The North Dakota Public Service Commission on Aug. 4 denied a siting permit for Summit Carbon Solutions’ Midwest Carbon Express CO2 Pipeline Project. Summit plans to revisit its proposal and reapply for the permit. 

Summit filed the application for the permit in October 2022 and the PUC held four public hearings throughout the spring of 2023. The PUC said it received extensive public comment during the hearings. Those testifying expressed broad concerns regarding eminent domain, safety and the policy of permanent CO2 sequestration and storage, setback distances, irreparable harm to underground drain tile systems, impacts on property values, and the ability to obtain liability insurance due to the project. 

According to the PUC, landowners and intervenors testified that the project would cause adverse effects on the value of their property and residential development projects. The PUC said that Summit filed a letter from an appraisal company in response to those concerns. However, the filing was not brought forth during any of the public hearings and therefore the PUC and intervenors did not have the opportunity to ask questions about the document or question a witness from Summit. 

The PUC also indicated that several landowners expressed concerns specific and unique to their properties. The agency said landowners repeatedly testified that they had contacted Summit with requests for reroutes across their properties or other mitigation steps but heard nothing in response from the company. The PUC said it felt that Summit has not taken steps to address outstanding legitimate impacts and concerns expressed by landowners or demonstrated why a reroute is not feasible. In addition, the PUC said it required additional information on a number of issues raised during the hearings. The agency said Summit either did not adequately address those questions or did not tender a witness to answer the questions. 

As part of the permit process, Summit was also required to contact and ask for feedback from 44 local, state and federal agencies. A cultural resource report was submitted to the North Dakota State Historical Preservation Office. The PUC said SHPO responded to that report advising that it does not meet their standards and they have not received a revised report addressing their concerns. SHPO concurrence is commonly required by the PUC for issuance of a siting permit, the agency said. 

 The PUC also noted that the U.S. Geological Survey noted 14 areas of potential geological instability within the project corridor. Summit has not submitted information to the PUC demonstrating how it has addressed those concerns. 

The PUC’s announcement states that issues related to eminent domain, safety compliance with the U.S. Department of Transportation’s Pipeline and Hazardous Materials Safety Administration construction and operation, and permanent sequestration and storage of CO2 are outside the jurisdiction and consideration of the PUC. 

Summit has signaled it will reapply for the permit. “Summit Carbon Solutions respects the decision by the North Dakota Public Service Commission, and we will revisit our proposal and reapply for our permit,” said Sabrina Zenor, director of marketing and communications at Summit. “We're committed to understanding and incorporating the considerations outlined in the decision. We are confident that our project supports state policies designed to boost key economic sectors: agriculture, ethanol, and energy.”

A full copy of the PUC’s announcement is available on the agency’s website.