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Regulators approve North Dakota section of planned 5-state Midwest carbon dioxide pipeline

BISMARCK, N.D.
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North Dakota Public Service Commissioners, from left, Sherri Haugen-Hoffart, Randy Christmann, center and Administrative Law Judge Tim Dawson meet Friday, Nov. 15, 2024, in Bismarck, N.D., where they voted to approve the route permit for the Summit Carbon Solutions pipeline. (Tom Stromme/The Bismarck Tribune via AP)

BISMARCK, N.D. (AP) 鈥 North Dakota utility regulators granted approval on Friday for a span of a that would cross five Midwestern states 鈥 a key victory for the company that has faced vociferous and various hurdles and setbacks in its plans.

The state Public Service Commission voted unanimously to approve a siting permit for Summit Carbon Solutions' modified, 333-mile route in North Dakota. The company's proposed $8 billion, 2,500-mile pipeline tons of planet-warming CO2 emissions from 57 ethanol plants in five states for storage deep underground in North Dakota.

No construction has begun anywhere on Summit鈥檚 proposed route. Iowa has approved the project, but other hurdles remain in North Dakota as well as South Dakota, Minnesota and Nebraska.

The approval is a win for the company after North Dakota initially denied a permit in 2023, shortly followed by rejection in South Dakota. Another company, Navigator CO2 Ventures, its project around the same time due to the 鈥渦npredictable nature of the regulatory and government processes involved, particularly in South Dakota and Iowa."

Supporters cheer projects as a way to combat climate change, with lucrative federal tax credits available The ethanol industry sees Summit's project opening up markets, a boost for ethanol and No. 1 corn producer Iowa.

North Dakota Gov. Doug Burgum, now President-elect Donald a position with over natural resources, his state's underground CO2 storage potential as a 鈥済eologic jackpot.鈥

including many landowners across the Midwest, decry the potential of a releasing hazardous, heavy CO2 gas to flow over the land, . They also fear the taking of their land through eminent domain.

North Dakota Public Service Commission Chairman Randy Christmann urged Summit not to use eminent domain, 鈥渁t least not more than absolutely necessary.鈥 Eminent domain is not in the panel's jurisdiction or a part of the siting process, he said.

Summit CEO Lee Blank told reporters the company is pleased with the panel's decision. He said Summit has worked with landowners on a voluntary basis and will continue to do so.

鈥淥ur goal is, again, to acquire as much right of way possible as we can voluntarily, and ultimately at the end of the day, we hope to do 100% of that,鈥 Blank said.

Summit said Friday it has acquired easements for over 82% of its North Dakota route.

Republican state Sen. Jeff Magrum, an opponent whose district the pipeline would cross, said he鈥檇 rather see investments in roads, bridges and dams instead of 鈥淕reen New Deal projects that don鈥檛 create any benefit for our state or our country.鈥 He expects the panel鈥檚 decision to be challenged.

Carbon-capture say the technology is untested at scale and allows the fossil-fuel industry to continue largely unchanged.

In August, the Iowa Utilities Commission issued Summit a hazardous liquid pipeline permit after approving the company's application The panel also granted Summit the right of eminent domain over numerous parcels of land.

But the company cannot start construction in Iowa until it has route approvals from both Dakotas and approval for underground storage in North Dakota, among other requirements. The Iowa panel's decision sparked lawsuits in opposition.

Christmann said the permit has no restrictions based on what any other states do.

The North Dakota panel had Summit a siting permit in August 2023. Summit hadn't sufficiently addressed several issues, including geologic instability, wildlife areas, cultural resource impacts and some landowner concerns.

Soon afterward, the panel agreed to beginning more than a year of meetings and document

Summit submitted three storage facility permit to North Dakota鈥檚 Department of Mineral Resources, but no decision has been made.

Minnkota Power Cooperative and Summit agreed to collaborate on developing CO2 storage in central North Dakota, a pact that also lets Summit use Minnkota's previously permitted 100-million-ton underground storage.

In September 2023, South Dakota's Public Utilities Commission Summit's permit application after commission the route would violate county ordinances for setback distances. Summit has said it plans to reapply this month for a permit.

In a earlier this month, South Dakota voters rejected that opponents said would deny local control over such projects and consolidate authority with state regulators. Supporters had promoted it as a 鈥渓andowner bill of rights.鈥

The Minnesota Public Utilities Commission is expected to decide Dec. 12 whether to approve a 28-mile segment of pipeline that would connect an ethanol plant near Fergus Falls to Summit鈥檚 network in North Dakota. An administrative law judge that the commissioners find that the for the Minnesota section met the legal requirements, and issue a route permit to Summit.

Critics had expressed concerns to the judge about the impacts on farms and water resources, and suggested there were better ways to reduce CO2 emissions. They also argued that the environmental review should have been expanded to look at the impacts of the broader proposed Midwest Carbon Express pipeline network, with which Summit would connect.

In Nebraska, where there is no state regulatory process for CO2 pipelines, Summit is working with individual counties to advance its project. At least one county has denied a permit.

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AP reporter Steve Karnowski in Minneapolis contributed to this story.

Jack Dura, The Associated Press