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South Dakota bans use of eminent domain for carbon dioxide pipelines

South Dakota bans use of eminent domain for carbon dioxide pipelines

South Dakota bans use of eminent domain for carbon dioxide pipelines

By Leah Douglas

(Reuters) -South Dakota Governor Larry Rhoden signed a bill on Thursday banning the use of eminent domain for the construction of carbon dioxide pipelines, potentially endangering a $9 billion pipeline project proposed by Summit Carbon Solutions.

Summit’s pipeline would carry captured carbon dioxide from ethanol plants in five Midwest states to an underground storage location in North Dakota.

Some landowners in the states have challenged the project, arguing that it is unsafe and that using eminent domain to build it violates their property rights.

“It’s very unfortunate that, despite our approvals in Iowa, North Dakota, and Minnesota, South Dakota changed the rules in the middle of the game,” Summit spokesperson Sabrina Zenor said in a statement.

(Reporting by Leah Douglas; Editing by Chris Reese)

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