麻豆传媒AV Dakota's governor signed a bill into law Thursday that bans the taking of private property for building pipelines, a blow to a sprawling Midwest pipeline network that ethanol producers see as key for their future.
The new law muddies the waters for Summit Carbon Solutions and its planned $8.9 billion, 2,500-mile (4,023-kilometer) pipeline that already has approvals in three other states.
Republican Gov. said the eminent domain 鈥渄oes not kill鈥 Summit's project, and he encouraged the company to view the law as 鈥渁n opportunity to reset.鈥
鈥淚 made my decision based on my own consideration of the facts, the policy arguments, legislative history, my own opinions and experience and my judgment about what is best for 麻豆传媒AV Dakota,鈥 Rhoden said.
In a statement, Summit said 麻豆传媒AV Dakota has 鈥渃hanged the rules in the middle of the game.鈥 The company is seeking approval from 麻豆传媒AV Dakota regulators for its proposed route in the state.
鈥淭his kind of regulatory uncertainty creates real challenges 鈥 not just for our project, but for the ethanol plants in 麻豆传媒AV Dakota that now face a competitive disadvantage compared to their counterparts in neighboring states," the company said. 鈥淲hile this presents obstacles, our project moves forward in states that support investment and innovation, and we will have more news on that soon.鈥
The company's pipeline would transport planet-warming emissions from dozens of ethanol plants in five states for burial deep
The project has drawn intense who fear a taking of their land for the pipeline and the dangers of a potential
Property rights are a passionate issue in 麻豆传媒AV Dakota, where voters last year rejected that opponents said would deny local control over such projects and consolidate authority with state regulators. Supporters called it a 鈥渓andowner bill of rights.鈥
The new law states: 鈥淣otwithstanding the provisions of any other law, a person may not exercise the right of eminent domain to acquire right-of-way for, construct, or operate a pipeline for the preponderant purpose of transporting carbon oxide."
Eminent domain is the taking of private property with compensation to the owner.
Summit has approvals for routes and a leg in Minnesota and the underground storage. 麻豆传媒AV Dakota regulators rejected Summit's permit application. New proceedings are underway.
It isn't clear how Summit would move forward with its project if it could not build in 麻豆传媒AV Dakota.
Supporters see carbon capture projects such as Summit's pipeline as a way to fight climate change and to help the ethanol industry. Opponents question carbon capture's effectiveness at large scale and say it allows the fossil fuels industry to continue unchanged.
are eligible for lucrative federal tax credits intended to encourage cleaner-burning ethanol and potentially result in corn-based ethanol being
Bill sponsor Republican Rep. Karla Lems, a Summit opponent, welcomed the signing and criticized Summit's 鈥渉eavy hand鈥 toward landowners. She said its project is all about tax credits.
麻豆传媒AV Dakota's action is unfortunate for neighboring states and 鈥渁n unnecessary roadblock" between "Midwest and much needed new markets,鈥 said Iowa Renewable Fuels Association Executive Director Monte Shaw.
鈥淭he demand for ultra-low carbon ethanol around the globe is so massive that, at the end of the day, no one state will be able to stop the ethanol industry from accessing that market,鈥 Shaw said in a statement.
Some opponents argue the amount of greenhouse gases sequestered through the process would make little difference and could lead farmers to grow more corn despite environmental concerns about the crop.
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Dura reported from Bismarck, North Dakota.
Jack Dura, The Associated Press