Ethanol industry dealt blow as major carbon pipeline canceled

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Nancy Vu is an energy and environment reporter for the Washington Examiner. Before coming to the Washington Examiner, Nancy was a Congress reporter for Politico.

Navigator CO2 announced on Friday the company is canceling its 1,300-mile carbon pipeline, following several delays and obstructions to one of the biggest carbon pipeline projects in the Midwest.

The company pointed to the “unpredictable nature of the regulatory and government processes,” specifically within South Dakota and Iowa, as reasons for why the pipeline was being canceled. Just last month, South Dakota regulators denied the company from receiving a permit — and since then, Navigator has asked Iowa state utility regulators to suspend its permitting process and moved to withdraw its permit application in Illinois.

The move to cancel the pipeline was also cheered by environmentalists. NGO Food & Water Watch called the project a “dangerous, wasteful scheme” that prolongs the lifespan of polluting industries. Trade groups, such as the Iowa Renewable Fuels Association, lamented the loss of the project, which they argue would have met carbon goals for the U.S. while boosting the agricultural markets.

 

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