National Post (National Edition)

Make a decision, Mr. President

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World leaders who have earned their place in the history books have generally been able to usher in substantia­l reforms in a relatively short amount of time. But for U.S. President Barack Obama, even relatively minor tasks — such as shutting down the Guantanamo Bay detention camp or making a decision about whether to approve the Keystone XL pipeline — seem to be too much to accomplish in two terms.

It’s bad enough that Obama has been stringing Canadians along over Keystone for years. Even worse that he has been trying to sell Americans on the false notion that the pipeline will only be used to transport Canadian oil to overseas buyers.

“I will note while this debate about Canadian oil has been raging — keep in mind this is Canadian oil, this isn’t U.S. oil — while that debate has been raging, we have seen some of the biggest increases in American oil production and American natural-gas production in our history,” Obama said in November. “We are closer to energy independen­ce than we have ever been before, or at least as we have been in decades; we are importing less foreign oil than we produce for the first time in a very long time.”

It is true that the United States has become an energy superpower almost overnight, largely thanks to the increased use of fracking. The country is now far less dependent on oil flowing from unsavoury regimes — such as those ruling Venezuela and Saudi Arabia — than it was a mere decade ago. But that is no reason not to further substitute Middle Eastern oil for friendly Canadian crude. Nor is it any reason not to secure a steady supply of energy that will help meet future demand.

Indeed, even with the increased use of green energy around the world, the Internatio­nal Energy Agency predicts that global oil consumptio­n will rise by 13 per cent by 2040. And even with the increase in U.S. production, the country will need to import between five and seven million barrels of oil per day through 2035.

Moreover, as a recent report from the Canadian Press notes, the notion that Keystone would elusively carry Canadian crude is patently false. Obama’s own State Department says the pipeline is expected to carry 100,000 barrels a day from Montana and North Dakota — representi­ng around 12 per cent of the pipeline’s capacity and 10 per cent of the oil currently being pumped out of the Bakken formation on the American side of the border.

And then there’s all the other economic benefits. According to farmer Jerrid Geving, he’s inked a deal with TransCanad­a Corp. worth $1,800 an acre, plus bonuses, to sell some of his land to be used as an on-ramp to feed American crude into the pipeline. Local government­s bordering Alberta and Saskatchew­an also say the pipeline would increase their tax revenues by upwards of 117 per cent, which would be used for muchneeded infrastruc­ture upgrades. Local businesses say the region could really use the economic boost that the pipeline’s constructi­on would bring. And yes, this apparently needs saying.

But until Keystone is approved, businesses, government­s and residents will continue to be forced to remain in a holding pattern — unable to make long-term business decisions, unable to utilize all the pipe that is waiting to be put into the ground and unable to start new infrastruc­ture projects. If Obama has no intention of approving the project, it would be better for him to say so, so all the stakeholde­rs could make alternate plans.

But unfortunat­ely, Obama continues to dither. According to a recent report from Reuters, sources familiar with the situation say the president is unlikely to make a decision until late October at the earliest, for fear of appearing to interfere in our federal election. The big question will be whether Obama will give us an answer at that point, or kick the can down the road another year and let the next president deal with his mess.

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