Citing the need to protect US jobs and Americas energy
security, the American Petroleum Institute and two other
organizations today filed a petition in federal court asking to
intervene on the side of the Pentagon in a case challenging its
use of fuels derived from Canadian oil sands crude oil.
API, the National Petrochemical and Refiners
Association and the US Chamber of Commerce petitioned the
Federal District Court for the Northern District of California
to intervene in a lawsuit filed in June by the Sierra Club and
the Southern Alliance for Clean Energy seeking to stop the
department from buying fuels derived from crude oil produced
from Canadian oil sands.
Over the next five years, Canadian oil sands
development could lead to an additional 343,000 jobs in the
United States, said Bob Greco, APIs downstream
director. Those are jobs that our struggling economy
could certainly use and as the economy recovers, it
could also use the half a billion barrels per year of crude oil
that Canadian oil sands could provide.
In their lawsuit, the environmental groups allege the
Pentagon is not complying with section 526 of the 2007 energy
bill requiring that the agency not acquire fuels derived from
crude oil sources, such as Canadian oil sands, with higher
greenhouse gas emissions than fuels derived from conventional
API argues that the fungible nature of crude oil makes it
impossible for the Pentagon to determine which fuels are
derived from oil sands crude, preventing it from being able to
comply with Section 526.
In addition, it says, Canadian oil sands producers comply
with strict environmental rules requiring the return of all
developed land to its natural state.
And, contrary to claims, the lifecycle of greenhouse
gas emissions from the crude oil from oil sands are comparable
to those from other crude oils refined in the United
States, Greco said.
API contends that keeping the Pentagon from using Canadian
crude would also make the nation less energy secure and more
dependent on oil from overseas.
No oil source outside our own borders is more secure
than Canada, Greco said.