CO2 Pipelines in the Midwest: The Brewing Conflict Between Energy, Environment, and Property Rights

A uncovered pipeline construction site with soil around.

From Watts Up With That?

Reader resource guy (H/T) writes: “We have our own special interest-driven troubles as it is.”

Granite Falls, Minnesota, a tranquil prairie town of about 2,700 residents, has found itself in the eye of a storm. A seemingly peaceful town, known for its old-school hydroelectric plant, is on the brink of a transformation with plans for carbon dioxide (CO2) pipelines spreading across the Midwest. While proponents see economic opportunity, a multitude of opponents fear disastrous consequences.

According to Stateline,

“Proposed pipelines to move carbon dioxide, a byproduct of ethanol production, would crisscross the Upper Midwest like spiderwebs.”https://stateline.org/2023/06/13/new-midwest-battles-brew-over-co2-pipelines/

These pipelines are planned to link dozens of ethanol plants, creating a vast network to transport CO2, a byproduct of ethanol production. This industry has become a critical component of state economies across the Midwest, consuming 45% of U.S. corn production.

However, these pipelines are not welcomed by all. For some, like farmers, tribal groups, and environmental activists,

“the proposed pipelines spell disaster.”https://stateline.org/2023/06/13/new-midwest-battles-brew-over-co2-pipelines/

Landowners fear threats to their property rights, potential effects on productivity, and land value degradation. Tribal groups are concerned about disruption of ancestral grounds, and environmentalists cite potential hazards of highly pressurized liquid carbon dioxide and fear that the use of ethanol merely delays the transition to carbon-free energy.

Despite the formidable and well-funded opposition, pipeline proponents continue to push forward, arguing the benefits of carbon capture and storage. Summit Carbon Solution’s $5.5 billion Midwest Carbon Express, one such proposed project, is touted to be the largest of its kind. The project

“will collect CO2 from 34 ethanol facilities over five states and use more than 2,000 miles of pipeline to deliver it to west-central North Dakota.”https://stateline.org/2023/06/13/new-midwest-battles-brew-over-co2-pipelines/

As reported by Stateline, the project aims to store 18 million tons of CO2 underground, an amount equivalent to removing 3.9 million vehicles from U.S. roads.

One of the most significant challenges faced by landowners in this situation revolves around the concept of eminent domain, the right of the government to expropriate private property for public use. Landowners and their representatives have fought similar battles before, learning valuable lessons from protests against the Keystone XL and Dakota Access oil pipelines. However, the outcome of this battle is far from clear. In states like Iowa and South Dakota,

“legislation to restrict the use of eminent domain for carbon pipelines passed in the state House but failed in the state Senate.”https://stateline.org/2023/06/13/new-midwest-battles-brew-over-co2-pipelines/

Pipeline companies like Summit, Navigator, and Wolf see a promising future. Pipeline proponents also reference the federal 2022 Inflation Reduction Act, which raised the tax credit for carbon sequestration to $85 per ton. Monte Shaw, executive director of the Iowa Renewable Fuels Association, argues that “ethanol plants that don’t capture and store CO2 will not be competitive,” indicating a potential ripple effect through the state’s economy if the projects are not implemented.

Nonetheless, the safety concerns raised by the critics of the project cannot be ignored. CO2 pipelines operate under high pressure and pose significant safety challenges. Critics cite incidents like the 2020 pipeline rupture in Satartia, Mississippi, which resulted in 49 hospitalizations. Despite these concerns, Summit assures on its website that its proposal “goes above and beyond” federal standards on pipeline depth, clearance, and setbacks.

As the battle over CO2 pipelines in the Midwest heats up, the conflicting interests of economic growth, environmental preservation, and property rights will continue to collide. As Joy Hohn, a farmer from South Dakota, remarked,

“It’s David vs. Goliath,” hinting at the complex and formidable challenge that awaits all the competitive interests in the region.

llide.


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