Regulators deny Summit's CO2 pipeline application
The South Dakota Public Utilities Commission on Tuesday denied the permit application from Summit Carbon Solutions.
Commissioner Kristie Fiegen and commission chair Gary Hanson voted for the denial. Commissioner Chris Nelson voted no.
The denial was without prejudice, which means Summit can file another application in the future.
Summit submitted the application in November, after South Dakota voters had rejected Senate Bill 201. It attempted to state that a PUC permit overrides any local regulations.
The passage of SB 201 last year led to significant turnover in the legislative elections last year and brought a stronger anti-CO2 membership to both the House of Representatives and the Senate. That in turn led to passage this year of House Bill 1052 that says CO2 projects can't use eminent domain to force their way across people's properties.
The passage of HB 1052 then led to Summit asking the state commission to suspend the schedule and put the application on hold indefinitely. That position later changed. On Tuesday, Summit attorney Brett Koenecke repeated that Summit was willing to accept 12 months.
Summit has received approval for the pipeline from other states.
Landowners attorney Brian Jorde requested the denial. He told the South Dakota commission on Tuesday that Summit has no way to get the line from Iowa into Lincoln County and no way to get the line to North Dakota through McPherson County.
Koenecke said Summit still believes there is a chance to reach agreements with landowners along the South Dakota portion of the route. But, he noted, 'I think the price of poker has gone up considerably.'
Said commission chair Hanson, 'I don't see the possibility of an indefinite suspension.' He told Koenecke, 'You're between a rock and a hard place.'
Koenecke said there are people — 'lots of them' — who support the proposed pipeline. 'Why can't you let it play out?' he asked the commissioners. 'Let's find out if this is possible. Let's find out.'
Jorde, the landowners attorney, said Summit doesn't plan to refer HB 1052 to a public vote. 'It's like watching a slow car crash,' he said.
Commissioner Fiegen made the motion for denial. 'The application is not ready to go forward,' she said. 'The current route in my view is not viable.'
Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
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