In recent years, a company named Summit Carbon Solutions, which is promoting a pipeline project across the Midwest to transport carbon dioxide from ethanol plants to North Dakota for underground storage, has been embroiled in legal battles with landowners. This has particularly affected South Dakota, where Summit’s use of eminent domain powers to commandeer land has been met with resistance. Eminent domain refers to the right of a government or its agent to expropriate private property for public use, with payment of compensation to the owner. Widespread dissatisfaction among farmers in South Dakota led to new legislation that restricts the use of eminent domain for constructing carbon dioxide pipelines, thus casting doubt on the project’s future in the region.
In their investigation, the Associated Press and Lee Enterprises discovered that Summit filed a staggering 232 lawsuits across South Dakota, North Dakota, and Iowa. These included 156 eminent domain cases specific to South Dakota. A significant legal onslaught occurred in late April 2023 when 83 lawsuits were filed in just two days. Summit claims to prioritize voluntary agreements, according to spokesperson Sabrina Zenor, who noted that most easements continue to be arranged without compulsion.
However, as late as August 2023, Summit persisted with legal action in South Dakota. Records indicate that in several South Dakota cases, settlements were reached post-lawsuit. Following a setback in September 2023, where the South Dakota Public Utilities Commission denied Summit’s permit, the company halted or annulled many of its eminent domain actions, as explained by Zenor.
The pipeline proposal has substantial backing from the ethanol industry, as it promises potential economic benefits. Ethanol, which is primarily produced from corn—accounting for approximately 40% of the national corn output—is a key component in most gasoline sold in the United States. With the shift toward electric vehicles and the resultant decline in ethanol consumption, the aviation fuel market is being eyed as a new opportunity. Current regulations dictate stringent carbon emission requirements for converting ethanol into aviation fuel to secure tax incentives meant to cut greenhouse gas emissions. Proponents regard Summit’s pipeline as a dual solution: both reducing environmental impacts and bolstering the ethanol sector.
Carbon capture and storage involves the extraction of carbon dioxide from industrial emissions, such as those from ethanol facilities, before injecting it underground to prevent its contribution to atmospheric carbon levels.
The strife in South Dakota triggered significant political and social retaliation. The legal confrontations over land rights, highlighted by cases such as that of farmer Jared Bossly, ignited public opposition to Summit’s project. Bossly’s disputes with Summit captured public attention due to accusations against him and subsequent online leaks of the surveying events. He became a symbol of resistance, actively engaging with media outlets and speaking in community forums.
By 2024, those opposing the pipeline had gained momentum in South Dakota. Opponents of Summit, aided by Bossly’s prominence, leveraged public sentiment during the primary elections to replace several state legislators. Republicans, like South Dakota Senate Majority Leader Jim Mehlhaff, recognized how this opposition reshaped the legislature and contributed to the enactment of the new law prohibiting eminent domain in such contexts.
Summit’s path forward in South Dakota remains uncertain. Zenor reflects the company’s current strategy as focused on working within states welcoming of innovation while still holding onto the prospect of advancing their plans within South Dakota. As the company navigates these challenges, the implications for both environmental policy and property rights will be closely monitored.