Landowners who have been in a battle against a proposed carbon dioxide pipeline in South Dakota found reason to celebrate as the state's utility regulators denied a permit application from Summit Carbon Solutions. This decision not only impacts Summit, but also sets a precedent for other carbon pipelines proposed in the region, including Minnesota.
The rejection was met with tears of joy by some landowners who have been opposing the pipeline project. landowners expressed relief.
The Public Utilities Commission made this decision in response to a motion by its own staff to reject Summit's application. The staff's motion argued that Summit's proposed route violated "setback" ordinances in Brown, McPherson, Minnehaha, and Spink counties, which establish minimum distances between pipelines, homes, and other structures.
The staff attorney, Kristen Edwards, asserted that approving the permit would essentially sanction a project that violates county laws. She emphasized that there was no viable path forward for the project.
The decision was reached during a hearing at the Casey Tibbs Rodeo Center, which was originally intended to span three weeks to discuss the permit application.
Summit's lawyer, Brett Koenecke, argued that the hearing should proceed due to the company's investment in preparation. Commissioner Chris Nelson's motion to postpone the hearing was rejected, and State Treasurer Josh Haeder's motion to deny the permit application was unanimously passed.
Summit and Navigator CO2 were denied permits due to the commission's refusal to override county setback ordinances, following Summit's withdrawal of its request and Navigator CO2's denial of its permit application.
While the door is not completely closed for Summit or Navigator, they can reapply in the future if they can address the commission's concerns and secure the necessary waivers or county permits.
Despite these setbacks in South Dakota, both companies are pursuing similar projects in other states, such as North Dakota and Iowa, where they face regulatory challenges and ongoing hearings.
The projects aim to capture carbon dioxide emissions from ethanol plants and transport them to underground sequestration sites, eligible for federal tax credits to reduce carbon dioxide emissions.
Landowners oppose carbon dioxide pipeline projects due to concerns about private property rights and safety, as leaks can release toxic gas plumes, as seen in Mississippi's 2020 leak causing evacuations and hospitalizations.
Photo Credit: gettyimages-laughingmango
Categories: South Dakota, Energy