A decision on the proposed northern half of the Keystone XL pipeline - under review since 2008 - hinges on a final environmental review by the State Department now taking into consideration the importance oil-by-rail transport might have on growth of Alberta's tar sands.
US officials are evaluating the impact Keystone XL will have on expansion of the tar sands and whether or not the pipeline will worsen climate change. According to a new report by Reuters the evaluation has created a balancing test, “zeroing in on the question of whether shipment by rail is a viable alternative to the controversial project.”
The test's crux: “if there is enough evidence that the oil sands region will quickly grow with or without the 1,200-mile line, that would undercut an argument from environmentalists that the pipeline would turbocharge expansion,” Reuters reports.
President Barack Obama's State Department is asking rail executives to report on logistics, market dynamics and what obstacles oil-by-rail alternatives face in delivering 830,000 barrels of Canadian oil to Cushing, Oklahoma - the “pipeline crossroads of the world” - where Keystone XL's northern half will link up with Keystone XL's southern half which is expected to be up and running by the end of October.
In other words, could rail realistically provide an alternative to the Keystone XL, aiding in the expansion of Canada's highly-polluting tar sands?