The state Senate has rejected a bill designed to stop a carbon dioxide pipeline company from using eminent domain.
Summit Carbon Solutions is building a pipeline to bring CO2 captured from ethanol plants to a sequestration site in North Dakota. The company says it has easement agreements with most North Dakota landowners along the pipeline route.
The bill would have removed “common carrier” status from CO2 pipelines, which supporters said would stop any efforts towards eminent domain.
"Landowners in North Dakota should be able to negotiate contracts without fear of eminent domain hanging over their heads," said the bill's main sponsor, Sen. Jeffrey Magrum (R-Hazelton). "This change will encourage peaceful development, instead of the civil unrest that we have been seeing, turning neighbors against neighbors."
But opponents say it may hamper efforts to develop further projects.
"Let me be clear — this is not about ignoring landowner rights," said Sen. Greg Kessel (R-Belfield). "It's about balancing the rights of the majority of those, with a few holdouts."
Kessel said CO2 storage projects have reached agreement with more than 93 percent of the affected area.
"Only 11 landowners, representing less than one point five percent of the land, oppose the project," Kessel said.
SB 2322 failed – 21 voted yes, 26 voted no.
