Many of us wonder why an idea such as the Keystone Pipeline that
seems to make sense gets so much political push back from the Whitehouse. Others
wonder why the renowned investor Warren Buffet would seem to support the
President and the many ideas coming from the inept government he controls. Since most well informed people are puzzled
by both conundrums, perhaps we should consider whether there is a connection, a
common element or even quid-pro-quo.
Could it be that the EPA is nothing more than an instrument used
to keep the Keystone pipeline from being developed. What if the real reason the
pipeline is being met with such resistance has nothing to do with the environment.
Let’s consider a few important elements and then try to put
the puzzle together. Who would benefit the most from the construction of the
Keystone Pipeline? Answer; domestic oil production and imports from Canada
rather the OPEC along with American consumers who would reap benefits resulting
from lower energy cost. What about the environmental
impact? Well there you go. Which is safer for the environment, a pipeline or
thousands of rail cars and trucks moving the oil. The oil is going to move as long as there is
demand so why not move it by pipeline since pipelines are by far the safest and
most economic and environmentally friendly means of transportation when all
factors are considered. There is no plausible argument to the contrary.
Pipelines are safer overall.
Now, if this whole argument is really not about the
environment, then what else could it be.
Well, let’s contemplate who benefits the most if the pipeline is not
built. Hmmm, let see. Well you have the railroad, tank car manufacturers, trucking
companies and the refiners who are processing the oil currently once
transported to them by rail or truck.
Since the pipeline would move the
oil further south toward the gulf, then it seems clear that railroads, tank car
manufacturers and refineries would suffer some economic harm if the pipeline
were built.
So if we believe that this really is not an environmental
issue, that it is more about political clout and economics for certain political
benefactor’s, then we have to identify who is using the EPA as the tool to protect
its political and economic interests.
Here is where the intrigue unfolds and the puzzle starts to
take form. You see, the convergence of capitalism and politics often makes for
strange bedfellows. Either can elicit uncharacteristic behavior in even the
most accomplished and revered among us. With
all of this under consideration, add a couple more facts and you will start to
see the picture. You see Warren Buffet and/or Berkshire Hathaway own Burlington
Northern Railroad, Union Tank Car Company, has a big stake in Exxon which refines much of
the oil being transported and GE who builds trains. So when you wonder how a
guy like Warren Buffet could ever espouse support for some of the most ridiculous
policy maneuvers of the current administration, perhaps the picture becomes
more clear. Buffet, like the rest of us
is only protecting his interests. There are other heavyweight investors playing the game too. For example, Carl Icahn now owns American Rail Car company and there are other examples.
While the EPA is charged by many to be the scoundrel that
inhibits growth in the economy in certain sectors, did it ever occur to you
that the EPA may be nothing more than a political tool used by some to protect
their political and economic interests. If you doubt that, look at what the EPA is
doing to the coal industry. Is that really about the environment or more about
helping the renewable energy companies that produce solar and wind energy that cannot
survive without taxpayer subsidies. Now you know.
