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Capital Hill Watch Alert

Senate to Vote on Keystone XL Pipeline 

On Friday, January 9, 2015, the House of Representatives approved the  Keystone XL Pipeline Act (H.R. 3; Full Text of Legislation ) by a 266-153 vote (To view how your representative voted visit: 16 .  ) President Barack Obama has said that that he would veto the measure which the House vote fell short of the two-thirds that would be required to override his veto.   Twenty-eight Democrats voted for the measure and only one Republican voted against it.  

The Senate will begin consideration of the Keystone XL Pipeline Act (S.1; Full Text of Legislation ) on Monday with a vote expected at any time.  

Declining Oil Prices

Oil prices are declining in the marketplace because of an oversupply yet the Organization of the Petroleum Exporting Countries (OPEC) has decided to continue pumping crude oil out of the ground.  The need for OPEC imports to the United States (U.S.) has been declining as a result of U.S. oil shale production, which has added 3 million barrels of oil daily and is one reason for the oversupply.  Unhappy about the situation, Saudi Arabia is responding as it did in the 1980s when U.S. domestic production was on the increase and is  again trying to blatantly eliminate U.S. completion.     By blocking pipeline infrastructure the Obama administration is putting U.S. oil producers at a competitive disadvantage since OPEC has no intention in the near future to reduce production. 

Energy Security  

The U.S. has sought to limit its dependency on imported oil for 40 years.  However, every time the U.S. experiences positive momentum in domestic oil production OPEC wages a price war that results in a collapse in domestic production.  For example, the U.S. was importing 300,000 barrels per day (bpd) on the eve of the last induced price collapse in 1985.  And the U.S. was importing almost 2 million bpd five years later as domestic production declined 20 percent and continued to drop for another decade. 

In the short-term the Keystone XL pipeline project will immediately put many more Americans to work but also will have a lasting simulative effect.  Additionally, it will help promote North American energy independence and will help the booming oil industry in the Williston Basin of North Dakota and Montana get its product to market more inexpensively.   

President Obama has unfortunately promised to veto this measure that would grant permission for this private construction project. And as justification for President Obama's continued rejection of the project opponents of the Keystone XL pipeline, which would transport crude oil from Canada and North Dakota to the Gulf Coast, conveniently note the current lower oil prices. 

President Obama and his supporters are degrading U.S. competitiveness, increasing the likelihood of future oil price shocks through reliance on politically unstable oil producing countries and undermining 40 years of strategic work to achieve energy security by opposing the Keystone XL pipeline. 

  What Can You Do?    

Urge your senators to SUPPORT    the Keystone XL Pipeline Act (S 1).  For years the Keystone XL pipeline has been delayed by President Obama and his Democrat supporters and now it should be approved.

Contact Information:     

Capitol Hill Switchboard Numbers: 202-224-3121 (This number will direct you to the Capitol Hill operator. Ask for the senator's office.)  

To go to the senators' websites, find their E-mail or to find out who your senators are...



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