Summit Carbon Solutions is pausing its application for approval to build a CO2 pipeline across South Dakota.
A spokesperson for the Iowa-based company said it needs more time to analyze the pipeline’s route for its Public Utilities Commission application after a newly passed law limited its ability to conduct surveys in the state.
"These surveys are critical to demonstrating the feasibility of construction and operation along the proposed route," said Summit Director of Corporate Communications Sabrina Zenor. "Given these challenges, we have requested a review and adjustment of the schedule accordingly."
That law – HB 1052 – was recently signed by Gov. Larry Rhoden. It prohibits companies from using eminent domain to build a carbon pipeline.
Opponents of the project call Summit’s move a victory for landowners, saying it shows the company cannot build the pipeline without eminent domain.
“If Summit can find a path through South Dakota, they are free to do so, but the current application should be returned and dismissed, to let the landowners who have been tormented for nearly four years get back to their lives,” said attorney Brian Jorde, who has represented South Dakota landowners in legal disputes with Summit.
The proposed pipeline would take carbon dioxide produced by ethanol plants across the Upper Midwest and transport it to North Dakota where it would be stored underground. Supporters say it is an environmentally friendly project that would spur the ethanol industry.
Opponents raised questions about safety and the efficacy of the project. However, it is the potential of Summit using eminent domain that has garnered the largest public push back.
“This request for extension is a clear sign that Summit knows they have lost the trust of South Dakota, and will be unable to proceed on their original timeline without being able to force surveys on unwilling landowners. As our new governor said so well, that trust is hard to earn back again once it is lost,” said Chase Jensen, Senior Organizer with Dakota Rural Action.
However, Summit officials say the company is not giving up on the project.
"Summit Carbon Solutions remains committed to working through this process and advancing the project in states that support energy and innovation," Zenor said.