Barack and a Hard Place: President’s Decision to Kill the Keystone XL Pipeline Project Pleases Environmentalists, Riles Unions

By Ben Brubeck, The Truth About PLAs

This week the Obama administration killed Phase 3 and Phase 4 of TransCanada’s Keystone XL pipeline project (for now), which would have connected Phase 1 and Phase 2 of the existing pipeline to new pipeline that would carry crude oil 1,600 miles from Alberta, Canada, to Gulf Coast refineries.  The State Department’s denial of the Keystone XL Pipeline permit prevented the creation of an estimated 20,000 direct jobs (13,000 construction jobs and 7,000 manufacturing jobs) and an unclear number of indirect jobs resulting from the $7 billion project.

Of interest to readers, the estimated 13,000 Keystone XL pipeline construction jobs would be created exclusively for labor union members, as TransCanada required a union-favoring project labor agreement (PLA) on this privately financed project, which forces contractors to use union labor and follow inefficient union work rules.

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