As the Biden administration settled in, one of the first executive orders was to cancel the Keystone XL Pipeline project. The plan to cancel the pipeline project is part of Biden’s goal to reach net-zero emissions by 2050. The pipeline project was a solution to send oil from Alberta, Canada to the U.S. Gulf Coast. Many in the oil and gas industry have criticized the decision, and advocacy groups representing companies across Texas, specifically in the Houston area, are vocalizing such.
The Texas Oil & Gas Association made a statement on social media regarding the move, stating “Essential energy infrastructure like pipelines benefits our economy and the environment, creating thousands of jobs, keeping energy prices low, ensuring reliable energy, and reducing emissions.” The American Petroleum Institute (API), representing companies in the oil and gas industry in Texas and across the nation, noted the move was a substantial retrograde. “This misguided move will hamper America’s economic recovery, undermine North American energy security, and strain relations with one of America’s greatest allies,” stated President Mike Sommers, API.
Houstonians are also vocalizing their disappointment since the city’s economy relies heavily on the oil and gas industry. Congressman Dan Crenshaw added that the cancellation of the pipeline would benefit Russia, hurting our nation's progress in economic recovery following the already devastating effects caused by the pandemic. Representative Kevin Brady of The Woodlands, another area housing a number of oil and gas companies, posted the decision removed 10,000 blue-collar energy jobs, most of those jobs being in Texas. Lastly, Senator John Cornyn defined President Joe Biden’s decision to cancel the Keystone XL pipeline as “kicking Texas energy workers while they’re down.”
The path of acceptance will be difficult since the oil and gas industry has already implemented layoffs due to COVID-19. Our article, HFG’s Response to Area Layoffs: Choose to Plan, Not Panic, recognizes the layoffs of those in the industry specifically in Houston, and what HFG can do to help maintain their financial plans and portfolios. Our other article, Achieving Financial Stability in an Uncertain Market, addresses market fluctuations in the oil and gas industry due to layoffs and how HFG can assist you with those concerning changes.
The HFG team is committed to our community and to building meaningful relationships with clients that seek to span time and generations; we aim to help clients live the lives they desire while also achieving their financial goals.
Contact us directly at 832.585.0110 or service@hfgwm.com. We’re eager to listen and create a plan that’s suited to your specific aspirations.
