Obama Administration Rejects Keystone Pipeline

The pipeline, which would run from Canada to Nebraska, has garnered controversy among those who fear environmental repercussions and those who support its economic promise.

President Barack Obama announced Friday that his administration has rejected the Keystone XL pipeline, according to reports.

“The state department has decided that they Keystone XL pipeline would not serve the national interest of the United States,” Obama said. “I agree with that decision.”

The pipeline, which would run from Canada to Nebraska, has garnered controversy among those who fear environmental repercussions and those who support its economic promise.

Obama said the pipeline has played an "overinflated role in political discourse."

On Monday, TransCanada, the company behind the pipeline, announced that it had sent a letter to Kerry asking the State Department to suspend its review of the project pending more input from authorities in Nebraska.

Obama explained that he's rejecting the Keystone XL pipeline, in part, because it wouldn't make a meaningful contribution to the economy and it wouldn't lower gas prices.

"If congress is serious about creating jobs, this is not the way to do it," Obama said, adding it also wouldn't lower gas prices, which "have been falling steadily."

"Shipping crude oil into our country would not increase America's energy security," Obama said.

The announcement comes just weeks before Obama is set to meet with world leaders in Paris at the COP21 Climate Talks.





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