Pipeliners are rejoicing President Donald Trump’s signing of two executive orders to revive long delayed pipeline projects. On Jan. 24, the president signed five such orders, the first two concerned the Keystone XL (KXL) pipeline and the Dakota Access Pipeline (DAPL). The Association of Oil Pipe Lines (AOPL) expressed gratitude for the moves on behalf of pipeline operators.
In a statement, the association said KXL retained overwhelming public approval throughout its review process and Election Day exit polls last November showed broad public support for new energy infrastructure.
“We thank President Trump for giving the American people the benefits of jobs and plentiful, affordable energy that pipelines will bring,” said Andrew Black, president and CEO of AOPL.
AOPL said that the signing of the executive orders demonstrated Trump’s support for the two pipelines and for streamlining the review and approval of pipeline projects generally.
Construction of the KXL pipeline would provide over 42,000 U.S. jobs and $2.1 billion in U.S. worker payroll, according to the U.S. State Department. While the project would support 6,800 construction jobs with $420 million in payroll, it would also lead to 4,600 manufacturing jobs with $309 million in payroll, 4,400 jobs in trade with $172 million in payroll, 2,200 jobs in finance and insurance with $131 million in payroll, 5,100 jobs in other professional services with $343 million in payroll, 2,700 jobs in health services with $141 million in payroll, and 5,700 jobs in food and accommodations with $278 million in payroll.
The State Department’s environmental review also found building KXL would do more to protect the environment and avoid greenhouse gas emissions than any alternative, including rejecting the pipeline. According to U.S. government statistics, 99.999 percent of petroleum products shipped by pipeline reach their destination safely. Since 1999, the number of incidents along pipeline rights of way is down 50 percent. Transporting crude oil by pipeline instead of other modes of transportation also results in fewer greenhouse gas emissions.
The Dakota Access Pipeline has created roughly 12,000 jobs during construction and is a critical link from the Bakken formation, which supports more than 80,000 North Dakota jobs. It has brought hundreds of millions of dollars in investment in heavy equipment and thousands of construction jobs to the state. DAPL has already spent over $3.54 billion in construction and development of the pipeline and continues to invest hundreds of millions a month into the U.S. economy as it moves to finish the project. The Dakota Access Pipeline project will result in an estimated $156 million in sales and income taxes during construction, and $55 million in property taxes annually.