New Jersey Assembly Bill AR113

New Jersey 2022-2023 Regular Session

• Introduced: 3/7/22
• Refer: 3/7/22

Caption

Opposes President Biden's revocation of Presidential Permit for Keystone XL pipeline.

Impact

The resolution argues that revoking the permit jeopardizes U.S. energy independence and could hinder the United States' ability to form a beneficial trade relationship with Canada, which possesses significant oil reserves. Proponents assert that constructing the Keystone XL pipeline would enhance energy security and reduce dependency on more hazardous means of transport, like rail and truck, which have higher rates of oil spills. By emphasizing the cost-effectiveness of pipeline transport—estimated to be between $2-4 per barrel—the resolution presents the project as a strategically sound investment for U.S. energy infrastructure.

Summary

Assembly Resolution No. 113 is an expression of opposition by the General Assembly of New Jersey against President Biden's decision to revoke the Presidential Permit previously granted to TC Energy for the construction of the Keystone XL Pipeline. This pipeline was projected to connect the oil supply from Canada to the United States, potentially increasing supply by up to 830,000 barrels per day. The resolution emphasizes the importance of maintaining a stable and reliable source of fuel to support the economy and the daily activities of New Jersey residents, especially as the demand for petroleum is expected to rise post-pandemic.

Contention

Although the resolution is positioned to advocate for economic and energy security benefits, it does not address potential environmental concerns associated with pipeline construction and operation. Critics may argue that prioritizing oil transport could exacerbate climate change issues and that the economic benefits should be weighed against environmental impacts. The resolution does call for reconsideration from the President, suggesting a possibility of legislative action if the permit is not reinstated, indicating a broader political contention surrounding energy policy in the current administration.