Dec 13, 2011: Economic Lifeline Not Dirty Oil Pipeline

[dbeersstudios]

Markey is correct to seek maximum use of imported crude at home, but his naive take on how to go about getting that done is alarming. Change the tax status of the Ports in the Gulf, speak directly to the Canadian producer, fine, but to try to go after the transport company is like trying to make FedEX refuse to ship gun parts to some outfit in New Mexico that is building guns and selling them to Mexican Cartels. Fed Ex is a supplier between two entities. So is TransCanada from all that I see.

[dbeersstudios]

Rep Markey is ignoring the business model, business relationships and financial arrangments of TransCanada by seeking to have them unilaterally modify existing contractural supply arrangments with US refineries in the Gulf. TransCanada cannot be expected in a publicly recorded forum to agree to even try to make material changes to an existing contract. Doing so can undermine their strategic relationships and jeopardize existing financial arrangments.