Obama Weighs Politics in Making Pipeline Decision

The Keystone Pipeline is a pipeline that delivers oil from Canada to various U.S. refineries.  The federal government is currently considering approval of an extension of the pipeline that would make possible transportation of oil from Alberta to Houston.  This proposed extension has given rise to a fierce debate between the energy industry and labor unions on one hand and environmentalists on the other.  The former group believes that expansion will create thousands of quality jobs, while environmentalists fear that expansion could have devastating ecological effects.

The debate raises not only economic and environmental concerns, but also foreign policy concerns.  Canada, a strong U.S. ally, wishes to see the extension approved.  In addition, extension of the pipeline would reduce U.S. dependence on the Organization of Petroleum Exporting Countries (OPEC), including its largest Latin American member, Venezuela.  However, environmental groups such as the Sierra Club strongly backed Obama in his presidential campaigns and believe his administration will not approve the extension.

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