Bernie Sanders Shatters The Big Keystone XL Lie: Pipeline Will Cause US Gas Prices To Go Up

bernie sanders keystone xl

Sen. Bernie Sanders is telling the American people what the supporters of Keystone XL don’t want them to hear. The pipeline won’t create jobs, but it will cause the price of gas to increase in the United States.

Video:

Sanders said,

When people tell you that Keystone is a jobs program, they’re not telling you the truth. According to the State Department, it will create about 2,000 temporary construction jobs over a two-year period, and then about fifty permanent jobs. If you want a jobs program, let’s rebuild our crumbling infrastructure Invest a trillion dollars into doing that, and create 13 million jobs, not 2,000 jobs.

This oil, at least a significant part of this oil is going to be exported to Asia. In fact, there are at least three different studies, including one at Cornell, which suggest that because of the refinery infrastructure, domestic prices will actually go up. So here we are doing something which will exacerbate climate change, will create a minimal amount of jobs, will enrich the companies that own the oil fields and who do the refining, and at the same time, raise gas prices in the United States. This does not make a lot of sense to me.

Media Matters reported in 2012, that the Keystone XL pipeline could increase gas prices in the Midwest, “Because the southern portion of the Keystone XL pipeline would relieve the current glut of oil in the Midwest, some energy analysts believe it would raise gasoline prices there. Energy expert Severin Borenstein told Media Matters: ‘If anything it will raise gas prices slightly in the Midwest by relieving the bottleneck on getting oil out of that area.’ Canadian economist Andrew Leach agreed, saying: ‘Long term, it’s probably close to a wash, but if anything, it’s a small increase from eliminating the crude glut in the Midwest.'”

The Cornell report mentioned by Sen. Sanders went further and claimed that gas prices could increase by 10-20 cents a gallon, “KXL will divert tar sands oil from Midwest refineries to refineries in the Gulf Coast where the oil will sell for a higher price. Tar Sands oil will also be available for export to countries like China where the demand for oil is growing rapidly. TransCanada states that KXL will increase the price of heavy crude oil in the Midwest by almost $2 to $4 billion annually. Top energy economists believe Midwestern consumers may end up paying 10 – 20 cents more for a gallon of gas as a result of tar sands oil being diverted to refineries in Texas. Just one year of fuel price increases as a result of KXL could cancel out some or all of the jobs created by KXL, based on the $3- $4 billion budget.”

The same report also found that KXL won’t be a job creator, “Only 10-15% of the total KXL workforce is expected to be hired locally. Based on information provided by TransCanada to the State Department, a state-by-state jobs breakdown reveals that Keystone XL will create very few jobs in the states along the pipeline (e.g., 6-18 jobs in Kansas; 90-248 jobs in Nebraska; and 41-113 jobs in Oklahoma). Plus, these construction jobs will disappear after the completion of the project.”

Sen. Sanders was right. Keystone XL won’t create jobs. Most of the oil is going to be shipped to Asia. The pipeline will raise the price of gas for many Americans, and the profits will go to the oil companies, not the American people.

The things that Republicans and some Democrats are saying in order to promote Keystone XL are lies. Keystone XL would be a giant gift to the oil companies while the American people would assume all of the burden and risk.

Bernie Sanders is exposing the KXL in an attempt to prevent the American people from being swindled by Big Oil. Keystone XL is another example of what we can expect from the Republican controlled Congress that is always going to put the interests of corporations and the wealthy first, second, and last on their agenda.

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45 Replies to “Bernie Sanders Shatters The Big Keystone XL Lie: Pipeline Will Cause US Gas Prices To Go Up”

  1. This all just sucks. I’ve been around a while and it just seems that every time we start to make headway, the Republicans somehow weasel their way back into power, and they then proceed to ruin everything and blame Democrats. They will also take credit for anything good that happens from this point onward and will say it is because they got control of Congress. Ughhh.

  2. I’ve known all this for years, but thank you Sen. Sanders for speaking out about it. KXL is a massive fraud, a windfall opportunity for the Koch Bros. and TransCanada, while US takes all the risk with no reward. For all the FOX hacks out there, the crude is owned by a Canadian company and will be sold on the open market. It will not do ANYTHING to aid energy dependance. Nothing. When oil prices in the mid-west rise, that means food prices rise with it. No matter where in the US you live, if you eat, KXL will cost you money. My gut tells me Obama will sign off on the pipe as a conciliatory gesture to the GOP, and what a shame that would be.

  3. The Big corporations are doing to the USA what they have been doing to the underdeveloped countries all along, sucking the riches and creating blockades to real developement.

    When the local public in Latin America complainted of the big oil causing pollution and not paying royalties, the CIA went after those and claim they were COMMUNIST! or MARXIST or SOCIALISt with a big excuse to go and blow them up.

    What the big oil groups are doing is sucking the treasure that belongs to the people. They do not even pay taxes to help with the defense of their interest, they want our sons and daughters go and die for the stupid oil for free!

    There was a time that the corporations had good paying jobs to support the middle class, even those have gone away.

    The 1% will continue to suck us dry unless we stop them…

  4. The Repugs will be pushing for this hard because it’s pay back time for big oil! Spread the word of truth….follow Bold Nebraska and share!

  5. So true, and won’t this take jobs away from tanker drivers who usually haul it, as well as rail lines? I don’t see how they can legally do this, it is eminent domain by “foreign” corporation. When it leaks and they all do eventually, who will they blame?

  6. Oh, there’ll be lots of jobs – cleaning up the inevitable toxic spills. But of course that will all be paid for by Uncle Sucker, I mean, middle-class taxpayers.

  7. Who will they blame? No one. Who will pay for the clean up? Taxpayers. And how will the Kochs and their kocksuckers in Congress celebrate?
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  8. The pipeline sounds like a good idea to me. All those fools in the midwest that voted for the republicans will be rewarded with 10-20 cent increases in gas prices. Sweet revenge.

  9. I am with the Senator on this issue, and I write to the President every day via the http://www.whitehouse.gov website. Under environment and state dept, i explain my position. As with the rout that was this mid-term, I think if we the people have to tell the President and our federal representatives that we do not want the KXL. If we fail to speak up, we will get what we deserve, and will have no room for complaint, and no avenue for recourse.

  10. The jobs may be temporary but I don’t think the price of oil will go up much, if at all. 2012 is a long time ago in the US oil business. Fracking wasn’t producing nearly what it was in the Midwest when those studies were done and many refineries are starting to get close or exceed capacity.

  11. And the oil exits the pipe and goes into US refineries in “Enterprise Zones”. That means the oil sale is not taxed and US gets NOTHING for the resource it is giving up.

  12. The Democrats need Bernie Sanders to run in the primaries against Hillary Clinton and America needs Bernie Sanders to run for president. He’s sensible, he’s smart, and he’s forthright and the says what Americans need to hear.

  13. Sanders (and Elizabeth Warren) are the only ones who speak any truth. The word has been out for a long time that the pipeline is of no real benefit to the U.S., and only imperils the aquifer under it. But the Republican spin machine is an expert at distorting the truth. They say it loud enough, and long enough, and people believe their lies.

  14. The sad thing is, the technology currently exists to power the entire planet, and eliminate the need for fossil fuels of any kind.

    Solar panels.
    Miles and miles of them(I forget the exact size). We would stick them in the middle of some uninhabited bit of desert, say in Arizona, or Africa.
    And then we’d be set. It would power the entire bloody planet, 24/7, 365 days a year.
    It would also create jobs, for the building of course, but also for maintenance. Likely more than the fifty people this stupid pipe would need, and being out in the desert, I expect the pay would have to be decent.
    It would be unlikely that the arrays would disturb any wildlife in those areas, if there is any at all. It’d look like a forest made out of metal to any critters that might be around.

    The simple fact is, we do not NEED oil anymore. And climate change or no, sunlight is still safer than COMBUSTIBLE BLACK GOO collected by BREAKING APART THE SURFACE OF THE PLANET!

  15. Producing an oil can make a country rich of which many producing oil countries use their oils for the growth of their countries, meaning if a country produces oil, the cost of shipment of oil to refineries will be less, and will make the cost of finished products gas and others less, other things when a country imports oil there will be tariffs, duties and taxes storage, brokerage fee, storage, freight which will be added to the cost of finish products, so i don’t believe that price of oil will increase if it will be produce locally, i think they just don’t know what they are talking about. before they speak of something, they must study it themselves, research and facts are necessary, not just believe in hearsay …. most people whom does not have the knowledge how these things works, will believe what people say… kindly don’t use your popularity to convince people when you don’t know the reality.

  16. I know bills have to be paid and the site has little if any control on the placement of ads but I find it amusing that the company with most at stake Trans Canada is pushing their crack on here with promises of jobs, environmentally safe pipeline.

    Don’t believe the hype

  17. WTF!!!! You do know what oil is produce no matter where is pumped from goes on the world market. Please tell me you do know that. For the rest of that palinese excrement you just typed can you please put it in English so for those of us not fluent in gibberish can understand it

  18. Wrong. The oil that will be refined and shipped includes oil currently produced in Canada and the mid west and USED in the midwest. That oil will go to CHina if the pipeline is built. Meaning the oil that used to be used in Chicago and the midwest wont be there any more. Thats a cost buster for what oil is left here.

  19. If you think that this is republican problem then why didn’t Pres. Obama speak out on it? He had the chance, but said he needed more time. So, please don’t let this become an issue of reps vs. dems. It takes away from the real issue and is disingenuous.

  20. (from one Old Bear to another)I strongly believe you are right about renewables being the obvious way to a safe, clean planet, while fossil fuels are so obsolete and filthy that it’s ludicrous and dishonest for anyone to flog those particular dead horses any longer.
    I say dishonest because, as more and more people are realizing, the only benficiaries form fossilism are the oil freaks that are already filthy rich – and so much addicted to their oily way of life that they will fight nail and tooth to smother all of us in their cancerous pollution. Kochs are to blame, as we all know.
    In a nutshell, the enemy is money, as always. Plus the public’s apathy that is so rampant. What is to be done???

  21. In 2009 alternate methods were 16% of our energy needs

    hydroelectric, wind, solar and biomass.

    That was 5 years ago. Most of the new energy in this country coming online are wind power. Tosay the wind doewsnt always blow and the sun doesnt always shines tells me you are simply copy and pasting garbage. Post your link or move along

  22. I find it interesting your links are for the most part oil, power and right wing sources.

    Maybe you should look for others.

    You also should look at China’s newer laws on environmentalism. They lead the US in new manufacturing and environment laws.

    Maybe you should look up the damage mercury and other poisons do to people and how much you support that

  23. The only people who will benefit from the XL Pipeline are the Koch Brothers, allowing them to buy even more Members of Congress.

  24. the businessmen in other countries considers the place of origin in their imports, which also includes the import taxes, brokerage,the freight, and others to be considered in buying products, do you think china will get it in USA? oils are not just shipped, but also be paid by whoever wants to purchase them, think first before making the assumption, the Chinese people are good in business, they will not enter unto oil business if they will not gain from their investments

  25. how would boehner makes money on the pipelines? is he a manufacturer of pipes? is he selling pipes for commission? whatever money that will be the outcome or income or gain from pipelines will go directly to the government( if government project) the american people will benefit whatever the income of this project.

  26. i agree with you on solar panels, but in some locations wherein the sun is not visible, or a place is covered with snow, the panels will not work, and we still need oil to power our industries, of which solar panels are not proven yet to power big industries as of this time…. hoping that science has answers how to get mass production of energy coming from solar panels.

  27. “Producing an oil can make a country rich of which many producing oil countries use their oils for the growth of their countries”

    There’s the first problem. If the oil reserves were nationalized this might be true, but we’ve decided that ‘first come, first served’ is how our resources are distributed. The riches made from oil flow into the pockets of the corporations, with a bit into the pockets of politicians.

    KXL will be more of the same, and the talking points have already been stated. This will do NOTHING for the American people in the long term.

  28. Agreed. The models also poorly reflect the ability to move oil into the Midwest if too much is moved out (and therefore making an opportunity for profit). Overall, people need to realize that oil is traded on a global market, so where a specific barrel of oil is consumed or sent isn’t important, but the overall addition of reliable supply capacity will make prices better and more stable for all consumers.

  29. Well , the Senate defeated the KXL bill being pushed by the ones covered in dirty oil money , republican and democrat . Sure am glad I’m an independent , Bernie won one for us . Both sides suck on this . The US is turning away from democrats and republicans because of things just like this . You can’t trust our elected officials to do the right thing or even tell us the truth . Rand Paul , Bernie Sanders , Elizabeth Warren and a few others aren’t afraid to say the truth to power . The problem lies in big money . Outside money should be banned . If you want to contribute to the national election fund which gives to both sides equally , you can donate as much as you like . Until something is done about Citizens United this problem will just get worse .

  30. ??? Increased supply of oil will increase natural gas prices? Building a 2500 mile pipeline won’t provide jobs? Mr. Sanders has either gone completely stark, raving mad or senile. The pipeline isn’t going to build itself, nor will it run and maintain itself- Jobs WILL be created. As for his ideas on prices, it’s simple economics- Increased supply with static demand equals lower prices, unless gov’t gets in the way and screws things up.

    Maybe the oil and natural gas supplying and refining states should just cut off supplies of heating oil and natural gas to Mr. Sanders’ home state……I’d bet he’d change his tune then!

  31. Dummy tar sands is not natural gas and as far as jobs are concerned those are only temporary some lasting only a few weeks and its not economically feasible. Try reading sometime instead of listening to fox
    Big companies are pulling the plug on their projects in Alberta’s tar sands
    A recent report by research house Wood Mackenzie shows break-even costs for building new steam-driven [in-situ] projects is in the $65 – $70 a barrel range.

    Mining developments – the truck and shovel method accounts for a fifth of all projects – need at least $90 – $100 oil.

    Existing projects in Alberta can still make money at $45 a barrel.
    http://oilprice.com/Energy/Crude-Oil/Have-the-Canadian-Tar-Sands-had-their-Day.html

    And that was a year ago. With oil futures falling it will only get worse as far as making money

  32. Bernie Sanders is correct. The push to pass Keystone is the kind of crazy that is fueled by special interest money in politics. Those who support the pipeline have gone to extreme lengths to cover up the true purpose of the project. The United States is nothing more than travel route for Canadian tar sands oil to be exported Asia and other countries. The pipeline isn’t a game changer for U.S. energy independence. In fact, it is the exact opposite. It encourages the reliance on fossil fuels.

    Political cynicism is the reason the Senate is even voting on this piece of legislation. The vote is nothing more than an attempt to save Sen. Mary Landrieu’s seat in Louisiana. Both the political stunt and the pipeline won’t do live up to the claims of their supporters.

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