
WASHINGTON — In diplomatically polite terms, President Barack Obama and Canadian Prime Minister Stephen Harper remained at odds Wednesday over a proposed oil pipeline from Canada through the United States, with Obama showing no interest in speeding up a project the Canadian leader sees as vital to his nation’s economy.
Under Obama’s watch, the State Department has delayed potential approval of the Keystone XL pipeline until 2013, which falls after the presidential election. Obama, pressured by Canada and Republican lawmakers at home to accelerate the job-creating project, stood by the decision for a deeper environmental review before any decisions are made.
“With respect to the politics, look, this is a big project with big consequences,” Obama said in a joint appearance with Harper at the White House. “We’ve seen Democrats and Republicans express concerns about it. And it is my job as president of the United States to make sure that a process is followed that examines all the options.”
He said he discussed the matter with Harper and “the prime minister and our Canadian friends understand” that it is important to examine the project rigorously.
The 1,700-mile Keystone XL pipeline would carry an estimated 700,000 barrels of oil a day from tar sands in Alberta to refineries in Texas, passing through Montana, South Dakota, Kansas, Nebraska and Oklahoma.
Harper had called approval of the project a “no-brainer.” And he has suggested that politics played a factor in the delay. The State Department in November ordered that the pipeline be rerouted and subject to further environmental review, drawing cheers from environmental groups and howls from Republicans about lost job creation.
The Obama administration’s announcement to put off a decision on the pipeline went over badly in Canada, which relies on the U.S. for 97 percent of Canada’s energy exports.
Obama also warned congressional Republicans that he would reject any effort to tie the pipeline project or other unrelated issues to the proposed extension of a payroll tax cut that is set to expire Jan. 1. Obama stopped short of issuing a veto threat, saying he did not think lawmakers would let it come to that.



