Barack Obama has lost another ally:
The Labor’s International Union of North America cited a State Department report that the project would actually reduce greenhouse gas emissions in its objection to Obama’s decision, and said that they were “disgusted” by the outcome.
This is not surprising. Labor unions were once, and still are, a core left wing constituency, but automation and outsourcing have limited their influence. With the waning influence of rust belt cities and big labor fronted politicians, the Democratic party’s priorities have shifted from those of working Americans to those of coastal environmental evangelicals and wealthy social liberals.
Obama’s excuse for failing to support Keystone- that it would undermine America’s environmental leadership on the climate change issue- is not supported by any data. Beyond that, it shows a profound lack of concern for the millions of Americans who are out of work, underemployed, and living on a day to day meager budget. Those folks have far more to worry about than President Obama’s climate legacy, and in previous decades, they would have been a top priority for any national Democrat. Today? They’re nobody.
So who does this decision help? Obama’s wealthy friends with competing interests, for one. As many have pointed out, the failure to pass Keystone- a project that would have created between 45 and 100,000 jobs- is of massive benefit to billionaire Obama supporter Warren Buffet, who owns BNSF:
BNSF is the largest carrier of oil from North Dakota’s Bakken shale formation, and construction of the Keystone XL pipeline could put a dent in BNSF’s $22 billion annual revenue stream. In 2013, $5.7 billion of that came from industrial products, of which a major component is oil. Sales from that segment increased 14%, or $700 million, in 2013 due to “significantly higher petroleum products volumes.” Canadian National Railway and Canadian Pacific Railway have also been big beneficiaries of the political red tape, as they are the major shippers on the Canadian side.
This presents a unique opportunity for Republicans, especially with the wishy washy Hillary Clinton, who was for this project before she was against it and may end up having to reevaluate that position again if it suits her in purple states. Whether or not they’ll take the lead and stick up for beleaguered Americans is anyone’s guess.