The stated reason for the delay is a Nebraska court ruling in February that tossed out that governor’s approval of the pipeline route without consulting the state’s Public Service Commission. At the time of the ruling it was expected that the delay could last as much as seven months while the Public Service Commission considered the pipeline project proposal. The state Supreme Court is also reviewing an appeal of the lower court ruling. A decision may not come until the end of the year.
With mid-term elections coming up, the Obama administration did not want to be forced to make a decision on Keystone XL until after the November elections. Friday’s State Department announcement officially gave the administration the breathing room it expected.
There is no political advantage for the President to approve the pipeline, except to help re-elect Democratic Senators from Louisiana and Alaska, both of whom strongly support the pipeline and are battling for their political lives in states that are heavily Republican. A delay is nearly as good as an approval in these cases.
The bulk of the advantages to the Democrats lie with rejecting the pipeline. It gives the party’s environmental wing a big win and sets up environmentalist support for the Democratic nominee for president in 2016.
ALSO READ: States with the Highest Gas Prices
“The Next NVIDIA” Could Change Your Life
If you missed out on NVIDIA’s historic run, your chance to see life-changing profits from AI isn’t over.
The 24/7 Wall Street Analyst who first called NVIDIA’s AI-fueled rise in 2009 just published a brand-new research report named “The Next NVIDIA.”
Click here to download your FREE copy.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.