Mr. Chairman, I yield myself such time as I may consume. I rise today in support of H.R. 3408, which is known as the Protecting Investment in Oil Shale the Next Generation of Environmental, Energy, and Resource Security Act. This is…
Mr. Chairman, I yield myself such time as I may consume.
I rise today in support of H.R. 3408, which is known as the Protecting Investment in Oil Shale the Next Generation of Environmental, Energy, and Resource Security Act.
This is primarily about the Keystone pipeline. The Keystone pipeline has been a topic of discussion in America for the last 3 or 4 years. When it came to the attention of Congress that this pipeline, which promises to create tens of thousands of jobs and increase our access to safe and secure supplies of oil, was experiencing an unreasonable level of delay, Congress decided that we needed to step in.
We have, in Keystone pipeline, a company willing to invest $7 billion in private funds at no expense to the taxpayer. That would ultimately bring nearly a million barrels of oil per day from Canada to the U.S.-- additional oil per day.
Even the President's Jobs Council agrees. Their report specifically suggested the pipeline is a win-win-win for job creation, modernizing the Nation's infrastructure, and helping ultimately to lower gasoline prices in America. I would also like to point out that five major labor unions support the building of the Keystone pipeline.
A few years ago, Secretary of State Hillary Clinton was in San Francisco giving a speech at the Commonwealth Club. In response to a question about Keystone pipeline, whether or not they would issue the permit to build it, Secretary of State Clinton said: We are inclined to do so.
This project has now been studied for over 40 months by seven or eight agencies of the Federal Government. And normally, to build an oil pipeline in America, it takes on the average of 24 months. When the Department of State issued their final environmental impact statement back in August 2011, they concluded that there were not any significant environmental issues. And they also said that when they look at the option of either, one, building a pipeline, or, two, not building a pipeline, that the preferable option was to build the pipeline. And of course the rationale for that is that if you don't build the pipeline and you bring oil in from other countries, you either have to do it by truck or by rail, which certainly emits a lot into the atmosphere.
But despite all of these positive reasons to build this pipeline, President Obama made a blatantly political decision when he said: I don't want to decide until after the Presidential election. And that's when Congress got involved and said we'd like a decision by February of 2012. And the President said: Well, I don't have enough time to study it, so I'm not going to allow it--even though it has been studied for 40 months. This is a 1,700-mile pipeline. The only issue left relates to about 60 miles in the State of Nebraska, and the Governor of Nebraska supports building this pipeline.
So this is a win-win-win situation for the American people, and I would urge my fellow Members to support this legislation to require FERC to make a decision on this pipeline.
I reserve the balance of my time.
At this time, I would like to yield 3 minutes to the distinguished gentleman from Nebraska (Mr. Terry).
I yield the gentleman 1 additional minute.
Mr. Chairman, how much time do I have remaining?
I yield myself 2 minutes.
Mr. Chairman, we're here today because it's time to decide. President Obama and his administration have made a decision not to decide, even though his own Secretary of State, in their final economic environmental impact statement, made the decision that if you looked at two options--one, build the pipeline, or two, not build the pipeline-- the preferable route was to build the pipeline; 1 million more barrels of oil a day coming to America, ultimately. We're facing ever- increasing gasoline prices.
There's only 60 miles at issue at all in this pipeline out of 1,700. Five major labor unions support this pipeline. There's not one dime of Federal dollars in this pipeline, unlike the millions and billions that this administration have given to wind power and solar power and battery companies--many of which are in bankruptcy, just like Solyndra, which received $538 million from the taxpayers of America. This is a private company willing to put in $7 billion to bring 100,000 more barrels of oil a day, willing to provide 20,000 additional jobs to construct this pipeline.
So I think the decision here is very easy for the American people, and that's what Mr. Terry's legislation does. Since the President won't make a decision, Mr. Terry directs the Federal Energy Regulatory Commission to make the decision. We have all of the data necessary. It's the right decision to make.
Mr. Chairman, I yield back the balance of my time.
Mr. Chairman, I rise to speak in opposition to the amendment.
I do so reluctantly because we all have such great respect for Ms. Eshoo of California. She is a hardworking member of the Energy and Commerce Committee and provides great leadership.
But we oppose this amendment for a couple of simple reasons. Number one, this study by the Department of Transportation is going to be made anyway. We're not stopping that at all.
Number two, Keystone will transport a grade of crude oil that has been in our Nation's pipelines for decades. There's nothing really new about this substance. Venezuelan oil has about the same density. Certain Saudi Arabian oils have basically the same density.
Studies by the Canadian Government and private sector engineers in this country have demonstrated that heavy oils and diluted bitumen are not more dangerous or corrosive than regular grades of oil. We have not found any evidence to the contrary of those studies.
The reason that we're opposing this amendment is because this amendment would say you cannot begin this pipeline until this study is completed, and our position is we want this study to go forward. We've waited over 40 months to get the approval to build this pipeline. The American people need this pipeline. America needs this additional oil.
If the study comes back and comes up with significant, or any, safety issues, I can assure you that Congress is ready to act to address those. But there's no indication that there will be a problem.
So for that reason, we feel quite confident that this pipeline should be built. We want the study to go forward, but we want the permit to be issued to build it now, as the Department of State recognized in their final environmental statement back in August of 2011.
I would urge the defeat of the Eshoo amendment.
With that, I yield back the balance of my time.
Mr. Chairman, I rise in opposition to the amendment.
I yield myself 3 minutes.
First of all, I would like to say to the gentleman from Pennsylvania, who is a very hardworking member of the Energy and Commerce Committee and provides great leadership, that we reluctantly oppose his amendment.
His amendment is very simple, and it is very direct. It simply says the permit will not be issued until the permit applicant certifies and provides adequate documentation that at least 75 percent of the iron and steel used in the construction of the pipeline is produced in North America, which is a goal that many of us have.
I would like to point out a couple of facts here:
Number one, this is a private company that's putting up $7 billion of its own money;
Number two, in order to keep costs down, it has already acquired all of the steel and iron that it is going to use in this pipeline.
Now, some people will say, well, why in the world would it spend over $2 billion buying this material when they didn't have a permit? Well, they filed this permit 40 months ago, and all of the information coming out from the Secretary of State, the Department of State in their final environmental impact statement would indicate that the pipeline was going to be approved. So they bought this material many months ago to try to keep costs down.
And I will tell you, from the information that we have, 74 percent of the pipe was milled here in North America. In fact, it's milled in four different locations. Not all of them are in North America. The steel comes from seven different sources. Some of it from America and some of it not from America. But the reality is that, if we adopted this amendment, the permit would not be issued because the applicant cannot certify that 75 percent comes from America because it bought this material a long time ago. And, I might add, there's not one dime of taxpayer money in this project.
So our feeling is that, the practical aspect is that, if you would basically stop the building of this pipeline, we would lose all those jobs, we would lose all the additional oil that we would be getting, and we believe that there would be more negatives from it than there would be positives.
And one other comment that I would make is that the American Iron and Steel Institute, which represents many of the companies that Mr. Doyle is concerned about, is supporting our legislation. We have the letter that they support this legislation, and they support building the pipeline.
I yield myself an additional 30 seconds.
Five of the major labor unions in America support this legislation because they recognize the additional jobs that will be available to them in the construction of the pipeline. So for that reason, reluctantly, I oppose Mr. Doyle's amendment, and I reserve the balance of my time.
I continue to reserve the balance of my time.
Mr. Chairman, how much time do I have remaining?
I might reiterate once again, this is a private company spending $7 billion of their own money. Before any of this ever became an issue, they acquired this material. They spent over $2 billion acquiring this material. Everybody is talking about jobs. One of the reasons they're offering this amendment is because of jobs. Well, there's nothing we can do about the material that's already been acquired. It's already purchased. So all we would do if we pass this amendment is we would make sure that the permit for this pipeline would not be issued. This material, all this $2 billion worth of steel, would be moved to Canada. They would build the pipeline to the west coast and move all of the oil to China, and they would get the construction jobs. So we would end up with no jobs.
I know the gentleman's intentions are the very best, and we all are concerned about the issue, but there are no taxpayer dollars involved in this. It is a private company. They have already acquired this material. This never became an issue until, I suppose, about a month ago, and the material was even acquired at that point.
So I would respectfully request that Members oppose this amendment. Let's build this pipeline and let's help America be less dependent on foreign oil, and I yield back the balance of my time.