chain won’t return to normal for a few days,” CNBC, 5/12/21)

The pipeline shutdown caused gas prices to surge above $3 for the first time since 2014. “Officials warned that gas supplies remained at reasonable levels, but panicked consumers headed to the pump as the pipeline shutdown stretched on for days. As of Wednesday afternoon 68% of gas stations in North Carolina were out of gas, according to data from GasBuddy. In South Carolina and Georgia 45% of stations were dry, while 49% of stations across Virginia reported outages. Gas prices have also ticked higher, with the national average for a gallon topping $3 on Wednesday for the first time since 2014.” (Pippa Stevens, “Colonial Pipeline restarts after hack, but supply chain won’t return to normal for a few days,” CNBC, 5/12/21)

Colonial Pipeline Co. eventually made a $4.4 million ransom payment in order to bring the pipeline back online and said “it was the right thing to do for the country.” “Joseph Blount, CEO of Colonial Pipeline Co., told The Wall Street Journal that he authorized the ransom payment of $4.4 million because executives were unsure how badly the cyberattack had breached its systems, and consequently, how long it would take to bring the pipeline back. Mr. Blount acknowledged publicly for the first time that the company had paid the ransom, saying it was an option he felt he had to exercise, given the stakes involved in a shutdown of such critical energy infrastructure. The Colonial Pipeline provides roughly 45% of the fuel for the East Coast, according to the company. ‘I know that’s a highly controversial decision,’ Mr. Blount said in his first public remarks since the crippling hack. ‘I didn’t make it lightly. I will admit that I wasn’t comfortable seeing money go out the door to people like this.’ ‘But it was the right thing to do for the country,’ he added.” (Collin Eaton and Dustin Volz, “Colonial Pipeline CEO Tells Why He Paid Hackers a $4.4 Million Ransom,” The Wall Street Journal, 5/19/21)

The Biden Administration’s Response To The Colonial Crisis Was A Sudden Reality-Based Contrast To Their Intensely Anti-Pipeline Agenda Thus Far

On May 12, 2021, Energy Secretary Jennifer Granholm tweeted, “We just got off the phone with #ColonialPipeline CEO. They are restarting pipeline operations today at ~5pm. More soon.” (U.S. Energy Secretary Jennifer Granholm, Twitter, 5/12/21)

(U.S. Energy Secretary Jennifer Granholm, Twitter, 5/12/21)

When asked about other means of getting fuel to the region during the Colonial crisis, Granholm admitted, “The pipe is the best way to go.” “In a response to a reporter’s question about the feasibility of shipping fuel via rail cars to areas of the Southeast grappling with tight fuel supplies while the pipeline is offline, Granholm pointed out the U.S. Department of Transportation (DOT) is exploring the option. However, she added that the DOT’s analysis may show that using rail cars to deliver fuel from U.S.-flagged and U.S.-crewed vessels in deepwater ports – in compliance with the federal Jones Act – may not be a suitable approach. ‘These … are not easy solutions because there may or may not be the right rail cars, there may … or may not be the deep-water ports available for the Jones Act to be able to respond,’ Granholm told reporters. The Cabinet secretary added that the Biden administration has worked to facilitate fuel deliveries by truck. She pointed out the DOT on Sunday granted an ‘hours of service’ waiver to provide truck drivers in 17 states and the District of Columbia greater flexibility in transporting gasoline, diesel, and jet fuel. Moreover, she said the DOT’s Federal Rail Administration is ‘working to enlist rail operators’ to transport fuel to and from inland ports. ‘So this particular area of the country there – this is why we have doubled down on ensuring that there’s an ability to truck … gas in,’ Granholm said. ‘But it’s – the pipe is the best way to go. And so that’s why, hopefully, this company, Colonial, will, in fact, be able to restore operations by the end of the week as they have said.’” (Matthew V. Veazey, “Biden Admin Official Says Pipeline Is Best Option,” Rigzone, 5/12/21; “Secretary of Energy acknowledges pipeline is ‘best way’ to transport fuel,” Fox Business, 5/13/21)

During a May 28, 2021, visit to Texas, Granholm doubled down on her praise of pipelines and said, “At the Department of Energy, we’re not against pipes. … We want to build more pipes. … There’s a lot of jobs that are associated with decarbonizing … and I think pipes are one of those opportunities.” “Last week she said her department wants to build more pipes, particularly to transport low-carbon fuels. Granholm: ‘At the Department of Energy, we’re not against pipes. … We want to build more pipes. … There’s a lot of jobs that are associated with decarbonizing … and I think pipes are one of those opportunities.’ The secretary is right. The nation needs more pipelines now, for the energy Americans use now and will use in the future. Pipelines are the safest way to deliver crude oil and natural gas and products made from them – taking energy from where it’s produced to residential, business and manufacturing consumers.” (Mark Green, “The Energy Infrastructure Opportunity,” American Petroleum Institute, 6/1/21)

At a congressional hearing Special Presidential Envoy for Climate John Kerry admitted pipelines were more carbon efficient than other forms of delivery, “Yeah, that is true. I think that is true, but it doesn’t mean you necessarily want to be adding another line when there are other alternatives. But is it better than train, and better than that? Yes, it is. In my judgment.” “At a congressional hearing yesterday, Rep. Darrell Issa (R-Calif.) asked Special Presidential Envoy for Climate John Kerry, ‘Isn’t it true the pipelines are more carbon-delivery-efficient than trains or trucks or other forms of delivery?’ Kerry responded, ‘Yeah, that is true. I think that is true, but it doesn’t mean you necessarily want to be adding another line when there are other alternatives. But is it better than train, and better than that? Yes, it is. In my judgment.’” (Ronald Bailey, “Special Presidential Envoy for Climate John Kerry Admits Pipelines Are Carbon-Delivery-Efficient,” Reason, 5/13/21; “John Kerry: Yes, A Pipeline Is More Carbon Efficient than Train or Truck,” Mr Producer Media, 5/12/21)

Pipelines aRE THE SAFEST AND MOST TESTED MEANS OF FUELING AMERICA’S ENERGY INDEPENDENCE

The U.S. “Has The Largest Network Of Pipelines In The World” With Millions Of Miles Spanning The Country

The U.S. “has the largest network of pipelines in the world” with millions of miles stretching across the U.S. delivering fuel to individual and businesses consumers. “The U.S. has the largest network of pipelines in the world. Millions of miles of pipeline thread their way across the United States, creating a transportation system that delivers fuels and feedstocks that American consumers, businesses, and manufacturers use daily.” (“Pipelines Power America,” Global Energy Institute, Accessed 5/22/21)

“The arteries of the Nation’s energy infrastructure, as well as one of the safest and least costly ways to transport energy products, our oil and gas pipelines provide the resources needed for national defense, heat and cool our homes, generate power for business and fuel an unparalleled transportation system.” (“General Pipeline FAQs,” U.S. Department of Transportation, Pipeline and Hazardous Materials Safety Administration, Updated 11/6/18)

“The nation’s more than 2.6 million miles of pipelines safely deliver trillions of cubic feet of natural gas and hundreds of billions of ton/miles of liquid petroleum products each year.” (“General Pipeline FAQs,” U.S. Department of Transportation, Pipeline and Hazardous Materials Safety Administration, Updated 11/6/18)

“They are essential: the volumes of energy products they move are well beyond the capacity of other forms of transportation.” (“General Pipeline FAQs,” U.S. Department of Transportation, Pipeline and Hazardous Materials Safety Administration, Updated 11/6/18)

• “It would take a constant line of tanker trucks, about 750 per day, loading up and moving out every two minutes, 24 hours a day, seven days a week, to move the volume of even a modest pipeline.” (“General Pipeline FAQs,” U.S. Department of Transportation, Pipeline and Hazardous Materials Safety Administration, Updated 11/6/18)
• “The railroad-equivalent of this single pipeline would be a train of 225, 28,000 gallon tank cars.” (“General Pipeline FAQs,” U.S. Department of Transportation, Pipeline and Hazardous Materials Safety Administration, Updated 11/6/18)

Pipelines Are The Safest Means To Transport Energy Products To Consumers And Industry

According to the U.S. Pipeline and Hazardous Materials Safety Administration, “Pipelines enable the safe movement of extraordinary quantities of energy products to industry and consumers, literally fueling our economy and way of life.” “The nation’s pipelines are a transportation system. Pipelines enable the safe movement of extraordinary quantities of energy products to industry and consumers, literally fueling our economy and way of life.” (“General Pipeline FAQs,” U.S. Department of Transportation, Pipeline and Hazardous Materials Safety Administration, Updated 11/6/18)

According to the U.S. Pipeline and Hazardous Materials Safety Administration, pipeline systems are the safest means to move oil and gas products. “Pipeline systems are the safest means to move these products. The federal government rededicated itself to pipeline safety in 2006 when the PIPES Act was signed. It mandates new methods and makes commitments for new technologies to manage the integrity of the nation’s pipelines and raise the bar on pipeline safety.” (“General Pipeline FAQs,” U.S. Department of Transportation, Pipeline and Hazardous Materials Safety Administration, Updated 11/6/18)

Pipelines are guided by state and federal regulation that ensures “the safety of the design, operation, maintenance, and emergency response of oil and natural gas pipelines and facilities.” “State and federal government regulatory processes guide the construction and safe use of oil and gas pipelines. Regulations ensure the safety of the design, operation, maintenance, and emergency response of oil and natural gas pipelines and facilities. Processes are in place to provide for the proper siting, planning, and public and stakeholder input and review of pipeline projects prior to construction.” (“Pipelines Power America,” Global Energy Institute, Accessed 5/22/21)

Pipelines Create Jobs—A Single Major Project Can Employ 7,000 Workers And $400 Million In Wages And Benefits

“There are 58 jobs for every mile of new transmission pipeline built.” “Abundant natural gas has benefitted the nation’s economy. According to the National Association of Manufacturers, between 2013-2018, natural gas development generated $101 billion in real gross domestic product (GDP) growth each year, resulting in approximately 730,000 more American jobs that contributed $87 billion more in annual disposable income. The chemical manufacturing industry, the single largest industrial consumer of natural gas, has invested over $202 billion in new plant capacity, in part because of the industry’s ability to access cheap gas, which has created a competitive advantage for the U.S. manufacturing sector. This has created $292 billion in new economic output and is predicted to generate 786,000 direct and indirect jobs by 2025, according to the American Chemistry Council. The infrastructure buildout itself creates opportunities for America’s skilled trade workers; there are 58 jobs for every mile of new transmission pipeline built.” (American Gas Association, et al, Letter to Members of the United States House of Representatives Committee on Energy & Commerce Subcommittee on Energy, 2/3/20)

• “To continue fully realizing the benefits of America’s natural gas abundance … the United States will need an additional 26,000 miles of natural gas transmission infrastructure—more than $150 billion in investment—between 2018 and 2035.” “To continue fully realizing the benefits of America’s natural gas abundance, additional energy infrastructure is needed. According to ICF International, the United States will need an additional 26,000 miles of natural gas transmission infrastructure—more than $150 billion in investment—between 2018 and 2035.” (American Gas Association, et al, Letter to Members of the United States House of Representatives Committee on Energy & Commerce Subcommittee on Energy, 2/3/20)

“A single major pipeline construction project is estimated to employ 7,000 construction workers and provide them and their families more than $400 million in salary and benefits.” (“Jobs From Pipelines,” Association of Oil Pipelines, Accessed 5/24/21)

“More than 500 workers are needed to construct each 100-mile section of pipeline.” (“Jobs From Pipelines,” Association of Oil Pipelines, Accessed 5/24/21)

“Heavy equipment operators, laborers, welders, Teamsters, foremen, engineers and quality control personnel are all needed to construct a pipeline.” “Pipelines also need pumping stations constructed every 50 miles. Heavy equipment operators, laborers, welders, Teamsters, foremen, engineers and quality control personnel are all needed to construct a pipeline.” (“Jobs From Pipelines,” Association of Oil Pipelines, Accessed 5/24/21)

Pipelines also “spur thousands of manufacturing jobs building pipe and components” and then supply feed-stocks that support the manufacturing jobs making other goods. “New pipelines spur thousands of manufacturing jobs building pipe and components. When construction is complete, the finished pipeline supplies energy and industrial feed-stocks to support thousands more additional manufacturing jobs making goods and products for decades to come.” (“Jobs From Pipelines,” Association of Oil Pipelines, Accessed 5/24/21)

“Analysis of a major proposed pipeline project showed that it would create 5,100 professional service and management jobs in engineering, architecture, planning and contracting.” “New pipelines create thousands of professional and service sector jobs on top of traditional construction and manufacturing jobs. Analysis of a major proposed pipeline project showed that it would create 5,100 professional service and management jobs in engineering, architecture, planning and contracting.” (“Jobs From Pipelines,” Association of Oil Pipelines, Accessed 5/24/21)

A 2016 Study By The National Association Of Manufacturers (NAM) Found “The Combination Of Increased Access To Shale Gas And The Transmission Lines That Move That Affordable Energy To Manufacturers Across America Meant 1.9 Million Jobs In 2015 Alone”

A 2016 study by the National Association of Manufacturers (NAM) found that in 2015 alone, construction of 6,028 miles of new natural gas transmission pipelines, resulted “in a temporary increase in employment of 347,788 jobs, with 59,874 in the manufacturing sector.” “IHS estimates that approximately $25.8 billion was spent in the U.S. in 2015 to construct 6,028 miles of new natural gas transmission pipelines, resulting in a temporary increase in employment of 347,788 jobs, with 59,874 in the manufacturing sector.” (“Natural Gas Study: Energizing Manufacturing,” National Association of Manufacturers, 5/16)

• NAM Study: “Similarly, the construction spending is expected to have contributed $34 billion to GDP and $21.9 billion to labor income in 2015.” “Similarly, the construction spending is expected to have contributed $34 billion to GDP and $21.9 billion to labor income in 2015. This study presents current unit cost estimates, in dollars per mile, for constructing and operating three types of NG pipelines: gathering, transmission, and local distribution. The focus of this study is on the economic impacts of constructing and operating new NG transmission lines, as they are the means by which pipeline-ready NG is transported from the wellhead to local markets; the effects of the other two other types of NG pipelines will also be considered as appropriate.” (“Natural Gas Study: Energizing Manufacturing,” National Association of Manufacturers, 5/16)

NAM Study: “In addition to providing key inputs for the construction of NG pipelines, the manufacturing sector will also benefit economically from the capital expenditures for new electric generating plants and for facilities used to process and store NG and natural gas liquids (NGLs).” “In a recent IHS manufacturing strategy study for the City of Philadelphia Industrial Development Corporation, core recommendations included expansion of NG pipeline capacity from the Marcellus Shale region to the Greater Philadelphia area as an enabler for expanding the regional manufacturing sector. Recent IHS research indicates that sectors such as food, cement, wood, paper, chemicals, and primary and fabricated metal products will be the largest beneficiaries of increased supplies and lower NG prices, as they both use it intensively (i.e., consume a high number of British Thermal Units (Btu) per unit of output) and require large amounts of it, especially in chemicals subsectors, where it is used as a feedstock. Expansions of NG pipeline capacity are also needed to enable the construction of new NG-fired electric generating plants. In addition to providing key inputs for the construction of NG pipelines, the manufacturing sector will also benefit economically from the capital expenditures for new electric generating plants and for facilities used to process and store NG and natural gas liquids (NGLs).” (“Natural Gas Study: Energizing Manufacturing,” National Association of Manufacturers, 5/16)

NAM Study: “In a nutshell, the combination of increased access to shale gas and the transmission lines that move that affordable energy to manufacturers across America meant 1.9 million jobs in 2015 alone.” (“Natural Gas Study: Energizing Manufacturing,” National Association of Manufacturers, 5/16)