Over the course of the next two months regulators in South Dakota, North Dakota, and Illinois will hear from Energy Transfer representatives, unions, and community members on the proposed Dakota Access Pipeline (DAPL) Optimization plan.
The plan, submitted by DAPL owner Energy Transfer, intends to double the throughput of DAPL to 1.1 million barrels a day through the addition of three pump stations along the pipeline route.
As the American energy industry continues to flourish the approval of DAPL Optimization is essential to fully realizing the benefits afforded by the country’s many resources.
North Dakota is ranked second among U.S. states in crude oil production and proved reserves. To take advantage of Bakken resources companies must continue to invest in infrastructure development. Similarly, regulators must acknowledge the value of these investments by approving modifications like DAPL Optimization.
DAPL Optimization is a very straightforward process. There will be no mainline construction and no additional pipeline added to the already existing 1,100 miles. The three proposed pump stations are subject to the same safety oversight bodies as the pipeline and will be remotely monitored around the clock. Energy Transfer will be working closely with local, state, and federal authorities to ensure full compliance.
Each state stands to benefit from the plan, too. Since becoming operational DAPL has paid nearly $25 million in taxes. Three additional pump stations will generate more tax revenues for each state to put towards public services like schools, hospitals, and emergency services.
Furthermore, unions throughout the states will have another important job-creating project to see to completion while industry members up investment in Bakken production knowing DAPL offers ample delivery capacity.
Pipelines are the safest means of delivering crude oil to market. The DAPL Optimization plan will continue to take risk off the road and open up opportunities for greater energy investment in the Bakken region.
As regulators begin their review of the plan they must fully consider the economic, environmental, and industry benefits optimization offers. DAPL Optimization is yet another step towards achieving a top-down, fully developed energy network for Americans.