The North Dakota Public Service Commission on Friday, Aug. 4, denied Summit Carbon Solutions its citing permit request.
The three-member commission (one sitting member recused herself, so a replacement voted in her stead) determined that the Midwest Carbon Express CO2 Pipeline Project, Summit Carbon Solutions’ project determined that Summit has not taken steps to address outstanding legitimate impacts and
concerns expressed by landowners or demonstrated why a reroute is not feasible, according to an official commission release. The tax-subsidized pipeline is intended to transport waste Co2 from ethanol plants in the region to an underground shale formation near Beulah, North Dakota. Summit says that the ethanol industry will benefit by gaining popularity and market access, particularly out west in California and other coastal states due to improved carbon scores.
The proposed route of the pipeline would skirt around Bismarck, and many city officials, developers and others had serious concerns said local rancher. Brown’s land isn’t on the current pipeline path, but is very near it, and an adjacent landowner had already signed an easement with Summit, said Brown. He believes if the line were to go through on his neighbor’s property as planned, his own property would be devalued by a minimum of $170,000.
Local state Representative Jeff Magrum of Hazelton, was pleased with the decision, saying it renewed his faith in government for the time being.
“I’m very satisfied with our Public Service Commision and the way the responded to the questions that haven’t been answered. I thought it was a just decision and a common sense decision and I feel like they listened to the people and represented the people,” said Magrum.
According to the official PSC news release:
SCS Carbon Transport LLC (Summit Carbon Solutions referred to as “Summit”) filed an
application in Oct. 2022 to construct approximately 320 miles of carbon dioxide pipeline in North
Dakota. The proposed route of the pipeline would cross through parts of Burleigh, Cass, Dickey,
Emmons, Logan, McIntosh, Morton, Oliver, Richland and Sargent Counties. The CO2 would then
be injected into pore space for permanent sequestration.
In its own official news release, Summit Carbon Solutions said it has secured 80 percent of voluntary easements for its pipeline route in North Dakota and continues to negotiate with additional landowners every day. At the same time, the company is responding to the decision of the North Dakota Public Service Commission. “Summit is looking at plans again and will address those issues in our reconsidered application, including reroutes,” said the company. The company wants to work together with North Dakota, it said, and maintains that the pipeline will boost the ethanol industry.
More from the Public Service Commission:
“In February 2023 the PSC scheduled four public hearings that were held in Bismarck,
Gwinner, Wahpeton and Linton throughout the spring. In order to allow additional time for public
testimony, another hearing was scheduled in Bismarck and was held in early June. These hearings
included many hours of testimony and cross examination from intervenors, including those
representing landowners.
“The Commission received extensive public comment during the hearings. Those testifying
expressed broad concerns regarding eminent domain, safety, the policy of permanent CO2
sequestration and storage, setback distances, irreparable harm to underground drain tile systems,
impacts on property values, and the ability to obtain liability insurance due to the project.
“Landowners and intervenors testified that the project would cause adverse effects on the
value of their property and residential development projects. Summit filed a letter from an appraisal
company in response to these concerns. However, the filing was not brought forth during any of the
public hearings and therefore the Commission and intervenors did not have the opportunity to ask
questions about the document or question a witness from Summit.
“Several landowners testified expressing concerns specific and unique to their properties.
“Landowners repeatedly testified that they had contacted Summit with requests for reroutes across
their properties or other mitigation steps but heard nothing back from the company. The
Commission felt that Summit has not taken steps to address outstanding legitimate impacts and
concerns expressed by landowners or demonstrated why a reroute is not feasible. The Commission
also requested additional information on a number of issues that came up during the hearings.
“Summit either did not adequately address these requests or did not tender a witness to answer the
questions.
“The issues of eminent domain, safety compliance with the U.S. Department of
Transportation Pipeline and Hazardous Materials Safety Administration (PHMSA) construction and
operation, and permanent sequestration and storage of CO2 were outside the jurisdiction and
consideration of the Commission.
“As part of the process, Summit was also required to contact and ask for feedback from 44
different local, state and federal agencies. A cultural resource report was submitted to the North
Dakota State Historical Preservation Office (SHPO). SHPO responded to the report advising that it
does not meet their standards and they have not received a revised report addressing their concerns.
SHPO concurrence is commonly required by the Commission for issuance of a siting permit.
The U.S. Geological Survey noted 14 areas of potential geological instability within the
project corridor. Summit has not submitted information to the Commission demonstrating how it
has addressed these concerns.
“In a separate order approved Aug. 4, 2023, the Commission concluded that dispersion modeling
information submitted by Summit is a security system plan for critical infrastructure that may be
exempt from public disclosure.
“The North Dakota Public Service Commission is a constitutionally created state agency with
authority to permit, site and regulate certain business activities in the state including electric and gas
utilities, telecommunications companies, power plants, electric transmission lines, pipelines,
railroads, auctioneers, commercial weighing devices, pipeline safety and coal mine reclamation. For
more information, contact the Public Service Commission at (701) 328-2400 or http://www.psc.nd.gov.
Brown and Magrum both say that some of the biggest concerns of North Dakotans are: the possibility of the use of eminent domain to obtain easements for the pipeline, the safety of the pipeline (especially with its close proximity to the city of Bismarck), and the reduction of property values due to the pipeline.
Says Magrum of the permit denial: “It’s a victory, it’s a huge victory, but I think we all realize that it’s most likely not over. But it’s a huge step in the right direction for them to know they can’t just come in and get a rubber stamp without addressing issues that are brought up at the meetings.”
