Whitmer threatens profit seizure if pipeline keeps operating

Whitmer threatens profit seizure if pipeline keeps operating

SeattlePI.com

Published

LANSING, Mich. (AP) — Michigan Gov. Gretchen Whitmer threatened Tuesday to go after Enbridge's profits from a Great Lakes oil pipeline if the company defies her order to shut it down.

The Democratic governor issued the warning in a letter to the Canadian energy transport company on the eve of a state-imposed deadline to halt operation of Line 5, which moves oil through northern Wisconsin and Michigan to refineries in Ontario. Enbridge repeated its intention to defy Whitmer's demand.

A nearly 4-mile-long (6.4-kilometer-long) section of Line 5 divides into two pipes that cross the bottom of the Straits of Mackinac, which connects Lake Michigan and Lake Huron.

Whitmer, backed by environmentalists and native tribes, says the segment is vulnerable to a catastrophic spill in the cold, swirling channel. She revoked an easement last November that Michigan had granted in 1953 for the pipes to occupy the lake bottom and ordered them closed by May 12.

Enbridge insists the segment is in good condition and says its loss would cause economic damage in both countries, a position shared by the Canadian government, which filed a legal brief Tuesday in support of the company.

In her letter to Vern Yu, Enbridge's executive vice president for liquids pipelines, Whitmer said continued operation of the line after Wednesday “constitutes an intentional trespass" and that the company would do so “at its own risk.”

“If the state prevails in the underlying litigation, Enbridge will face the prospect of having to disgorge to the state all profits it derives from its wrongful use of the easement lands following that date,” Whitmer said.

Enbridge argues that the state has no authority to order the shutdown because the federal Pipeline and Hazardous Materials Safety Administration oversees...

Full Article