By Scout Nelson
Summit Carbon Solutions is facing major hurdles in South Dakota as it attempts to move forward with its multistate carbon pipeline project. The company plans to build a 2,500-mile pipeline to transport captured carbon dioxide from ethanol plants across five states to an underground storage site in North Dakota.
Although Summit recently won a federal court case in Iowa that blocked counties from enforcing local restrictions on pipeline placement, the situation is very different in South Dakota.
The state has already denied Summit's permit applications twice. More significantly, a new South Dakota law now prohibits the use of eminent domain to obtain land for carbon pipeline projects. This means Summit cannot force landowners to sell or allow the use of their property for the pipeline, even if the company receives other necessary approvals.
This new legislation is a major roadblock for the pipeline’s construction through South Dakota, putting the future of the entire project at risk. Lawmakers passed the bill earlier this year, reflecting strong concerns from local communities and landowners about property rights and safety.
While Iowa Governor Kim Reynolds is considering a similar bill, the South Dakota law has already taken effect. Without the ability to use eminent domain, Summit must rely entirely on voluntary agreements with landowners — a challenging task for such a large-scale project.
Summit maintains that its pipeline is important for reducing emissions and supporting ethanol production. “This ruling supports a consistent, lawful permitting process for critical infrastructure projects like ours,” the company stated in response to the recent court decisions.
Still, South Dakota’s firm stance against the project through both legal and legislative action continues to be a significant barrier, and the project's future remains uncertain.
Photo Credit: shutterstock-dickgage
Categories: South Dakota, Energy