New York Times: U.S. Delays Decision on Pipeline Until After Election

-By John M. Broder and Dan Frosch

November 10, 2011- The Obama administration, under sharp pressure from officials in Nebraska and restive environmental activists, announced Thursday that it would review the route of the disputed Keystone XL oil pipeline, effectively delaying any decision about its fate until after the 2012 election.

The State Department said in a statement that it was ordering a review of alternate routes to avoid the environmentally sensitive Sand Hills region of Nebraska, which would have been put at risk by a rupture of the 1,700-mile pipeline carrying a heavy form of crude extracted from oil sands formations in Alberta to refineries in Oklahoma and the Gulf Coast.

The move is the latest in a series of administration decisions pushing back thorny environmental matters beyond next November’s presidential election to try to avoid the heat from opposing interests — business lobbies or environmental and health advocates — and to find a political middle ground. President Obama delayed a review of the nation’s smog standard until 2013, pushed back offshore oil lease sales in the Arctic until at least 2015 and blocked new regulations for coal ash from power plants.

The proposed project by a Canadian pipeline company, TransCanada, similarly put the president in a political vise, squeezed between the demand for a secure source of oil and the thousands of jobs the project will bring, and the loud agitation of environmental advocates who threatened to withhold electoral support next year if he approved it.

Mr. Obama said in an interview with an Omaha television station last week that he would make the ultimate decision about the pipeline, but sought to portray Thursday’s announcement as solely a State Department matter and not the result of political calculation.

“I support the State Department’s announcement today regarding the need to seek additional information about the Keystone XL pipeline proposal,” the president said in a statement. “Because this permit decision could affect the health and safety of the American people as well as the environment, and because a number of concerns have been raised through a public process, we should take the time to ensure that all questions are properly addressed and all the potential impacts are properly understood.”

He said he remained committed to a politically balanced diet of increased domestic oil and gas production combined with incentives for the development of carbon-free alternatives.

FULL STORY HERE:


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