TransCanada assuming Keystone XL will go ahead

TransCanada Corp. says that the Keystone XL pipeline will come into service just a little later than originally planned. The company is working to maintain the original construction schedule, despite having been given a setback by President Obama, who denied the company permission to proceed until further study has been done.

TransCanada must now reapply for a presidential permit and “expects a new application would be processed in an expedited manner to allow for an in-service date of early 2015.” Had the line gone ahead without the delay, it would have been in operation by late 2014.

“We are into it to the tune of $2.4-billion, we have secured about 95 per cent of the right of way, the pipe is all sitting on the ground and the pumps are all ready to be hooked up. For all intents and purposes we are ready to go,” president and CEO Russ Girling (photo) said in a conference call to discuss the company’s results for the fourth quarter.

TransCanada is working with the state of Nebraska to re-route the pipeline around the Sandhills region. Concern about the pipeline’s impact on this environmentally sensitive area was one of the reasons the permit was denied.

Republicans in the US Congress, however, are again working to force a decision on the pipeline. A highway bill coming before the House next week contains a Keystone XL amendment sponsored by Senate minority leader, Mitch McConnell. And a package of energy and transportation proposals being debated in the House of Representatives contains a measure that would reverse Obama’s decision to reject the Keystone XL.

While the Republican lawmakers are working to get the pipeline approved, opposition among environmental groups and the public has not abated. More than 600,000 emailed the Senate to express opposition.