Contrary to popular belief, it turns out the Keystone XL Pipeline may actually raise gas prices.
As reported in the Huffington Post, the Natural Resources Defense Council (NRDC) recently released a report detailing how the tar sands pipeline would actually do the exact opposite of what its meant to do.
According to NRDC attorney Anthony Swift, the pipeline’s impact on gasoline prices is “one of the most misunderstood issues surrounding the proposed Keystone XL.” In addition, Swift states that when TransCanada initially thought of the idea, the pipeline was proposed as a way to increase the cost of oil in the US while providing more revenue for Canadian producers. This is in stark contrast to how the pro-oil crowd has been selling the pipeline for months.
Swift goes on to say that the NRDC study has “found that Keystone XL is likely to both decrease the amount of gasoline in US refineries for domestic markets and increase the cost of producing it, leading to even higher prices at the pump.” These findings come at a time when both the House and Senate are trying to figure out the transportation bill that would affect this pipeline. The House version of the bill would approve the pipeline, overriding Obama’s temporary objection. The Senate version does not have this provision, at least not yet. President Obama has promised a veto to any measure that includes Keystone XL approval.